The Design Of Carbon Futures

Carbon futures are carbon financial instruments that are generated from carbon spot trading product.Internationally,Some countries have developed carbon futures products.With the functions of avoiding risks and discovering prices,carbon futures are playing an increasingly important role in carbon trading and in achieving energy conservation and emission reduction.According to view the most influential carbon trading system in the world,Our country has launched trials of regional carbon emission rights trading in Guangdong,Shenzhen,and Beijing,etc.which means that China's carbon trading market has started.In December 2017,China built a nationwide carbon trading market based on the pilots of regional transactions.During the construction of this market,the introduction of carbon futures will increase the carbon trading volume,increase the liquidity of the carbon market,and boost China's access to international carbon trading pricing power through the price discovery function,thereby expanding the influence of China's carbon market.Based on the status of China's carbon market,this paper combines the significance of carbon futures to China and analyzes the development of carbon futures in China.At the same time,it draws lessons from the mature types of carbon futures in the EU's emissions trading system and designs carbon futures product suitable for China.Through the design of carbon futures product,it will provide reference for future product innovation in China's carbon market,and also provide a theoretical basis for the introduction of carbon futures products in China,thus accelerating the pace of development of China's carbon market.This article begins with the status analysis of the design of carbon futures product,and demonstrates it from five aspects: product,market,legal policy,technology and experience.Secondly,based on the functional perspective of carbon futures and the domestic and international strategic perspectives,the design target of carbon futures product is explained.Next,we will focus on analyzing all the elements of China's carbon futures contract standards.And study the basic elements of carbon futures contracts,risk control elements and delivery factors to form the standard design of carbon futures contracts,which draws on the EU carbon futures and combines China's futures product design.Then,design the carbon futures contracts' pricing methods.Through the comparison of the three pricing methods for carbon futures,it was decided to use method of technical analysis for pricing analysis.Then compare the carbon price of each carbon emission trading market,and select the Hubei carbon market as the analysis object,use the average transaction price of carbon emission permit as the sample data and the ARIMA model to simulate and forecast,and finally the carbon futures' pricing model is derived.At the end of product design,we will further study the promotion strategy of carbon futures,clarifying them from the three perspectives of offline,online and national policies to achieve the purpose of promotion after the process of product design.