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Interview: Hsieh Fu Hua, ceo of SGX


You have a securities and investment banking background. With your 'outsiders' view, what were your perceptions of SGX when you started?

I had no preconceived ideas. People tell me the exchange is a utility but I disagree. It is a financial services business, one that also provides a market infrastructure. The business of an exchange is still emerging and is yet to fully develop. This is true of the many exchanges around the world.

In SGX, there was a lack of a sense of who its customers were. It tended to be product rather than demand driven. There was also a lack of business discipline; there was a need for tighter cost and capital management. This stems from its mutual background.

Next year will be the 20th anniversary of SGX Derivatives' [formerly Simex]. The business has succeeded despite many pundits over the years, worried about the lack of domestic market...

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