CME and Taiwan Futures Exchange sign MoU
27 October 2006 | 1891 views | 0
Source: Taiwan Futures Exchange, CME
The Taiwan Futures Exchange (TAIFEX), a rising derivatives exchange in the Asia-Pacific Region and the only derivatives exchange in Taiwan, and CME, the world's largest and most diverse financial exchange, announced today that they are signing a Memorandum of Understanding (MOU) to establish a forum for information sharing between the two organizations.
"Asia is an important element of our global growth strategy," said CME Chairman Terry Duffy. "With this MOU, we hope to further develop our channels of communication and continue to foster our relationship with TAIFEX, a dynamic leader in the derivatives marketplace."
TAIFEX Chairman Dr. Rong-I Wu said, "The trend of globalization is forcing derivatives markets to face unprecedented competition. In addition to adjusting organizational structure and seeking market integration, exchanges are actively seeking international strategic alliances to form long-term growth strategies based on their core competencies. Through the exchange of information and the sharing of experiences, both exchanges can effectively tackle the challenge of internationalization by focusing on management efficiency, product development and market expansion to achieve a win-win situation."
The MOU will be signed by Dr. Wu and Phupinder Gill, President and Chief Operating Officer of CME. This is the ninth MOU to be signed by TAIFEX. Through the establishment of this cooperation platform with CME, which has the largest short-term interest rate futures market in the world, TAIFEX hopes to leverage on CME's experience in financial innovation and global expansion to actively participate in the global derivatives market.
"Signing this MOU with TAIFEX initiates a closer working relationship between our two exchanges and further expands our presence in Asia that began more than 20 years ago," said CME Chief Executive Officer Craig Donohue. "Through strengthened collaboration, we will learn from each others' experiences, gain additional insights into the diverse needs of our customers in the global marketplace and position ourselves to better understand and address the risk management needs of market users in this part of the world."
The signing ceremony will be held in the Far Eastern Plaza Hotel Taipei and will be witnessed by Dr. Shyan-Yuan Lee, a Commissioner at the Financial Supervisory Commission. "It is my sincere hope that both sides will derive the maximum benefit from their cooperation and that the relationship will make a major contribution to improve supervision of futures markets in both the U.S. and Taiwan," Dr. Lee said before the ceremony.