SGX says cross-margining key in battle for RMB futures market
The ability to cross-margin contracts across asset classes will give SGX a competitive advantage with up to 30% margin savings, according to the exchange, although some market players are doubtful this can be achieved
Singapore Exchange (SGX) is launching an RMB futures contract and expects cross-margining benefit with clients' equity futures portfolio to give it an advantage in the battle for market share with the Hong Kong Exchange which already offers its own CNH futures instrument.
SGX is planning to launch CNH and CNY futures, in addition to yen and Thai baht futures later this year. These futures contracts will be eligible to be netted against other corresponding equity futures positions on the exchange
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