The Study Of Risk Control In Chinese Crude Oil Futures Market After It Restored

At present, the trading amount of crude oil futures is the largest type of the commodity futures in the world. As a product of mature market economy, the crude oil futures market has the functions as avoiding the price risk and hedging. The WTI crude oil contract in NYMEX and the Brent crude oil contract in IPE are two successful examples. But when the crude oil futures contract avoids the price risks, it follows some others risks. In China, there were many risk accidents happened in futures markets, which mainly happened in futures broker company, the crude oil futures market is not in exception. So it is necessary for us to pay attention to the risk control in the futures broker company in Chinese crude oil futures market which will be restored in near future.With regard to the risk control in crude oil futures market, this article formulates a reputation model to analyze the actions between the investor and the futures broker company in a full competition situation. The result shows that when some conditions prepared, the"rational"futures broker company will cooperate with the investor for the utmost of its own interest in a long dynamic games with incomplete information, which will control the credit risk in the futures market to some extent. In the end, the article comes out some policy suggestions in risk control in the futures broker company after the restoring of China's crude oil futures market according to the model analytical results and the present situations in our petroleum market and futures market.