Agricultural Futures Exchange of Thailand

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Agricultural Futures Exchange of Thailand
Logo afet.gif
Founded 2001
Headquarters Bangkok, Thailand
Key People Sanit Vorapanya, Chairman; Dr. Nitus Patayotin, President
Products Rubber, Rice, Tapioca futures
Website http://www.afet.or.th/v081/english/

The Agricultural Futures Exchange of Thailand (AFET) is the exclusive agricultural futures exchange in Thailand.[1] It is regulated by the Agricultural Futures Trading Commission,[2] which was established under the provisions of the Agricultural Futures Trading Act B.E. 2542 enacted in 1999. It is funded by the government of Thailand.[3]

Trading at the AFET is via an electronic system provided by Patsystems[4] and is a continuous process. The AFET introduced the Internet trading “AFET DIRECT[5] in August last year. AFET Direct offers simulated trading for new traders.[6][7]

AFET has two classes of members, "brokers" and "traders". Both members types, brokers and traders have direct access to the market. Traders can trade only for their own accounts. Brokers represent the public in the market, but can also trade for their own accounts.[8] The limited membership policy is applied for brokers only. And the limited number of brokers is currently twenty. The trader-type membership is always open.

The AFET has an an in-house clearing house unit to ensure the financial integrity of each trade. The AFET's clearing house is divided into 3 divisions which are the clearing division (clearing transactions between AFET and broker members), risk management division, and delivery division.[9]

Memorandum of Understanding

The AFETS has signed MOUs with the Dalian Commodity Exchange[10], the Tokyo Commodity Exchange,[11] Bursa Malaysia Derivatives[12] and the Multi Commodity Exchange of India.[13]

History

The first Board of Directors of the Agricultural Futures Exchange of Thailand was appointed on September 20, 2001. Chana Rungsaeng was elected by the board as the Chairman and they appointed Mr. Jalthong Patamapongs the President. Ms. Napaporn Kurupasutachai served served as president from 2004 to 2007, but resigned with one year left on her contract for health reasons.[14][15]

Products and Services

The AFET trades rubber, rice and tapioca.[16] It launched its first futures trading with the natural rubber, ribbed smoked sheet no.3 (RSS3) on May 28, 2004. Next, white rice 5% brokens was also listed on August 26, 2004 and tapioca starch premium grade on March 25, 2005.

As of February 21, 2008, rubber was the leading AFET contract with 1311 contracts of open interest. The exchange volume record is 1441 total contracts traded on October 29, 2007. The exchange open interest record was set at 4294 contracts on January 13, 2006.[17]



Key People

Approved Brokers

External Links

References

  1. Introduction. Agricultural Futures Exchange of Thailand.
  2. Investor Protection. Agricultural Futures Trading Commission.
  3. MCX inks strategic MOU with the Agricultural Futures Exchange of Thailand. Multi Commodity Exchange of India Ltd..
  4. Exchange Solutions. Patsystems.
  5. What is AFET Direct. Agricultural Futures Exchange of Thailand.
  6. Thailand's three-year-old commodities futures market builds a profile by inviting newcomers to test their skills in real-time simulation. Patsystems.
  7. Steps to Play with Simulation. Agricultural Futures Exchange of Thailand.
  8. Types of Members. Agricultural Futures Exchange of Thailand.
  9. Role of the Clearing House. Agricultural Futures Exchange of Thailand.
  10. Dalian Commodity Exchange Signs MOU With Agricultural Futures Exchange Of Thailand. Mondovision.
  11. Signing of MoU by TOCOM and AFET. Tokyo Commodity Exchange.
  12. Bursa Derivatives inks pact with Thai agri futures exchange. New Straits Times.
  13. MCX, Thailand Futures Exchange in pact. Rediff India Abroad.
  14. Struggling AFET to expand hours, introduce more products. Bangkok Post.
  15. The Agricultural Futures Exchange of Thailand. Thailand Board of Investment.
  16. Products. Agricultural Exchange of Thailand.
  17. Historical Data. Agricultural Futures Exchange of Thailand.
  18. AFET appoints new president. Move & Buy.