• About

  About CME Group
  About the Company CME Group at a Glance Corporate Citizenship Visit CME Group CME Group Magazine Global Offices	Information and Resources Membership Open Markets Careers Online Store International Incentives Program Center for Innovation	Markets CME CBOT NYMEX COMEX

  |
• Careers|
• Investor Relations

  Investor Relations
  Financial Reports Annual Report 10-K Quarterly Report 10-Q Volume Reports All Financial Reports & SEC Filings Investor Materials Email Alerts Printed Materials Shareholder Briefcase and RSS Feeds Download Library Investor News and Highlights Events and Presentations	Corporate Governance Principles Corporate Policies Board Committees Leadership Shareholder Information Transfer Agent Dividend Payment Stock Quote Annual Meeting Shareholder Relations

  |
• Media Room|
• Feedback |
• Global

• Electronic Trading

  Electronic Trading

  Introduction to CME Globex Accessing CME Globex Developing to CME Globex Introduction to CME Direct Resources CME Co-Location Services

  |
• Clearing

  CME Derivatives Clearing
  Clearing Services Risk Management / CME Span Financial and Collateral Management Systems and Operations Deliveries Trading Practices Audit Business Continuity Management/Disaster Recovery Deliveries CME Issues & Stops CBOT Issues & Stops NYMEX Daily Reports Cash Settled Futures Products Currency Settled Products Previous Cash Settled Products FX Delivery Procedures	Financial and Collateral Management Standard Acceptable Collateral Collateral Management Programs Transaction Information Forms and Instructions Risk Management Performance Bonds/Margins CME Span CME CORE: CME Clearing Online Risk Engine Trading Practices All-or-None Block Trades EFP, EFR and EOO Trades Forwards Processing Mutual Offset System (MOSA)	Clearing Operations Front End Clearing Systems Broker Payment Systems Give-up Payment Systems Clearing System Documentation Directory Business Continuity Mgt/DR CME Clearing Disaster Recovery Process CME Group Annual Connectivity and DR Exercise Overview Audit Financial Surveillance Programs Joint Audit Committee Forms

  |
• CME ClearPort

  CME ClearPort - OTC Derivatives Clearing

  CME ClearPort Product Slate Getting Started Login to CME ClearPort Register for CME ClearPort Learn More What is CME ClearPort? CME ClearPort Demo CME ConfirmHub CME Cleared Trades API CME ClearPort API Information CME Clearing Disaster Recovery Process

  |
• Market Data Services

  Market Data Services
  New and Existing Distributors Becoming a Distributor Tools and Resources: Existing Distributors CME DataPoint Global Partnerships Direct Connectivity (MDP) Market Data Platform Products Historical Data Services On-Demand Cloud Services E-quotes	Licensed Distributors Authorized Licensed Distributors Free Reports Volume Reports Settlements Registrar Reports Daily Bulletin Free Real-time Quotes Delayed Quotes

  |
• Market Regulation

  Market Regulation

  Rulebooks Market Regulation Advisory Notices (MRANs) Position Limits Regulatory Outreach Dispute Resolution/Arbitration Other Regulatory Agencies CFTC/SEC Rule Filings

  |
• Education

  Futures & Options Education for Effective Trading Strategies and Risk Management
  General Getting Started Managed Futures Options Market Insights Market Commentary and Analysis Simulated Trading Event Calendar Video Library Bookstore Glossary	Materials Agriculture Credit Economic Events Energy Equity Index FX Interest Rates Metals Real Estate Weather	Strategies & Techniques Market Fundamentals Tools & Analytics Clearing Services Browse All Materials

  |
• Resources

  Resources
  Trading Resources Clearing and Trading Fees Conversion Calculator Find a Broker Floor Trading Hedge Funds Products First Trade Date Product Code Guide Quote Vendor Symbols Trading Hours Performance Bonds/Margins WebHelp	General Resources Advisory Notices Clearing Firms Corporate Governance CME Group Customer Contacts Glossary Help Center Press Releases Rulebooks Subscription Center Idea Exchange CME Group RSS Feeds Special Executive Report (SER) Communications	Calendars Product Calendar Holiday Calendar Event Calendar Economic Release Calendar

•  
• Agriculture

  Agricultural Products Homepage
  CME ClearPort Product Slate Block Trades Grains and Oilseeds (CBOT) Corn FUT | OPT Mini-Sized Corn FUT Corn Calendar Spread Options OPT Distillers Dried Grain FUT Wheat FUT | OPT MGEX-CBOT Wheat Spread Options OPT Mini-Sized Wheat FUT Wheat Calendar Spread Options OPT Soybeans FUT | OPT Mini-Sized Soybeans FUT Soybean Calendar Spread Options OPT Soybean Meal FUT | OPT Soybean Meal Calendar Spread Options OPT Soybean Oil FUT | OPT Soybean Oil Calendar Spread Options OPT Soybean Crush FUT | OPT Oats FUT | OPT Rough Rice FUT | OPT Wheat-Corn Intercommodity Spread Options OPT Soybean - Corn Price Ratio Option OPT Grains and Oilseeds (CME) Crude Palm Oil FUT	Livestock (CME) Live Cattle FUT | OPT Live Cattle Calendar Spread Options OPT Lean Hogs FUT | OPT Lean Hogs Calendar Spread Options OPT Feeder Cattle FUT | OPT Dairy (CME) Class III Milk FUT | OPT Class IV Milk FUT | OPT International Skimmed Milk Powder FUT | OPT Nonfat Dry Milk FUT | OPT Dry Whey FUT | OPT Cash-Settled Butter FUT | OPT Butter Spot Call Cheese FUT | OPT Cheese Spot Call Blocks Cheese Spot Call Barrels Nonfat Dry Milk Spot Call Grade Extra Nonfat Dry Milk Spot Call Grade A	Forest (CME) Random Length Lumber FUT | OPT Softwood Pulp FUT | OPT Commodity Indexes (CME) DJ-UBS Commodity Index FUT S&P-GSCI FUT | OPT S&P-GSCI Excess Return Index FUT Softs (NYMEX) Cocoa FUT Coffee FUT Cotton FUT No. 11 Sugar FUT

  |
• Energy

  Energy Products Homepage
  CME ClearPort Product Slate Block Trades Trade at Marker Prices Crude Oil (NYMEX) CL Light Sweet Crude Oil (WTI) FUT | OPT WS Crude Oil - Financial FUT NBZ Brent 25-Day (Platts) FUT | OPT WCE Western Canadian Select (WCS) Crude Oil FUT CVF Crude Oil Volatility Index (VIX) FUT | OPT QM E-mini Light Sweet Crude Oil (WTI) - Financial FUT BZ Brent Crude Oil Last-day - Financial FUT | OPT RE Russian Export Blend Crude Oil (REBCO) FUT R2 Russian Export Blend Crude Oil (REBCO) - Financial FUT MB Gulf Coast Sour Crude Oil FUT A0 Argus Sour Crude Index Financial FUT BB Brent Crude Oil Penultimate Financial FUT | OPT Ethanol (CBOT) EH CBOT Ethanol FUT | OPT Ethanol (NYMEX) QEN NYMEX Ethanol FUT	Natural Gas (NYMEX) NG Natural Gas (Henry Hub) FUT | OPT MNG Henry Hub Natural Gas Last Day Physically-Delivered FUT HH Henry Hub Natural Gas Last-Day - Financial FUT HP Henry Hub Natural Gas Penultimate - Financial FUT QG E-mini Natural Gas (Henry Hub) - Financial FUT NP Henry Hub Natural Gas Penultimate Swap - Financial FUT NN Henry Hub Natural Gas Swap - Financial FUT PPB Pine Prairie Energy Center (PPEC) Physically Delivered Natural Gas BALMO Futures FUT PPD Pine Prairie Energy Center (PPEC) Physically Delivered Natural Gas Daily/Weekend Futures FUT Pine Prairie Energy Center (PPEC) Physically Delivered Natural Gas Monthly Basis Futures FUT PPM Pine Prairie Energy Center (PPEC) Physically Delivered Natural Gas Monthly Futures FUT Electricity (NYMEX) L1 PJM Western Hub Peak Calendar Month Real Time LMP Swap Future FUT 4SN PJM Western Hub 50 MW Peak Calendar Month Real Time LMP Swap Future FUT Z9 PJM AEP Dayton Hub 5MW Peak Calendar-Month Real-Time LMP Swap Futures FUT U6 ISO New England Internal Hub 5 MW Peak Calendar-Month Day-Ahead LMP Swap Futures FUT T3 NYISO Zone G 5 MW Peak Calendar-Month Day-Ahead LBMP Swap Futures FUT K3 NYISO Zone A 5 MW Peak Calendar-Month Day-Ahead LBMP Swap Futures FUT H3 Midwest ISO Cinergy Hub 5 MW Peak Calendar-Month Real-Time Swap Futures FUT B3 PJM Northern Illinois Hub 5 MW Peak Calendar-Month Real-Time LMP Swap Futures FUT	Refined Products (NYMEX) HO Heating Oil FUT | OPT BH Heating Oil - Financial FUT ULS NY ULSD - Financial FUT QH E-mini Heating Oil - Financial FUT RB RBOB Gasoline FUT | OPT RT RBOB Gasoline - Financial FUT QU E-mini RBOB Gasoline - Financial FUT 7F European Gasoil (ICE) - Financial FUT LR Gulf Coast Gasoline FUT LU Gulf Coast Harbor Ultra Low Sulfer Diesel (ULSD) FUT LH New York Harbor Ultra Low Sulfur Diesel (ULSD) FUT Coal (NYMEX) QL Central Appalachian Coal (CAPP) FUT Other UX Uranium FUT

  |
• Equity Index

  Equity Index Homepage
  Block Trades US Index Futures and Options (CME) E-mini S&P 500 (Dollar) FUT | OPT E-mini S&P 500 (Euro) FUT S&P 500 FUT | OPT E-mini S&P MidCap 400 FUT | OPT S&P MidCap 400 FUT | OPT E-mini S&P SmallCap 600 FUT | OPT S&P SmallCap 600 FUT E-mini NASDAQ-100 FUT | OPT NASDAQ-100 FUT | OPT S&P 500/Growth FUT | OPT S&P 500/Value FUT | OPT E-mini NASDAQ Composite FUT E-mini NASDAQ Biotechnology FUT US Index Futures and Options (CBOT) Dow Jones U.S. Real Estate Index FUT E-mini Dow ($5) FUT | OPT DJIA ($10) FUT | OPT BIG Dow DJIA ($25) FUT	End-of-Month (EOM) Options (CME) E-mini S&P 500 EOM OPT S&P 500 EOM OPT Weekly Options (CME) E-mini S&P 500 Weekly OPT S&P 500 Weekly OPT E-mini NASDAQ-100 Weekly OPT NASDAQ-100 Weekly OPT International Index Futures and Options (CME) E-mini S&P CNX Nifty FUT E-micro S&P CNX Nifty FUT Nikkei 225 (Dollar) FUT | OPT Nikkei 225 (Yen) FUT Custom Indexes (CME) Custom Index Futures FUT Select Sector Indexes (CME) E-mini S&P Select Sector Index FUT

  |
• FX

  FX Products Homepage
  CME ClearPort Product Slate Block Trades G10 Currency Pairs (CME) AUD/USD FUT | OPT AUD/CAD FUT AUD/JPY FUT AUD/NZD FUT CAD/USD FUT | OPT CAD/JPY FUT CHF/USD FUT | OPT CHF/JPY FUT Dow Jones CME FX$INDEX FUT EUR/USD FUT | OPT E-mini EUR/USD FUT EUR/AUD FUT EUR/GBP FUT | OPT EUR/CAD FUT EUR/CHF FUT | OPT EUR/JPY FUT | OPT EUR/NOK FUT EUR/SEK FUT	G10 Currency Pairs (cont.) GBP/USD FUT | OPT GBP/JPY FUT GBP/CHF FUT JPY/USD FUT | OPT E-mini JPY/USD FUT NOK/USD FUT NZD/USD FUT | OPT SEK/USD FUT E-micros (CME) E-micro AUD/USD FUT E-micro EUR/USD FUT E-micro GBP/USD FUT E-micro CAD/USD FUT E-micro USD/CAD FUT E-micro CHF/USD FUT E-micro USD/CHF FUT E-micro JPY/USD FUT E-micro USD/JPY FUT E-Micro USD/RMB FUT	Emerging Market Currency Pairs (CME) BRL/USD FUT | OPT CZK/USD FUT | OPT CZK/EUR FUT | OPT HUF/EUR FUT | OPT HUF/USD FUT | OPT ILS/USD FUT | OPT KRW/USD FUT | OPT MXN/USD FUT | OPT PLN/USD FUT | OPT PLN/EUR FUT | OPT RMB/USD FUT | OPT RMB/EUR FUT | OPT RMB/JPY FUT | OPT RUB/USD FUT | OPT ZAR/USD FUT | OPT USD/RMB FUT USD/TRY FUT EUR/TRY FUT FX VolContracts (CME) EUR/USD 1-month Realized Volatility futures FUT EUR/USD 3-month Realized Volatility futures FUT

  |
• Interest Rates

  Interest Rate Products Homepage
  Block Trades STIR (CME) Eurodollar FUT | OPT Euribor FUT Mid-Curve Options OPT 1-month Eurodollar FUT | OPT Euroyen TIBOR FUT | OPT 3-Month OIS Futures FUT | OPT Eurodollar Calendar Spread Options OPT STIR (CBOT) 30-Day Federal Funds FUT | OPT Cleared OTC Interest Rate Swaps Sovereign Yield Spreads (CME) US-UK 10-Year Sovys Futures FUT US-DE 10-Year Sovys Futures FUT US-FR 10-Year Sovys Futures FUT US-IT 10-Year Sovys Futures FUT US-Nd 10-Year Sovys Futures FUT UK-DE 10-Year Sovys Futures FUT UK-FR 10-Year Sovys Futures FUT UK-IT 10-Year Sovys Futures FUT UK-ND 10-Year Sovys Futures FUT DE-FR 10-Year Sovys Futures FUT DE-IT 10-Year Sovys Futures FUT DE-ND 10-Year Sovys Futures FUT	U.S. Treasury Futures and Options (CBOT) Ultra T-Bond FUT | OPT U.S. Treasury Bond FUT | OPT 10-Year U.S. Treasury Note FUT | OPT 5-Year U.S. Treasury Note FUT | OPT 3-Year U.S. Treasury Note FUT 2-Year U.S. Treasury Note FUT | OPT OTR 2-Year U.S. Treasury Note FUT OTR 5-Year U.S. Treasury Note FUT OTR 10-Year U.S. Treasury Note FUT U.S. Treasury Futures and Options (CME) 13-week T-bill FUT Intercommodity Spreads (CBOT) Treasury and Swap Spreads FUT	Swap Futures and Options (CBOT) 5-Year Interest Rate Swap FUT | OPT 7-Year Interest Rate Swap FUT | OPT 10-Year Interest Rate Swap FUT | OPT 30-Year Interest Rate Swap FUT | OPT Interest Rate Indexes (CME) Barclays U.S. Aggregate Bond Index Futures FUT Eurozone HICP Futures FUT Interest Rate Indexes (CBOT) Dow Jones CBOT Treasury Index

  |
• Metals

  Metals Products Homepage
  CME ClearPort Product Slate Block Trades	Precious (COMEX) GC Gold FUT | OPT GVF Gold Volatility Index (VIX) FUT | OPT MGC E-micro Gold FUT QO miNY Gold FUT SI Silver FUT | OPT XSN E-mini Silver FUT QI miNY Silver FUT Precious (NYMEX) PL Platinum FUT | OPT PA Palladium FUT | OPT	Base (COMEX) HG Copper FUT | OPT QC E-mini Copper FUT Ferrous (NYMEX) HR US Steel Coil FUT Other UX Uranium FUT

  |
• OTC

  Cleared OTC Homepage

  Cleared OTC Products and Services Cleared OTC Ag Swaps Cleared OTC CDS Cleared OTC FX Cleared OTC IRS CME ConfirmHub CME ClearPort CME Clearport Product Slate All New Agriculture    Grain and Oilseed    Commodity Index    Softs    Fertilizer Credit Energy    Crude Oil    Ethanol    Natural Gas    Electricity    Refined Products    Coal    Freight    Petrochemicals FX    E-micros    Emerging Market    G10    Other Interest Rate Swaps Metals    Base    Ferrous    Precious

  |
• Real Estate

  Real Estate Products Homepage

  Block Trades S&P/Case-Shiller Home Price Index (CME) FUT | OPT

  |
• Weather

  Weather Products Homepage
  Block Trades Temperature (CME) U.S. Cooling Monthly FUT | OPT U.S. Cooling Seasonal FUT | OPT U.S. Heating Monthly FUT | OPT U.S. Heating Seasonal FUT | OPT U.S. Weekly Weather FUT | OPT Canada CAT Monthly FUT | OPT Canada CAT Seasonal FUT | OPT Canada Cooling Monthly FUT | OPT Canada Cooling Seasonal FUT | OPT Canada Heating Monthly FUT | OPT Canada Heating Seasonal FUT | OPT Europe CAT Monthly FUT | OPT Europe CAT Seasonal FUT | OPT Europe Heating Monthly FUT | OPT Europe Heating Seasonal FUT | OPT Asia-Pacific Monthly FUT | OPT Asia-Pacific Seasonal FUT | OPT Australia Cooling Monthly FUT | OPT Australia Cooling Seasonal FUT | OPT Australia Heating Monthly FUT | OPT Australia Heating Seasonal FUT | OPT	Hurricanes (CME) Hurricane FUT | OPT Hurricane Seasonal FUT | OPT Hurricane Seasonal Maximum FUT | OPT Frost (CME) Frost Monthly FUT | OPT Frost Seasonal FUT | OPT Snowfall (CME) Snowfall Monthly FUT | OPT Snowfall Seasonal FUT | OPT Rainfall (CME) Rainfall Monthly FUT | OPT Rainfall Seasonal FUT | OPT

Fixed income asset managers have many strategic alternatives available to them including the use of spot, futures and option markets in their pursuit of investment value (or "alpha") relative to market benchmarks. CME Group offers 2-year, 5-year and 10-year Treasury note futures; as well as "classic" and "Ultra" T-bond futures.

In addition to these highly successful futures contracts, CME Group offers options exercisable for these futures contracts. Similar to the underlying futures, these option contracts offer a high degree of liquidity, transparency, price discovery and are accessible through the CME Globex electronic trading platform.

This document represents the first in a two-part series of articles addressing the use of options on the part of fixed income asset managers. It is intended to provide a review of the fundamentals of CME Group Treasury options. Part two in this series, "Option Strategies for Fixed Income Asset Managers," reviews some of the ways in which options may be utilized to manage the risks associated.