China looks beyond commodity derivatives with equity options launch

New equity options on two exchanges

shanghai-stock-exchange
Shanghai Stock Exchange, home to one of the two new options launches

Although the first commodity-linked futures contract in China was traded in March 1991 on the Zhengzhou Commodity Exchange, the development of other asset classes including equity-linked futures and options products has lagged markedly with the first futures contract referencing the CSI 300 index, an index of 300 Shanghai and Shenzhen listed A-shares, launched as recently as 2010 on the China Financial Futures Exchange (CFFEX). As a measure of the dominance of commodity derivatives onshore, 6