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Shanghai Futures Exchange Signs Strategic Cooperation Agreement with China Everbright Bank


    On December 18, 2014, Shanghai Futures Exchange and China Everbright Bank signed a strategic cooperation agreement in Shanghai. Executive Vice-president Ye Chunhe of Shanghai Futures Exchange, Lu Hong, Executive Vice-president of Head Office of China Everbright Bank and Wu Chongkuan, Member of the Party Committee of Head Office and President of China Everbright Bank, Shanghai Branch attended the signing ceremony.
Under the agreement, both parties will vigorously push ahead with the construction of the futures market through diversified cooperation in service, product, channel, resource, training and research in line with the strategic requirements of the new Nine Opinions on Further Promoting the Healthy Development of Capital Market issued by the State Council. With their focus on “Innovation-driven Transformational Development” and best use of respective business features and competitive edges, they will build all-round strategic partnership to promote their business cooperation and the reform and development of the futures market. On one hand, they will leverage a wider range of financial services by expanding the futures market; on the other hand, they will improve the service capability of financial institutions for the futures market. The strategic cooperation aims to further enhance the market service capability of the futures market for real economy and its value creation capability as well and facilitate the win-win achievement of the strategic planning goals of both parties.
  Shanghai Futures Exchange endeavors to develop into a leading trading venue for commodities futures, options and other derivatives in the Asia-Pacific region with huge global influence. There are 12 products already listed for trading on the Exchange, covering such bulk commodity areas as nonferrous metals, precious metals, ferrous metals and energy and chemicals, among which Shanghai copper has become an authoritative quote in the domestic copper market of China. Shanghai Futures Exchange is the copper pricing center of Asia and one of the three copper pricing centers in the world. In 2013, the volume traded on Shanghai Futures Exchange accounted for 15.87% of the total global trading volume of commodities futures and options, ranking the fourth in the world. The volume of steel bar and copper ranked the first and the second respectively in the world’s metals futures, silver the second in the world’s precious metals futures and natural rubber the fifth in the world’s agricultural commodity futures. Meanwhile, with ongoing commitment to system and product innovation, the Exchange launched the continuous trading system for precious metals and nonferrous metals on July 5 and December 20 of 2013 respectively, and will initiate the continuous trading of energy and chemicals and ferrous metals products, which makes it easier for domestic metals futures market to be geared to international markets, reduces the overnight risks of market participants and is bound to play an important role in allowing futures markets to better serve real economy. In addition, with the successful launch of hot-rolled coil futures on March 21, 2014, the steel industry chain product portfolio has been gradually enriched and the service capability of the Exchange for industries improved constantly. Currently, the Exchange’s preparation for the launch of such major new products and derivatives as crude oil futures, nonferrous metals index and commodities futures and options is also in smooth progress.
  Established in August 1992 with the approval of the State Council and the People’s Bank of China, China Everbright Bank, with its head office in Beijing, is a financial enterprise providing its clients with comprehensive commercial bank products and services. The past over 20 years saw China Everbright Bank develop into a nation-wide strongly competitive joint-stock commercial bank with leading technological innovation capability, outstanding traditional businesses, diversified financial businesses and robust risk management. In 2010, China Everbright Bank was successfully listed on Shanghai Stock Exchange. In February 2013, its Hong Kong branch started business, which accelerated its internationalization process. In December 2013, China Everbright Bank was listed on the main board of Hong Kong Stock Exchange. Along with the development of China’s financial industry, China Everbright Bank made brilliant business achievements through ongoing innovative efforts in providing the society with quality financial services. As of December 31, 2013, China Everbright Bank’s assets totaled RMB 2,415.086 billion, liabilities RMB 2,262.034 billion, revenue for the year RMB 65.306 billion and net profit for the year RMB 26.754 billon. In the “Top 1,000 World Bank Rankings” announced by the British magazine “The Banker”, China Everbright Bank ranked the 59th. In the “Best Chinese Brand Value List” announced by Interbrand, the world’s largest comprehensive brand information company, China Everbright Bank ranked the 37th with a brand value of RMB 34.5 billion. On December 8, 2014, China Everbright Group Co., Ltd. was established officially in Beijing. The successful corporate restructuring will add new momentum to the development of the company and open a new chapter for the reform and development of China Everbright Group. China Everbright Bank is endeavoring to develop into the most innovative bank in China by implementing “more connotative development” and advancing model-based business operation with its own operating advantages.

  This strategic cooperation represents the “big time” trend featuring broadened and deepened cooperation among pan-financial institutions against the backdrop of China’s financial liberalization and internationalization. To be more compatible with liberalization, both parties adopt a more initiative, active and open attitude towards the cooperative development, which further pushes ahead with the healthy development of capital market, improves the multi-tier capital market system, accelerates the perfection of modern market system, achieves optimization of resource allocation and promotes the transformation and upgrading of futures market development.