Foreign investors could trade crude futures under new draft rules

The Shanghai International Energy Exchange has released draft rules that would allow foreign investors to trade proposed crude oil futures through intermediaries with a net capital equivalent to at least RMB30 million (US$4.8 million), Bloomberg reported, citing a statement published on the exchange’s website. Foreign entities that don’t trade through agents would need the equivalent of at least RMB10 million of net capital under the draft rules, which do not yet provide details on foreign exchange rates and taxes. The China Securities Regulatory Commission originally planned for crude futures to begin trading last year; the current contract may start this year according to Exchange Chairman Yang Maijun.