文档介绍：Ｔｕｒｂｏｃｈａｒｇｉｎｇ ｔｈｅ Ｆｉｎａｎｃｉａｌ Ｍａｒｋｅｔｓtheshy
Introduction of new financial instruments may not putChina’s markets in the fast lane just yet, a market analyst warns
China has introduced new sources of leverage into the financial system, which will enable participants to have “new opportunities both to hedge their bets and lever them up using futures, options and margin trading,” according to Mark A DeWeaver, a research analyst in Shenzhen who now manages a fund investing in Asian equities called Quantrarian Asia Hedge. He compares these measures to “turbocharging a car,” which he says can damage it if the engine’s basic structure cannot handle the pressure. His main ideas follow:
Participants in China’s financial markets may soon have new opportunities both to hedge their bets and lever them up using futures, options and margin trading.
So far, 10 put-and-call warrants have already been issued. (Puts are options that give the holder the right to sell the underlying share at a preset exercise price within a given time period. Calls convey the right to buy at a preset price.) Margin trading is expected to begin at the end of this year and a new financial futures exchange, which is likely to offer bond and stock index futures, may be in operation as early as next year. (Margin trading involves buying or selling using borrowed cash or stock.)
Many see these innovation