CME Group has approved China Merchants Futures (HK) Co as a CME, CBOT, NYMEX and COMEX clearing member, effective 21 October 2013.
"We are pleased to welcome China Merchants Futures as our clearing member," says Kim Taylor, president, CME Clearing. "Having clearing member firms in Asia continuing to join, allows us to better address the needs of our increasing client base in the region. Essential for many of our regional customers is the local experience and presence that China Merchants brings with their membership, and which we continue to build on."
"With Greater China clients now gaining access to global markets through financial institutions such as China Merchants Futures, we look forward to further support their participation and their clients," says Julien Le Noble, managing director, head of Asia Pacific, CME Group. "As we further enhance and expand our network of clearing members in the region, we will continue to bring our wide range of global benchmark products to new Asian client segments."
"Obtaining CME Group clearing membership is a part of China Merchants Securities' strategy to meet the huge demand from the mainland China to hedge the commodities price risks globally on major commodities exchanges," says Stephen Chan, chief executive officer of China Merchants Futures (HK) Co. "We see this membership as another step towards globalising our business."
The addition of China Merchants Futures brings the total number of clearing firms at CME Group to 72, with the Hong Kong-based firm becoming its fifth Asian clearing member.
Since 2012, clients of CME Group have been able to use offshore Renminbi deposits as collateral on all exchange futures products cleared through CME Clearing.
The company recently launched a telecommunications hub in Hong Kong, bringing to five the number of telecommunications hub it operates across Asia, including in Kuala Lumpur, Seoul, Singapore and Tokyo. In the second quarter of 2013, trading volumes from Asia in CME Group's core business were up 28 per cent from the same period last year.