SHFE is one of the world’s leading derivatives commodity exchanges, playing a significant role in the global financial system. So, what is SHFE? What products does it offer, and why is it attracting attention from individual and institutional investors alike? Let’s delve into the details to better understand investment opportunities on SHFE and how SFVN Investment JSC partners with you in this sector.

What is SHFE?

SHFE, short for Shanghai Futures Exchange, is a major derivatives commodity exchange based in China. Established in 1999, SHFE specializes in providing derivative financial products backed by diverse underlying assets, including metals, energy, and agricultural commodities.

The role of SHFE extends beyond offering investment products; it also creates a transparent and reliable environment for investors to safeguard their asset values against market volatility.

Why does SHFE attract investors?

• High liquidity: With large trading volumes, SHFE ensures smooth and quick transactions.

• High transparency: Rigorous management and monitoring processes guarantee investor safety.

• Global influence: SHFE not only serves the domestic market but also connects closely with other major global commodity exchanges.

>>> Learn more: Top 12 leading derivatives commodity exchanges worldwide

SHFE is a major derivatives commodity exchange in Asia with global influence

History and development of SHFE

SHFE has a notable development history, marking the rapid rise of China's financial markets:

• 1999: SHFE was established to meet the demand for asset value protection amidst China’s rapidly growing economy.

• 2006: Introduced futures contracts for metals like copper, aluminum, and zinc, solidifying its position in the derivatives market.

• 2020 - Present: SHFE continues to enhance trading technology and attract international investors, making it one of the world’s largest exchanges.

SHFE not only serves the domestic market but also maintains strong connections with major global commodity markets like CME Group (USA) and LME (UK). The prices of SHFE-traded products directly impact global supply chains, especially in manufacturing industries.

SHFE – A symbol of development and innovation in China’s derivatives market

Products traded on SHFE

SHFE offers a diverse range of trading products, categorized into the following groups:

Base Metals

• Copper: Widely used in construction and electronics industries.

• Aluminum: A lightweight metal essential for industrial production and transportation.

• Zinc and Lead: Popular due to their applications in manufacturing and construction.

• Nickel: Crucial for stainless steel production.

Precious Metals

• Gold: A popular choice for wealth preservation and inflation hedging.

• Silver: A highly valuable metal used both in industries and as an attractive investment vehicle.

Energy

• Crude Oil: A strategic commodity with massive trading volumes.

• Coke: A key material in the steel industry.

Other Products

In addition to metals and energy, SHFE provides agricultural products and other specialized items for various industrial sectors.

Invest in derivatives commodities with SFVN

SFVN is proud to be the first foreign-influenced trading member of the Vietnam Commodity Exchange (MXV). With deep market insights and the ability to meet diverse investment needs, SFVN provides professional derivatives trading services and delivers international expertise with a global perspective, helping investors seize major market opportunities.

Steps to Begin Investing in Derivative Commodities at SFVN

If you’re looking to enter the agricultural derivatives market, SFVN is the ideal starting point. Below are the simple steps to embark on your investment journey:

• Step 1: Understand the market and products

  Gain insights into the derivatives market and commodities such as agricultural products, metals, and energy, with support from SFVN's materials and advisory services.

  
  

• Step 2: Open a trading account 

  Quickly register an account online, including a demo account to familiarize yourself with the market.

  
  

• Step 3: Fund your account 

  Choose a flexible funding method to begin trading.

  
  

• Step 4: Join training sessions and get advice

  Participate in training sessions from basic to advanced levels and receive expert support to build investment strategies and manage risks.

  
  

• Step 5: Execute trades and monitor the market: 

  Trade derivatives contracts on SFVN’s platform, stay updated with market information to optimize investment decisions, and manage your portfolio effectively.

SFVN offers safe and effective investment opportunities in the derivatives market

Conclusion

SHFE is not only China’s largest derivatives commodity exchange but also one of the world’s top commodity trading platforms. Participating in SHFE trading provides significant opportunities for investors to manage risks and optimize profits.

Open a derivatives trading account with SFVN today to stay ahead in effective investment trends!