B3, the Brazilian stock exchange, has entered a strategic partnership with SGX Group (Singapore Exchange) to launch Brazilian Real futures contracts in the Asian market. The product, which is subject to approval from local regulators, is expected to be available later this year.

The announcement was made by SGX Group during the FIA BOCA, an annual international event that brings together exchanges, investors and regulators in Boca Raton, USA.

The availability of this product specifically addresses the demand from global investors in Asia looking to manage risks with the Brazilian Real during their local time zone. This marks SGX Group’s first foray into emerging market currency futures outside Asia and signifies the strengthening of B3’s presence across the continent. The partnership is not limited to the launch of Brazilian Real futures contracts but also paves the way for a solid and long-term cooperation between the two exchanges, creating new opportunities for Brazilian and global investors.

“With growing interest in Brazilian markets, our collaboration with B3 will enable global investors to manage BRL risks round the clock – essential in today’s dynamic markets. We look forward to bringing more diverse investment opportunities to global investors,” said Loh Boon Chye, CEO of SGX Group.

“We are building a bridge between the Asian market and Latin America, and we intend to expand the connection between these two regions through this partnership from Singapore, which is a strategic financial hub in Asia,” said B3 CEO, Gilson Finkelsztain.

B3 and SGX Group will work together to promote Brazilian Real futures contracts in the Asian market and facilitate ease of trading across their platforms.

Source: B3