Under the agreement, REFCO Singapore will assume the existing operations of GETC from 1 August 2005, through REFCO Trading Services, its division operating trading arcades. This will be REFCO Trading Services' first foray in the Asia Pacific.
SGX has set up the GETC in October 2002 as part of the effort to develop the electronic trading industry. The GETC was used to encourage individual traders to trade electronically in SGX futures and options products. The number of locals using the GETC facility has grown from 20 in 2003 to more than 100 currently.
Arrangements have been made with REFCO to facilitate a seamless transfer for the Locals who wish to continue operating at the GETC. With REFCO's participation, the Locals will also be able to expand their electronic access to global markets.
"As the market evolves, we would like market participants to take a more active role in operating services catering to the electronic trading market. We hope the increased market participation will encourage a vibrant trading community environment. SGX will continue to develop the derivatives industry by offering training opportunities to new Locals in the market," said Mr Gan Seow Ann, Executive Vice President and Head of Markets at SGX.
Mr Ollie Jones, Managing Director of REFCO Trading Services said, "Asia-Pacific represents a tremendous opportunity for us. It is a new growth area, not only for finding the next generation of electronic traders, but also to provide access for our European and North American offices into the burgeoning Asian futures markets, most notably SGX Derivatives."
Mr Tan Hup Thye, Managing Director of REFCO Singapore added, "With the GETC, we have a world-class trading facility. Our wish is to see that Singapore remains the preeminent centre for derivatives trading in Asia-Pacific for many years to come."
As a next step, REFCO is working out a trading package that includes multi-market access, training and education for the Locals.
