The Taiwan Futures Exchange (TAIFEX) has launched its first energy futures contract – Brent Crude Oil Futures. Based on the worlds leading oil benchmark, ICE Brent Index, TAIFEXs new product is cash settled, Taiwan Dollars (TWD) denominated, and features small-sized contracts, which lower the barrier of entry for investors seeking to mitigate risks in the international oil markets.
The listing was marked by a launching ceremony attended by guests from its international partner – ICE Futures, as well as representatives from regulators and the futures industry.
Dr. Len-Yu Liu, Chairman of TAIFEX said, We are extremely pleased to work with ICE Futures Europe for launching Brent Crude Oil Futures in Taiwan. Our new product allows investors to pay their margins directly in TWD without any currency conversion, and greatly facilitates the trading and hedging needs of investors.
TAIFEXs Brent Crude Oil Futures contract is 200 barrels (31,797.46 liters), and available for trading in both regular and night session (8.45am to 1:45pm and 3.00pm to 5.00am of the next day).
This allows investors to respond to policy changes and price movements in volatile energy markets, which occur mostly in the European or US time zones. Similar to TAIFEXs DJIA Futures performance at our night session, the new product also has great potential for growth, and will further link Taiwans capital market with the pulse of international finance, said Dr. Liu.
On 3 July 2018, TAIFEX also hosted a Forum on the Overlook of Taiwans Capital Market, which bought together all major players in the Taiwan futures market. Guest speaker, Mr. Lucas Schmeddes, President and COO of ICE Futures Singapore, joined Mr. Allen Lin, Senior Vice President of TAIFEX, to discuss trends in the global energy market.
