In recent months, China has launched two markets that can have enormous impact for its future – interest rate futures and emissions rights. Such markets are covered in Richard Sandor’s book Good Derivatives: A story of financial and environmental innovation, which has been recently translated into Chinese by the China Financial Futures Exchange and published by People’s Oriental Press. Sandor described his experience in inventing and launching these markets in the United States, Europe and China; what these developments represent for China’s economy and the future of financial innovation; and progress made on his favorite projects since his last visit to the UChicago Center in Beijing in May, 2012.
Richard L. Sandor is a Lecturer in Law and Economics at the University of Chicago Law School, a Visiting Fellow with the Smith School at the University of Oxford, and a Distinguished Professor of Environmental Finance at Guanghua School of Management at Peking University. He is CEO of Environmental Financial Products, the predecessor company and incubator to the Chicago Climate Exchange (CCX), the European Climate Exchange (ECX) and the Chicago Climate Futures Exchange (CCFE). In 2007, he was honored as one of TIME Magazine’s “Heroes of the Environment” for his work as the “Father of Carbon Trading.” He is also the recipient of the World Federation of Exchanges Award for Excellence. In 2013 Dr. Sandor was named a Chevalier in the French Legion of Honor.
(Photos by Yuxuan Li)