Exchanges in Japan and China Sign MoU for Derivatives Market Cooperation

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Exchanges in Japan and China Sign MoU for Derivatives Market Cooperation

<p>Japan Exchange Group, Inc. (<a href="https://www.financemagnates.com/tag/jpx/" target="_blank">JPX</a>) and China Financial Futures Exchange Co. Ltd. (CFFEX) announced on Wednesday the signing of a memorandum of understanding for enhancing the cooperation between derivatives markets in the two countries.</p><p>"We hope that this agreement will contribute to making derivative products listed on both exchanges more convenient for market participants in both countries, such as by improving the <a href="https://www.financemagnates.com/terms/l/liquidity/" target="_blank" id="47c3bef3-27ee-4953-8504-159e1b829b33_1" class="terms__main-term">liquidity</a> of ETFs listed under the Japan-China ETF Connectivity scheme," said Kiyota Akira, the CEO of JPX Group.</p><p>It will allow the two exchanges to "actively collaborate on initiatives and promotional activities" for encouraging Japanese and Chinese investors to invest in derivatives products listed on the two markets.</p><p>Akira added: "In cooperation with CFFEX, we will work toward developing both derivative markets, contributing to further developments in the capital markets of both countries."</p><p>Enhancing Cross-Border Trading</p><p>Additionally, JPX signed another MoU on 25 January 2021 with Shenzhen Stock Exchange (SZSE) for the establishment of Japan-China ETF Connectivity*1. Now, these two exchanges have started promoting <a href="https://www.financemagnates.com/tag/etfs/" target="_blank">ETFs </a>to investors in the Japanese and Chinese securities markets.</p><p>On top of that, the exchanges have started to provide information on the opposite market.</p><p>"Following the establishment of Japan-China ETF <a href="https://www.financemagnates.com/terms/c/connectivity/" target="_blank" id="67c58fee-a85e-483c-8fac-648b94f10aab_3" class="terms__secondary-term">Connectivity</a> in 2021, we are very pleased to cooperate with SZSE in the promotion of ETFs using this scheme and in promotional activities for investors in the Japanese and Chinese securities markets," Akira said.</p><p>"We look forward to further deepening our cooperative relationship with SZSE and contributing to the further development of the capital markets in both countries."</p>

This article was written by Arnab Shome at www.financemagnates.com.

Source: Exchanges in Japan and China Sign MoU for Derivatives Market Cooperation