Singapore Exchange proposes metals futures contracts introduction

Singapore Exchange (SGX) has proposed the introduction of non-ferrous metals futures contracts for trading on the SGX derivatives market.

The introduction of new futures contracts arises from SGX’s partnership with the London Metal Exchange (LME).

The new contracts are standard, cash-settled non-ferrous metals futures contract based on settlement prices from LME.

For a start, SGX is considering four new contracts: LME-SGX Copper Futures Contract, Primary Aluminium Futures Contract, Zinc Futures Contract and Nickel Futures Contract.

According to SGX, the proposed new contracts will boost its current suite of commodities contracts, offering its global investors more trading, hedging and arbitraging opportunities.

The new contracts will also meet the needs of market participants during the Asian trading hours, SGX said.