CME is planning to launch futures and options contracts linked to professional and college sporting events, according to a statement. The company is partnering with emerging index provider FutureSports, whose products will provide CME with the underlying support for these new tools. The statement stated that the first batch of sports futures contracts will be settled in cash and expire on a monthly and quarterly basis. After approval from the regulatory authorities, trading may begin as early as this summer. CME CEO Terry Duffy said in a statement: “This is not just a new product; it is also about introducing real price discovery mechanisms and risk management practices into an industry in urgent need of change.” Futures contracts are very common in global financial markets, and their targets include stock indices and commodities. If approved, this would be the first in the sports industry.

CME is planning to launch futures and options contracts linked to professional and college sporting events, according to a statement. The company is partnering with emerging index provider FutureSports, whose products will provide CME with the underlying support for these new tools. The statement stated that the first batch of sports futures contracts will be settled in cash and expire on a monthly and quarterly basis. After approval from the regulatory authorities, trading may begin as early as this summer. CME CEO Terry Duffy said in a statement: “This is not just a new product; it is also about introducing real price discovery mechanisms and risk management practices into an industry in urgent need of change.” Futures contracts are very common in global financial markets, and their targets include stock indices and commodities. If approved, this would be the first in the sports industry.