Loh Boon Chye, SGX
"SGX is Asia's most connected exchange and this is an important step in enhancing our links with the North American market and broadening our international footprint."
Singapore Exchange (SGX) is to establish a presence in the CME Group co-location facility based in Aurora, Illinois, to provide direct connectivity for customers between the two facilities.
The SGX Chicago Hub, hosted within the CME Group co-location data centre, will enable customers in North America to connect directly to SGX and access its derivatives trading and market data services.
The hub will allow access to SGX's portfolio of over 60 equity, FX and commodities futures contracts that are approved for trading by direct access in North America by the Commodity Futures Trading Commission (CFTC).
SGX has a long-standing collaborative relationship with CME Group beginning with a mutual offset agreement in 1984. This gives customers the ability to offset their positions on a number of contracts between SGX and CME Group, and provides round-the-clock trading and risk management. SGX also has existing data centre linkages with ASX, Eurex, HKEx and JPX.
Loh Boon Chye, CEO of SGX, said, "SGX is Asia's most connected exchange and this is an important step in enhancing our links with the North American market and broadening our international footprint. Connectivity in today's evolving capital markets is essential to serving our customers' needs. Through this point of presence we will bring investors in North America closer to Asia's markets while entrenching SGX's role as the world's largest offshore market for Asian equity index futures. We are pleased to be strengthening our relationship with CME Group, and look forward to seeing customers use the hub as a means of accessing and risk managing Asian exposure."