Jul 19, 2013
July 5th 2013 - On June 24, BOC signed a memorandum of understanding on strategic cooperation with the London Metal Exchange (LME) and Hong Kong Exchanges and Clearing Limited (HKEx) in Hong Kong. Under the memorandum, the three sides will explore cooperation in fields such as clearing member business, bank settlement business, RMB-denominated futures R & D and establishment of a mechanism of regular exchange and training.
At the signing ceremony, BOC Vice President Chen Siqing first extended heartfelt congratulations on the 13th anniversary of HKEx's founding. Bank of China (UK) Limited has obtained LME clearing membership as its first Chinese member over 135 years since its establishment as well as the first Chinese institution that directly provide transaction and clearing services on the exchange. After the conclusion of the cooperative agreement, the three parties will take full advantage of respective resources to further develop new cooperation fields, thereby jointly offering customers quality and efficient integrated financial services.
The signing marks a new beginning of BOC's all-round cooperation with HKEx and LME. Charles Li, CEO of HKEx Group, expected much of the cooperation, saying the three parties will work together to explore the feasibility of settlement of LME contracts in the RMB as well as the potential of developing RMB-denominated commodity products via platforms under HKEx Group.
As the world's No. 6 exchange in terms of market value, HKEx has raised the largest amount of capital for new shares in the world over the past three years and played a vital role in the global capital market. As the world's largest nonferrous metal transaction platform, LME boasts a long history of over a century and has long kept ahead in the international metal market. On December 6, 2012, HKEx wound up its acquisition of LME.
Re-disseminated by The Asian Banker