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Taiwan Futures Exchange (TAIFEX), Eurex and FIA Asia today jointly held a seminar on topics of RMB movement, RMB FX futures, and the future development of exchanges. More than 200 representatives and industry professionals from USA, Hong Kong, Malaysia, Singapore and domestic financial institutions attended the event.
Dr. Tseng Ming-Chung, the Chairman of the Financial Supervisory Commission (FSC) of Taiwan, was invited as a keynote speaker. Chairman Tseng pointed out that, over the last few years, RMB-related financial products have become a global focus. In Taiwan, the high level of RMB pool provides Taiwan with a unique niche and great potential to develop RMB- related financial products. And, FSC has been giving its full support to TAIFEX to develop RMB futures to be in line with the globalization trend and to build up a fully-fledged marketplace for both domestic and international participants. Chairman Tseng further elaborated that, “to broaden the depth and the breadth of Taiwan futures market as well as to strengthen international competitiveness, the FSC did its utmost in 2014 to support TAIFEX and Eurex' joint introduction of daily futures on TAIEX Futures and Options. These unprecedented products are a tangible result of the internationalization efforts of Taiwan's financial markets.” Last, Chairman concludes, “Looking ahead, there shall be more joint initiatives between Eurex and TAIFEX , as well as more offshore products being introduced to Taiwan, to better meet the market needs and furthermore, and to make Taiwan market excel in the international arena. ”
Dr. Liu, Chairman of TAIFEX said, “TAIFEX is now entering its 18th year of operations and has established an exceptional record in the areas of product development and the refinement of related mechanisms and rules. In 2014, we posted record trading volume of more than 200 million contracts, and worked with Eurex to launch Eurex/TAIFEX Link products. The Link, together with the listing of ETF futures and refining of mechanisms and rules, made TAFIEX performance in 2014 widely recognized by the industry, and further acknowledged by winning the Financial Derivatives Exchange of the Year at the Asian Banker Financial Markets Awards 2015.” In 2015, TAIFEX has therefore not only studied the feasibility of extending trading hours for ETF Futures on China stocks, but has also responded to the cash market’s loosening of daily limits on price fluctuations by easing such limits on TAIFEX own related products. “In addition, we have, with our regulator’s strong support, planned to introduce RMB FX futures. With everyone’s strong commitment, I believe our market will shine even brighter in the future,” Dr. Liu commented.
During panel discussions, participants express their optimisms on the internationalization of RMB and the launch of its derivatives as a result of robust market demand in a global context. It is expected that TAIFEX’ plan of launching RMB FX futures this year will create another milestone for TAIFEX. In addition, it is widely agreed that the Eurex/TAIFEX Link model set up as an outstanding example for future international cooperation between exchanges.
