CME’s single-stock futures rev up to overtake ‘ugly’ options trade

What happened: CME has introduced new cash-settled single-stock futures with an EFP facility, positioned as an alternative to the reverse conversion options trade used by dealers. Why it matters: The contracts could offer dealers an alternative to revcons for optimising equity funding costs and balance sheet usage, per the content. Key numbers: None stated.

CME has introduced new cash-settled single-stock futures with an EFP facility, positioned as an alternative to the reverse conversion options trade used by dealers.

The contracts could offer dealers an alternative to revcons for optimising equity funding costs and balance sheet usage, per the content. Key numbers: None stated.