Benefits of SMX

SMX offers its market participants all the macro and micro economic benefits expected of an exchange:

Market transparency
Trade transparency through electronic matching of bids and offers based on price-time priority, using advanced technology and systems specially created for today’s commodity markets.

Price discovery
Price discovery for commodities consumed or produced in large quantities in Asia.

Price benchmarking
Benchmarking of commodity prices for other global markets opening throughout the day.

Counterparty guarantee
Clearing and settlement guaranteed through a Monetary Authority of Singapore (MAS) regulated clearing house, SMXCC.

Price risk management
Provision to both producers and commodity traders of a well adjusted hedging mechanism matching their risk reduction needs.

Single window for multiple products
Creation of an exchange in one location and one time zone for multiple products and different derivative asset classes, with all the convenience of a single financial hub.

Time zone convenience
Synchronisation of trading in physical commodities and their related derivatives. An end to time gaps between physical trading and derivatives hedging.

Multiple connectivity options
Access to the trading platform via leased lines, dial-up, multi-protocol label switching, and internet, either using the in-house front-end provided by SMX, or a front-end developed by independent software vendors (ISVs) or Members’ own IT departments through FIX.