Singapore Mercantile Exchange (SMX), a pan-Asian multi-product commodity and currency derivatives exchange, has commenced operations on its electronic trading platform.
SMX, which is regulated and licensed by the Monetary Authority of Singapore, offers multi-currency and multi-asset clearing, trading, and pricing for contracts with guaranteed settlement and delivery. The contracts are developed to meet both generic and specific hedging requirements over Asian trading hours.
The four SMX futures contracts launched from the first day of trading on its platform include two leading crude oil benchmarks, a currency pair and a gold futures contract to be settled via physical delivery. Further products will be rolled-out in market segments such as energy, agriculture, metals (precious and base), indices, and currencies.
Ang Swee Tian, chairman of SMX, said, “The launch of SMX is timely to fill the growing need for a pan-Asian commodity derivatives exchange. Recent crises in the global financial markets have built a permanent preference for more regulated trading instruments such as the exchange-cleared contracts to be listed on SMX. As Asia’s first multi-product commodities and currency derivatives exchange, SMX is poised to tap on these opportunities and further enhance Singapore's development as a global derivatives trading hub.”
SMX has appointed Standard Chartered Bank, RBS and ICICI Bank as settlement banks. Price feeds on SMX Contracts are available through data providers Bloomberg and Thomson Reuters.