The 3rd Shanghai Derivatives Market Forum--Metals and Energy Markets, hosted by Shanghai Futures Exchange, was held on May 28, 2006.

Mr. Shang Fulin, Chairman of China Securities Regulatory Commission, said on the Forum that China’s futures markets had been developing fast and healthily. Risk management and regulating capability are elevated to a higher level, and product innovation is accelerated. The continued financial reforms have made the environment more friendly for the development of financial futures.

Mr. Fan Fuchun is his speech also mentioned that all the preparation should be proactively put in place for a timely listing of stock index futures and other derivatives. The development of financial futures will help complete the structure of futures market and contribute to the health and stability of the economy.

Speakers from the Chinese government agencies, associations, global financial institutions, metals and energy conglomerates addressed the issues of the innovation and development of futures market, financial functions of futures, development of derivatives markets, metals and energy markets. It was commonly agreed that with the progress of state shares conversion reforms going on, it has been more proper to list financial futures and other futures products on bulk commodities.