Hong Kong Exchanges and Clearing (HKEx) has signed a memorandum of understanding (MOU) with the China Financial Futures Exchange (CFFEX) on cooperation and exchange of information.
The MOU was signed by HKEX Charles Li and CFFEX president Zhu Yuchen in Shanghai Wednesday, and marks another step in HKEx’s strategy to prepare itself for competition from mainland Chinese exchanges, as well as the possible arrival of a competitor in Hong Kong itself.
"CFFEX is at the forefront of the Mainland’s financial development and HKEx, as an international exchange, is playing a leading role in China’s economic development," said Li. "This shows that the two exchanges can work together towards a common goal."
The agreement is the first that CFFEX has signed with another exchange. Yuchen added that HKEx had given CFFEX “a lot of support” during its establishment, which took place in September 2006.
CFFEX is a joint venture of the Zhenghzhou Commodity Exchange, Dalian Commidty Exchange, Shanghai Stock Exchange, Shenzhen Stock Exchange and the Shanghai Futures Exchange.