Investors Enter AIR Futures On U.S. Indices To Manage Risks, Volatility Ahead Of The U.S. Election

Joshua Lukeman, managing director and head of U.S. macro delta one trading at Nomura in New York, said institutional investors, such as banks, hedge funds, asset managers and insurance companies, are looking to CME’s adjusted interest rate (AIR) total return futures on U.S. indices, such as the S&P 500, as a way to access U.S. index returns while managing interest rate, balance sheet and counterparty risks amid potential market volatility around the Federal Open Market Committee and the U.S. election.