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Singapore Exchange Limited (SGX) is inviting public comments on proposed amendments to the Futures Trading Rules, SGX-DC Clearing Rules and Contract Specifications in relation to the JADE market.
This is part of the planned migration of the Joint Asian Derivatives Exchange’s (JADE) products to the SGX QUEST trading platform by January 2008. JADE is a joint venture of CME Group and SGX.
There are currently two commodity futures contracts listed by Singapore Exchange Derivatives Trading Limited (SGX-DT) – TSR 20 Rubber Futures and Crude Palm Oil (CPO) futures. The proposed amendments are necessary to facilitate the migration of these commodity futures contracts, which are currently traded on the Chicago Board of Trade’s (CBOT) electronic trading platform, e-CBOT, to SGX-DT’s electronic trading platform, SGX QUEST.
The consultation paper, which explains the rationale and proposed amendments in detail, will be available on SGX website at www.sgx.com from today. Market participants and members of the public can forward their feedback and suggestions on the above proposed amendments from today to 5 October 2007 via email and either by post/courier or fax:
Email: rules@sgx.comMigration of JADE products to SGX QUESTPost/Courier: Singapore Exchange Limited
2 Shenton Way, SGX Centre 1, #19-00
Singapore 068804Attn: Glenn Seah
Regulatory Policy
Risk Management & Regulation GroupFax: 6535 5573
JADE products are being migrated to SGX QUEST as products currently on e-CBOT are being transferred to alternative trading platforms.
The decision was made earlier to migrate JADE products to SGX QUEST. This trading platform provides the most cost-effective solution as SGX Clearing Members already have order management systems connected to SGX QUEST, which is also connected to the SGX Derivatives Clearing System. Hence, there would be no further need for system integration. SGX Clearing Members will also have greater control and efficiency when managing customer access on their respective order management systems.
In addition to being a relatively seamless transition for SGX Clearing Members, SGX QUEST also allows global electronic access via many Independent Service Vendors including CQG, GL Trade Solutions, Nyfix, Netstock Financial Information, Object Trading, Orc Software, PATSystems, RTS Realtime Systems and Trading Technologies.
“Our Crude Palm Oil Futures and Rubber Futures contracts will continue to have international reach with this migration to SGX QUEST,” said Mr Benjamin Foo, JADE CEO and Head of SGX Clearing and Commodities Business. “We are committed to partnering with market participants to develop and grow our commodities business in Asia.”
