At present, the development of derivatives market in China is obviously lagging behind. Among the top 20 countries in terms of global GDP, only China has no financial futures, and the entire financial industry lacks the pricing power of derivatives, and product pricing is at a low level. On the other hand, our enterprises have gone abroad and participated in world competition. They are faced with risks that many enterprises are unwilling to bear, such as market risk and exchange rate risk. Many large international enterprises can avoid many risk positions through derivatives or other products. In this way, when competition occurs, China enterprises lack the ability and flexibility to resist risks and are likely to be at a disadvantage in the competition. Therefore, many domestic enterprises go to overseas markets to make derivatives, while China enterprises, which are still young children in the derivatives market, are often targeted by international speculators and suffer heavy losses in their elaborate traps. For example, 1994, Zhonglian Petrochemical was sued by Lehman Brothers after a series of derivatives transactions failed, demanding repayment of 44 million US dollars. During the period of 1998, Zhuzhou Smelter lost $65,438+76 million in speculative short selling of zinc on London Financial Exchange. In 2004, CAO (Singapore) lost $550 million in oil derivatives trading, which directly led to the bankruptcy of the company ... After the loss, these enterprises all claimed that they did not understand the derivatives market and were defrauded by their counterparties or cooperative investment banks. However, in the international market, it is almost impossible to protect such disputes. Therefore, it is necessary to promote the development of China's derivatives market as soon as possible. First of all, enterprises in China's derivatives trading are cheated and easily protected; Secondly, it is easy to be supervised. In the above-mentioned cases, enterprises have gone astray in derivatives trading, which is very necessary to standardize the supervision of enterprise derivatives trading.

Not only productive enterprises, but also many domestic financial institutions are suffering from many unnecessary risks because of the lack of necessary derivatives to hedge risks. At the annual financial meetings in 2006 12 and 12, the senior executives of three listed banks, ICBC, CCB and BOC, expressed their current worries, that is, exchange losses caused by the continuous appreciation of RMB. According to the semi-annual report of CCB in 2006, in the first half of 2006, the exchange loss of CCB was as high as 2.4 billion yuan, with an average daily loss of about130,000. According to the semi-annual report of BOC in 2006, in the first half of 2006, the exchange loss of BOC, the largest foreign exchange bank in China, was as high as 3.5 billion yuan, with an average daily loss of about 654.38+092.3 million. Goldman Sachs previously released a report predicting that for every RMB appreciation 1%, BOC's profit will decrease by 3.3% and its net profit will decrease by 0.6%. According to public data, as of the end of June, 2006, the foreign exchange exposure of major commercial banks in China was above $80 billion. According to the data provided by the foreign exchange bureau, China's foreign exchange reserves exceeded the trillion-dollar mark in 2006. According to the preliminary statistics provided by the General Administration of Customs on February 6, 2006, by the end of June, the total value of China's foreign trade import and export was 1 1 593 billion US dollars, an increase of 31/kloc-0 billion US dollars, an increase of 24.3%. According to the conservative expectation that RMB will appreciate by 5% every year, it is preliminarily estimated that China's commercial banks, foreign exchange reserves and total trade value may face losses of about US$ 4 billion, US$ 50 billion and US$ 80 billion respectively. With the deepening of the market-oriented reform of RMB exchange rate formation mechanism, exchange rate volatility is increasing, and the exchange rate risks faced by financial institutions and foreign exchange-related enterprises in China are becoming more and more severe. How to manage the exchange rate risk and vigorously develop RMB derivatives has become an increasingly urgent problem. In addition to exchange rate risk, interest rate risk and credit risk management and control are all difficult problems that financial institutions such as commercial banks must face. With the development of China's securities market, the stock market risk is getting bigger and bigger, especially the systematic risk in China's A-share market accounts for a high proportion of the total risk, and the voice of withdrawing from financial derivatives such as stock index futures is getting higher and higher. Therefore, deepening financial reform and promoting the development of derivative products is an irreversible development path. However, a practical problem in developing derivatives market is the lack of talents and experts in quantitative financial engineering in China.