Synthetic futures for commodity options on calendar spreads???

Discussion in 'Options' started by TraDaToR, Jul 14, 2011.

  1. TraDaToR


    On July 24, CME will launch new synthetic futures for calendar spread options, like for example jul -dec soybean calendar spread options.

    What are these ? I am missing something...What is the point of having synthetic futures? The underlying calendar spread market already exists...I understand the need for calendar spread options because you can't reproduce a calendar spread option with a combo of options on both legs but I don't understand the need for synthetic futures here.


  2. If it serves no economic purpose, it will fail, as do 90% (?) of newly-launched exchange products. Check back in a year.
  3. Link?
  4. TraDaToR