SHANGHAI, July 5 (Reuters) - Chinese listed firms are embracing hedging at a record pace, according to consultancy data, as market volatility rises and China grows its derivative market.
Forex hedging is popular among Chinese companies, according to D-Union, as regulators allow market forces to play a bigger role in deciding the yuan's value.
Companies including Semiconductor Manufacturing Electronics (Shaoxing) Corp (688469.SS) and liquor giant Luzhou Laojiao Co Ltd (000568.SZ) announced plans in the second quarter to hedge against forex risks.
Measures to develop China's derivative market also boosted interest in hedging, Ma said.
Electronics, basic chemicals, and electrical equipment were among sectors that were most active in hedging during the second quarter, according to D-Union data.
Persons:
Ma Weifeng, Ma, Li Gu, Samuel Shen, Tom Westbrook, Gerry Doyle
Organizations:
greenback, Semiconductor Manufacturing Electronics, Electronics, Sieyuan Electric Co Ltd, Thomson
Locations:
SHANGHAI, China, Shanghai, Shenzhen, Singapore