This paper, analyzes the background and core of China (Shanghai) Free Trade Area and key factor and its relationship in the FTA. Progressive reform is an inevitable choice for China (Shanghai) Free Trade Zone. The development of offshore financial in Shanghai is an important step and Shanghai Clearing House can construct twoway unified pool of RMB funds clearing, settlement, delivery, and supervision of banks in the offshore market and the onshore market position, dynamic adjustment penetration. Shanghai Clearing House can also try commodities OTC market to improve and complement risk aversion, each transaction subject open on all varieties of domestic and foreign financial derivatives risk management system with more effective risk management.