A multi-record-setting IPO facilitated by the Chinese Consortium led by CFFEX
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On March 18, China Financial Futures Exchange (CFFEX) released the list of outstanding market makers and individuals, and outstanding members in market making services for the year of 2023. A total of 21 institutions received Gold, Silver and Bronze Market Makers Awards, and Outstanding Contribution Award for Market Making in the Newly Listed China Government Bond Futures. Furthermore, 18 futures company members received the Outstanding Service Award. With recommendation from award-winning market makers, 9 individuals received the Outstanding Market Making Individual Award. CFFEX hereby congratulates all the award-winners, and encourages them to make ever-greater contributions to promoting the high-quality development of the financial futures market.
2024 is the 75th anniversary of the founding of the People's Republic of China and a key year for realizing the goals and tasks of the 14th Five-Year Plan. Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for the New Era, CFFEX will conscientiously implement the spirit of the Central Financial Work Conference and Central Economic Work Conference. Meanwhile, CFFEX will profoundly grasp the nature of financial futures market to serve national strategies and the people, persist in seeking progress while maintaining stability, promoting stability through progress and establishing the new before abolishing the old, and adhere to the fundamental purpose of finance serving the real economy. On the path of innovating products and trading mechanisms, CFFEX will continuously improve the market making management activities and the operation of financial futures market, in a bid to make more contributions to building a modern capital market with Chinese characteristics.
The year 2023 marked the first year of fully implementing the guiding principles from the 20th National Congress of the Communist Party of China (CPC). Under the strong leadership of the China Securities Regulatory Commission (CSRC) and the vigorous support of members, China Financial Futures Exchange (CFFEX) focused on facilitating China’s registration-based IPO reform and the construction of a modern capital market with Chinese characteristics. In particular, CFFEX maintained a stable and robust financial futures market and, in line with its three-year strategic plan and the “Year of Qualitative Growth” initiative, launched the 30-year CGB futures. The product system has been continuously enriched, the market functions have been gradually brought into play, the effectiveness of front-line supervision has been continuously improved, the market ecology has been continuously optimized, and the high-quality development of the financial futures market has taken a further step forward.
To recognize members that have performed outstandingly in 2023 in ensuring the safe operation of the market, facilitating the exertion of market functions, and promoting investor education, CFFEX has recently carried out the selection work of outstanding members for the year 2023. A total of 54 members have won awards including the year’s Platinum Award, Gold Award, Risk Management Award, IT Management Award, Progress Award, Market Promotion Award, and the Institutional Service Award. CFFEX extends its congratulations to all the award-winning members and looks forward to their future contribution to China’s new development paradigm and high-quality development.
Looking ahead, 2024 marks the 75th anniversary of the founding of the People’s Republic of China and a crucial year for implementing the 14th Five-Year Plan. Following the guidance of the Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, CFFEX will fully and faithfully apply the new development philosophy on all fronts and duly implement the directives of the Central Financial Work Conference, the Central Economic Work Conference, and the speech made by President Xi Jinping during his visit to Shanghai. Notably, CFFEX will focus on pursuing progress while maintaining stability and promoting stability through progress. It will be committed to making China stronger through financial services and to fulfilling its responsibilities. To support the five priorities of technology finance, green finance, inclusive finance, pension finance and digital finance, CFFEX will coordinate development and security and maintain a smooth-running financial futures market. To this end, it will effectively prevent and mitigate market risks, advance the supply-side product reform, and further improve market functioning, frontline supervision, and the market ecosystem. Together with its members, CFFEX will better tap into the potential of the futures market to accelerate the formation of a safe, open, transparent, dynamic and resilient capital market, and better serving China’s high-quality economic and social development and the Chinese modernization.
Annex:Outstanding CFFEX Members of 2023
China Financial Futures Exchange
February 27, 2024
On November 4, 2023, China Financial Futures Exchange (CFFEX) and Bank of China Limited (BOC) signed a strategic cooperation agreement.
The signing of the agreement between CFFEX and BOC is a positive step for both parties to further strengthen collaboration and deepen cooperation between the futures and banking industry. It aims at giving full play to the advantages and characteristics of both parties, and exploring comprehensive multi-level cooperation, to further build consensus, join forces, facilitate resource sharing and achieve win-win cooperation, so as to jointly contribute to the high-quality development of the capital market. The two sides will take this strategic cooperation agreement as a starting point to strengthen synergy in the implementation of major national strategies and to play more active roles in serving the real economy.
Next, in the spirit of integrity, equality, mutual benefit, long-term cooperation and common development, both parties will carry out close and pragmatic cooperation in customer service, business innovation and opening up.
To further improve the contract design of China government bond (CGB) futures and facilitate market functioning, China Financial Futures Exchange (CFFEX) released the amended 2-Year CGB Futures Contract Specifications and Detailed Trading Rules of CFFEX for 2-Year CGB Futures Contract on October 20, 2023, adjusting the tick size of 2-Year CGB futures contracts.
In response to market participants’ appeal for adjustment to the tick size of 2-Year CGB futures contracts, after careful evaluation and extensive public consultation, CFFEX decided to adjust the tick size of 2-Year CGB futures contracts from RMB 0.005 to RMB 0.002 according to market demands. This will increase precision of quotes on 2-Year CGB futures contracts, better align with the quoting precision in the CGB cash market, help investors improve precision of their hedging and other investment strategies, and promote the coordinated development of CGB cash and futures markets. The amended contracts rules will take effect on all listed 2-Year CGB futures contracts starting from the settlement period on November 6, 2023.
Next, under the leadership of the CSRC, CFFEX will fulfill its duties to pay close attention to market operations after the amendments of the 2-Year CGB futures contracts rules, make practical efforts to protect the legitimate rights and interests of investors, and effectively prevent market risks, so as to ensure healthy, stable and orderly operations of the CGB futures market.