BOFIT Weekly Review 2015/48
New yuan trading forum open in Europe
The China Europe International Exchange (CEINEX), a joint venture of the Frankfurt and Shanghai stock exchanges and the China Financial Futures Exchange, opened for trading on November 18. The Frankfurt-based operation facilitates investments in yuan-denominated products. The product selection consists of exchange-listed funds (ETFs) made up of mainland China shares and bonds.
CEINEX represents the latest step towards deregulation of Chinese capital movements and China’s integration with global markets. Because the venture includes two central players in Chinese financial markets, it gives added credence to the view that Chinese officials are serious about opening the country to international business. This year both the London exchange and the Paris-based Euronext, began trading in yuan-denominated ETF funds, although with a product range narrower than on CEINEX.