China Chooses Stability Over Derivatives

China has been on the cusp of opening its equity markets to derivatives for a number of years, as authorities in the past have flirted back and forth with a more liberal economy. While onshore funds had greater access to certain short-selling strategies in the past, August 2015 changed all that. Now, China’s recent move to momentarily halt the quotation of the Chinese volatility index is a further sign the Chinese derivatives market could be dead and buried. Daniel O’Leary reports.