The China Financial Futures Exchange, the country's fourth
futures bourse focusing on financial derivatives trade, will be
established on Friday in eastern China's Shanghai City.
The China Financial Futures Exchange, with a registered capital
of 500 million yuan (62.5 million U.S. dollars), is expected to
start trade on mainland stock index futures soon.
China's two stock bourses including the Shanghai and Shenzhen
Stock Exchange and three futures exchanges in Shanghai, Dalian and
Zhengzhou constitute the China Financial Futures Exchange's
principal five shareholders.
Zhu Yuchen, former general manager of the Dalian Futures
Exchange, has been appointed as the general manager of the China
Financial Futures Exchange by the China Securities Regulatory
Commission.
China has not started trade on stock index futures, preventing
domestic stock investors from being able to hedge risks against an
index slump when buying or holding stocks.
(Xinhua News Agency September 8, 2006)