IV. Strengthening the Whole Process Supervision of Futures Companies

(5) Enhance the management of futures company equity and corporate governance. Strengthen the penetrating supervision of shareholders and actual controllers of futures companies to prevent institutions and personnel who do not meet the specified conditions from controlling futures companies. Guide futures companies to establish a clear governance structure and a standardized governance system. Enhance the supervision of directors, supervisors, senior management personnel, and practitioners of futures companies, and severely punish actions that infringe upon customer interests. Closely monitor related-party transactions of futures companies, and strictly prohibit related parties from improperly occupying or misappropriating the assets of futures companies.

(6) Regulate the business activities of futures companies and their subsidiaries. Improve the functional positioning of futures companies, strictly require business qualifications, and achieve comprehensive supervision of the business activities of futures companies and their subsidiaries. Strengthen the supervision of futures brokerage business and standardize the marketing behavior of futures companies. Enhance the supervision of futures trading consulting business and standardize the release of research reports. Guide futures companies to focus on futures and derivatives fields in conducting asset management business, earnestly fulfill proactive management responsibilities, and promote the substantial independent custody of customer assets. Strengthen the supervision of futures market-making transactions and derivatives trading business. Urge futures companies to improve internal control systems, enhance compliance management and risk control of subsidiaries. Strengthen the supervision of futures company information technology, urge futures companies to strictly manage external access to trading information systems, and ensure information technology security.

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(7) Establish a long-term mechanism for futures company risk resolution. For futures companies that do not meet the requirements of continuous operation rules and severely affect normal operations, legally revoke futures business licenses. Encourage the resolution of futures company risks through mergers and reorganizations. Strengthen the coordination of public opinion management, risk disposal, and stability maintenance, and resolve individual case risks of futures companies in a stable manner. Support futures companies that meet the conditions to expand channels for capital replenishment, enhance comprehensive strength and risk resistance.

V. Strengthening Futures Market Risk Prevention

(8) Consolidate the futures market risk prevention and early warning system. Establish a cross-exchange, cross-market, and cross-border risk monitoring indicator system. Improve the rules for the closed operation and secure custody of futures margin, ensuring that the flow of funds in the futures market is clear and manageable. Strengthen the monitoring and management of large amounts of funds. Conduct regular stress tests in the futures market, optimize test methods, enhance quantitative analysis, and strengthen the source control and early correction of risks.

(9) Improve the ability to respond to and handle risks in the futures market. Solidify the risk management and loss absorption responsibilities of settlement participants. Optimize the management of collateral. Strictly review the qualifications of futures delivery warehouses, strengthen the daily management of delivery warehouses, and promote the sharing of delivery warehouse risk early warning information among futures exchanges. Optimize multi-level breach of contract risk disposal rules. Explore the normalization and convenience of using futures risk reserves. Improve the network and information security level of futures market infrastructure. Strengthen the record management of futures market information technology service institutions.

VI. Enhancing the Quality and Efficiency of Commodity Futures Market Services to the Real Economy

(10) Fully leverage the functions of commodity futures and options varieties. Focus on building a strong agricultural country, a strong manufacturing country, and green low-carbon development, and improve the layout of commodity futures market varieties. Based on better meeting the risk management needs of physical enterprises, enrich the trading tools of the commodity futures market. Promote the continuous alignment of the commodity futures market with the actual situation of the spot market and the needs of industrial development, continuously improve the level of function performance, enhance the influence and competitiveness of bulk commodity prices, and promote the accelerated construction of a strong trading country.

(11) Serve the high-quality development of the real economy through the linkage of futures and spot markets. Formulate and implement an action plan to improve industrial customers, continuously improve the institutional environment for corporate hedging transactions. Steadily promote combined margin, improve market-maker management rules, and reduce the cost of corporate hedging. Utilize the professional advantages of futures companies to provide higher-quality derivative comprehensive services for physical enterprises. Conduct in-depth trend monitoring and forward-looking analysis of key commodity price and quantity indicators, establish a comprehensive analysis system of futures and spot, on-site and off-site, domestic and foreign, enhance the ability to view macro from futures and view futures from macro, and better serve macroeconomic management. Strengthen the analysis and interpretation of futures prices, guide enterprises to reasonably arrange production and operations according to price signals. Promote the high-quality development of the wholesale industry and enterprises, standardize the transaction of commodity spot markets, promote the optimization and upgrading of commodity spot markets, improve the credit level of commodity spot markets, and create more favorable basic conditions for the high-quality development of the commodity futures market.VII. Steady and Prudent Development of Financial Futures and Derivatives Markets

(12) Enhance the development level of financial futures and derivatives markets. Utilize the dual functions of stock index futures and options to stabilize and invigorate the market, enrich trading varieties, expand market coverage, improve trading convenience, strengthen the collaborative linkage between futures and spot markets, and contribute to enhancing the inherent stability of the stock market. Under the inter-ministerial coordination mechanism for treasury futures, prudently and orderly promote pilot programs for commercial banks to participate in treasury futures trading. Support various long-term funds to conduct hedging transactions in financial futures and derivatives.

(13) Deepen regulatory reforms in the field of capital market derivatives. Improve regulatory rules for derivatives in the capital market, and unify the regulatory standards and intensity for securities and futures operating institutions to conduct derivatives transactions. Strengthen the trading reporting repository in the capital market field, establish a unified and standardized identification system for institutions, products, and transactions, enhance data quality and usability, promote data exchange between reporting repositories, and provide support for strengthening systemic risk monitoring and surveillance. Strengthen prudential supervision and behavioral supervision of over-the-counter derivatives business by securities and futures operating institutions.

VIII. Steady Progress in Opening Up the Futures Market

(14) Continuously expand high-level institutional opening up. Orderly promote eligible commodity futures and options varieties to be included in the scope of opening up, allowing qualified foreign investors to participate in more commodity futures and options trading varieties. Research on including stock index futures and treasury futures in specific varieties for opening up. Support domestic and foreign futures exchanges to deepen product and business cooperation, and allow foreign futures exchanges to launch more financial products linked to domestic futures prices. Increase efforts to develop and cultivate international markets, attracting more foreign industrial enterprises to participate in domestic futures trading.

(15) Strengthen regulatory capacity construction under an open environment. Further leverage the functions of the China Futures Market Monitoring Center, solidify the foundation of big data, enhance data mining and analysis capabilities, and transform towards digitalization, intelligence, and real-time response, significantly improving the operational monitoring level of the futures market under an open environment.

IX. Deepen Regulatory Collaboration in the Futures Market

(16) Optimize the allocation of futures regulatory resources. Strengthen the administrative regulatory functions of the China Securities Regulatory Commission (CSRC) over the futures market, and improve the self-regulatory management functions of futures exchanges and the futures industry association. Fully utilize technological means to empower futures regulation, enhance the effectiveness of non-site monitoring, and optimize the allocation of on-site inspection resources. Relying on the regulatory big data warehouse, strengthen data and information sharing between futures regulation and the regulation of stocks, bonds, funds, etc.

(17) Strengthen cross-departmental and cross-regional regulatory collaboration. Enhance information sharing, communication, and collaborative linkages between futures regulatory departments and spot market management departments, other financial management departments, to properly respond to risks in futures and spot markets, and promote the stable and healthy development of futures and spot markets. Strengthen training for industrial enterprises, and promote the full utilization of the futures market by industrial enterprises to improve operational levels and risk resistance capabilities. Financial management departments, local governments, and judicial authorities strengthen communication and collaboration to jointly combat illegal and irregular activities in the futures market and illegal futures activities. The CSRC further strengthens cross-border regulatory enforcement collaboration with foreign regulatory agencies.

X. Safeguarding MeasuresAll relevant parties should follow the requirements of this opinion, refine their division of responsibilities, strengthen resource support, enhance work collaboration, and ensure the implementation of various policy measures by providing policy interpretation and personnel training. It is essential to strengthen the research and design of basic systems, continuously assess the targeted, effectiveness, and execution of futures market rules and regulations, and promote the establishment, amendment, and abolition of regulatory rules. All regions and departments should create a favorable public opinion environment for the high-quality development of the futures market, and cautiously advance policies and measures with a wide range of impact and market attention. It is crucial to effectively strengthen the political construction, ideological construction, organizational construction, style construction, and discipline construction of the futures regulatory cadres, enhance their political quality and professional ability, and achieve a significant transformation in regulatory concepts and work style. Futures companies should be guided to strengthen team building, promote an industry culture of honesty and trustworthiness, righteousness and profit, prudence and caution, innovation within the rules, and compliance with laws and regulations, and establish a good social image.