Abstract:
The futures and derivatives markets are a key area in China's advancement of institutional opening-up. Due to the unique nature of underlying assets, trading mechanisms, and functions, risks originating from the futures and derivatives markets are prone to cross-border transmission and are more likely to lead to systemic financial risks on a global scale. Based on a systematic review of historical risk events, four main types of linkages between risk terminals and risk centers have been identified: OTC chain linkage, on-exchange concentrated linkage, product-nested linkage, and price-pegged linkage. These approaches not only correspond to different risk types, severities, and transmission pathways, but also determine distinct regulatory logics and rules. Referring to the "financial trilemma" theory in an open economy, it is advisable not to implement closed regulation in order to strike a balance between integration and stability; instead, the openness and inclusiveness of financial regulation should be appropriately enhanced. In terms of substantive rules, domestic regulations should actively align with and adopt internationally recognized regulatory standards. In terms of coordinating rules, a compliance exemption system should be implemented based on regulatory deference and consensus mechanism to avoid regulatory conflicts while preventing the breeding and transmission of cross-border risks.
下载:
