Stock Index Futures

There are 3 kinds of Stock Index Futures traded in Chinese capital market and China Financial Futures Exchange (CFFEX) is the only exchange providing trading and clearing services for Stock Index Futures:

CSI 300 Index Futures

CSI 300 Stock Index (CSI 300) is a component index compiled by 300 selected A-shares listed on Shanghai and Shenzhen stock markets with large market value and good liquidity. It is the first equity index jointly launched by the Shanghai Stock Exchange and the Shenzhen Stock Exchange, aims to reflect the price fluctuation and performance of China’s A-share market. It is designed for use as performance benchmarks and as basis for derivatives innovation and indexing.

CSI 500 Index Futures

CSI 500 Index selects 500 Middle and small stocks of good liquidity and representativeness from Shanghai and Shenzhen stock market by scientific and objective method. CSI 500 aims to comprehensively reflect the price fluctuation and performance of the small-cap companies in Shanghai and Shenzhen securities market.

SSE 50 Index Futures

SSE 50 Index selects 50 largest stocks of good liquidity and representativeness from Shanghai security market by scientific and objective method. The objective is to reflect the complete picture of those good quality large enterprises, which are most influential in Shanghai security market.

China Financial Futures Exchange (CFFEX)

China Financial Futures Exchange Co. Ltd. (CFFEX), established with the approval of the State Council of the People’s Republic of China and the China Securities Regulatory Commission (CSRC), is an incorporated exchange specializing in providing trading and clearing services for financial futures, options and other derivatives. On September 8, 2006, CFFEX was established in Shanghai by Shanghai Futures Exchange, Zhengzhou Commodity Exchange, Dalian Commodity Exchange, Shanghai Stock Exchange, and Shenzhen Stock Exchange. CFFEX’s main functions are to organize and arrange for the trading, clearing and delivery of financial futures and other financial derivatives; formulate relevant rules; conduct self-regulation; disseminate market data and related information; provide relevant technologies, venues and facilities; and perform other functions approved by the CSRC.

Shanghai Futures Exchange

Shanghai Futures Exchange (SHFE) is under the uniform regulation of CSRC and organizes the futures trading approved by CSRC. Currently there are 14 futures contracts available for trading on SHFE, including the futures on copper, aluminum, zinc, lead, nickel, tin, gold, silver, steel rebar, steel wire rod, hot rolled coil, fuel oil, bitumen and natural rubber. SHFE Business Services Co., Ltd., Shanghai Futures Information Technology Co., Ltd., Shanghai Futures and Derivatives Research Institute and Shanghai International Energy Exchange are the subsidiaries of SHFE.

Dalian Commodity Exchange

Founded in 1993, the Dalian Commodity Exchange (DCE) is a futures exchange approved by the State Council and regulated by China Securities Regulatory Commission (CSRC). Over the years, DCE has already become the world’s largest agricultural futures market as well as the largest futures market for oils, plastics, coal, metallurgical coke, and iron ore. The major functions of DCE include providing venues for futures and options trading; developing and listing contracts; organizing and supervising trading, clearing, and settlement; surveilling market activities and enforcing rules; formulating and implementing risk management rules; organizing marketing and investor education events; providing market data and information services, etc.

As of now, a total of 17 futures and 2 options have been listed for trading on DCE, which include No.1 soybean, soybean meal, corn, No.2 soybean, soybean oil, linear low density polyethylene (LLDPE), RBD palm olein, polyvinyl chloride (PVC), metallurgical coke, coking coal, iron ore, egg, fiberboard, blockboard, polypropylene (PP), corn starch, ethylene glycol (EG) futures, soybean meal options and corn options, covering sectors of grain, oils and oil seeds, livestock, animal feed, forestry, chemical, energy, and metals. In 2018, DCE’s annual trading volume reached 982 million lots (unilateral) and Its turnover totaled RMB 52.2 trillion.

Zhengzhou Commodity Exchange

Zhengzhou Commodity Exchange (ZCE) was founded on October 12, 1990. With the approval of the State Council, ZCE was established as China’s first pilot futures market. After two years of successful operation of a spot market, ZCE officially launched futures trading on May 28, 1993.

Up to date, ZCE has listed 19 futures products and 1 options product, including common wheat, strong gluten wheat, early rice, late indica rice, japonica rice, cotton, cotton yarn, rapeseed, rapeseed oil, rapeseed meal, white sugar, apple, thermal coal, methanol, pure terephthalic acid (PTA), flat glass, manganese silicon, ferrosilicon futures and white sugar options, covering crucial fields of national economy including agricultural, energy, chemical, construction materials and metallurgical industries. By the end of June 2019, ZCE’s annual trading volume has reached 523 million lots and it’s turnover totaled RMB 19.42 trillion.