Central Japan Commodity Exchange

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Central Japan Commodity Exchange
CCom logo.gif
Founded October 1, 1996
Headquarters Nagoya, Japan
Key People Susumu Kuroiwa, chairman and CEO
Products Futures in energy, ferrous and non-ferrous metals, rubber and eggs

The Central Japan Commodity Exchange (C-Com), founded in 1996, offered trading in futures on energy, eggs, metals, stock indexes and rubber. It ceased operations in January 2011 because of declining revenue amid slumping volume. The exchange suspended trading of contracts for gold, gasoline and kerosene over the course of the following year; it stopped trading rubber futures in April of 2010.

The loss in volume resulted from increased competition from overseas exchanges and a change in Japanese law in 2005 that limited small investors' access to trading. [1]

C-Com was ranked as the world's 51st-largest derivatives exchange by volume in 2010 according to the annual volume survey published by the Futures Industry Association (FIA).[2] The FIA report, published in March of 2011, notes that C-Com's total volume for 2010 dropped by 59.4% from the previous year, falling to 719,276 contracts.

History

The exchange was formed by the merger of the Toyohashi Dry Cocoon Exchange, the Nagoya Grain and Sugar Exchange and the Nagoya Textile Exchange.

C-Com merged with the the Osaka Mercantile Exchange (OME) in January 2007.[3]

In September 2007, the exchange launched a computer trading system called Trinity-X which supports trading on all C-Com products.

Structure and Regulation

C-Com is the only exchange in Japan that is licensed by both by the Ministry of Economy, Trade and Industry (METI) and the Ministry of Agriculture, Forestry and Fisheries (MAFF).

The exchange offers several types of membership: Market Members who have direct access to trading, and General Members who trade through Broker Members. Foreign investors may purhcase Associate Memberships. There are 30 Broker Members and 61 Associate Members from nine countries.[4]

The exchange's clearing operations are done through the Japan Commodity Clearing House.

Products and Services

Key People

Annual Volumes

2009

C-com ranked number 46 in 2009 in the Futures Industry Association's global list of top 53 derivatives exchanges measured by volume, down 45.8% on 2008's volume figure.[5] The FIA list, published in early April 2010, reports that that total volume for 2009 fell to 1.77 million from 2008's figure of 3.27 million.

References

  1. Central Japan Commodity Exchange to Close in January on Declining Volume. Bloomberg.
  2. 2010 Annual Volume Survey. Futures Industry.org.
  3. Merger of C-COM and OME. C-Com.
  4. Broker Members. C-Com.
  5. 2009 Annual Volume Survey. FIA magazine.