TBA futures
Hedge mortgage market risk with a transparent, all-to-all marketplace.
| Product Name | Clearing | Globex | Exch | Volume | Open Interest |
|---|---|---|---|---|---|
| Product Name | Clearing | Globex | Exch | Volume | Open Interest |
| 30-Year UMBS TBA Futures - 5.5% Coupon | 55U | 55U | CBOT | 2 | 3,002 |
| 30-Year UMBS TBA Futures - 6.0% Coupon | 60U | 60U | CBOT | 0 | 2,888 |
| Mortgage Rate (OB30C) Futures | MGE | MGE | CBOT | 0 | 1,244 |
| 30-Year UMBS TBA Futures - 5.0% Coupon | 50U | 50U | CBOT | 50 | 516 |
| 30-Year UMBS TBA Futures - 3.5% Coupon | 35U | 35U | CBOT | 0 | 342 |
Get information on exchange rules, delivery procedures and clearing services. View CBOT Rulebook.
Manage mortgage risk transparently
TBA futures offer a capital-efficient tool for hedging mortgage market risk, a transparent, all-to-all marketplace with the safety of central counterparty clearing. With a transparent price discovery mechanism, expanded trading access, central counterparty clearing, ICS trading and a $100,000 contract size, TBA futures are a great way to manage granular mortgage risk.
Why trade TBA futures?
Access a liquid market
Source liquidity and price discovery via an equal access, transparent order book.
Capital efficiency
Manage granular mortgage risk with 24-hour trading, capital efficiency and 10 different coupons.
ICS trading
Trade the differential between Treasury futures and TBA futures, either in the same delivery month or across the calendar.
Flexible contract size
The $100,000 contract size allows for higher precision trades and hedges, or the utilizing of a variety of coupons in a strategy.
Tool
Mortgage Analytics Tool
Gain insight into the MBS market with free analytics covering the TBA futures coupon curve and interactive modeling of the Fed’s securities run-off program.
Trade UMBS forwards in the TBA market
The majority of residential mortgages in the U.S. are securitized through the agency mortgage-backed securities (MBS) market, the second-largest debt market in the U.S. behind U.S. Treasuries. These securities can be pooled together and traded as forwards in the existing TBA market to provide greater liquidity for participants like mortgage lenders. In June 2019, Fannie Mae and Freddie Mac standardized their MBS offerings into what became known as Uniform Mortgage Backed Securities (UMBS).
Trade TBA futures on CME Direct
A fast, secure, and highly configurable trading front end, CME Direct offers a one-stop shop for accessing TBA futures liquidity across CLOB trading, RFQs, and block negotiation/reporting workflows. Not on CME Direct? Get started.
Download the TBA futures trading grid:
- Right click on the link and select "Save link as...".
- Save the file as an .XML on your computer.
- In CME Direct, select import view in the main menu.
- Import the grid into CME Direct.
- Under Menu, click on Save Window Layout.
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Learn about TBA futures
If you’re new to futures, these courses can help you quickly understand the TBA market and start trading today.
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