Jakarta, 18 November 2019 – Today, Jakarta Futures Exchange (JFX), the first derivatives exchange licensed by Commodity Futures Trading Regulatory Agency in Indonesia, announced a Memorandum of Understanding (MOU) with Asia Pacific Exchange (APEX), an international derivatives exchange approved by the Monetary Authority of Singapore, the third exchange with the Approved Exchange” and “Approved Clearing House” licenses in Singapore.
JFX has been in the derivatives industry in Indonesia for 19 years, having conducted its first trading in December 2000. The exchange currently has 80 members, with 19 derivative contracts currently listed on its board. It also runs 2 physical commodity exchanges whose prices serve as a benchmark for Indonesian government when setting reference price for the respective commodities. JFX has been in the forefront of technology and is currently undergoing fourth upgrade to its matching engine.
APEX commenced operations in May 2018 and currently has 5 contracts. The most active contract is the Crude Palm Oil Futures Contract, which was launched on 18th April 2019. During its first seven months of trading, the contract has seen its open interest grow steadily, reaching close to 15,000 contracts with an average daily volume around 23,000 contracts. It has seen its first physical delivery taking place from Indonesia in October, where 7,000 metric tonnes of crude palm oil were loaded from Batam Port and destinated to India.
The information sharing MOU between JFX and APEX will serve as a starting point for JFX to garner interests from international participants to trade in JFX’s contracts and vice-versa. It will be a fruitful cooperation for both JFX and APEX.
Stephanus Paulus Lumintang, President Director, Jakarta Futures Exchange, comments: “JFX is committed to providing its members with the best solutions and services in the derivatives industry. We hope that our cooperation with APEX can be used optimally by our members and, in turn, delivers benefits to the futures trading community in Indonesia.”
Eugene Zhu Yuchen, Chief Executive Officer, Asia Pacific Exchange, comments: “APEX is very honoured to partner with JFX and bring the futures trading industry in Indonesia to its next stage of development. We are committed to provide our time and resources so as to achieve mutual benefit between the two exchanges in terms of information and knowledge sharing. APEX looks forward to this partnership as well as more opportunities to work together in the future.”