Singapore’s Asia Pacific Exchange (APEX) have recently concluded its inaugural trading-simulation competition. After 3 weeks of intense competition, three Gold, five Silver and five Bronze medallists have been selected.
Since its commencement on 9 Apr, the competition have garnered strong interests from people enthusiastic about futures trading, The contract available for trading was APEX’s introductory palm oil futures contract. During the competition, every account was allocated with a virtual capital of $500,000. The virtual capital provided participants an opportunity to experience trading in real market environment, without any form of monetary risk. In order to organise the competition, APEX collaborated with various mainstream software developers to provide free trading software for the competitors. The trading software allowed users to view market activities, make trades, and manage risk in real time.
Through this competition, APEX hopes to get market participants familiarised with its palm oil futures contract specifications and trading rules, and enliven the market prior to its launch. At the same time, the competition enables APEX to stress test its trading and clearing system, ensuring that processes will run smoothly when it goes live officially.
It is known that APEX will be presenting monetary reward for the winners of the competition, and the winner list will be announced in due course.
Based on publicly available information, APEX is the first international exchange established by a Chinese, and Singapore’s third derivative exchange to receive a full trading and clearing license from the Monetary Authority of Singapore (MAS). APEX plan to launch its very first product, the refined palm olein futures contract, in May 2018. The contract will be denominated in US dollars, and delivered on FOB basis. The exchange also aims to offer a full suite of commodities and financial derivatives in five years.
According to sources closed linked with APEX, the exchange is committed to the promotion of the status of the palm oil industry, offer new platforms for the global palm oil trade, provide new tools for risk management and intercity investment arbitrage, and create an Asian benchmark for the commodities and financial markets.