Skip to main content

Clifford Chance

Clifford Chance


Clifford Chance Client Briefing-Another step towards the opening up of China -The domestic futures market

27 January 2015

To realise its commitment to open up the domestic capital market, China has, in different phases, introduced the QDII, QFII, RQFII and more recently the Shanghai-Hong Kong Stock Connect program.
Yet China's domestic futures market is still largely closed to foreign investors. To address this gap, the China Securities Regulatory Commission has, on 31 December 2014, issued a consultation draft of the measures that provide the regulatory framework for foreign traders and brokerage firms to trade designated domestic futures products.
This briefing looks at the access channels, eligibility criteria, risk control measures, and liabilities and enforcement measures under the draft, as well as how CSRC is likely to designate futures products available to such foreign participants.
The briefing further identifies certain outstanding issues, such as whether there would be coordination among all relevant PRC regulators to supervise futures trading, and whether futures trading by asset managers for the account of their clients would also be regulated.

Download PDF