I am aware that the underlying of a derivative contract can be more or less "anything" : stocks, bonds, commodities, currencies, etc...

However, I would like to know if it is normal that there are options that are based on investment funds.

As mentioned, some derivatives derive from "main cash securities" (shares, bonds, etc..) but I have never seen derivatives based on funds.


Not sure what you mean by "normal" but the CBOE lists options on Exchange-Traded Funds. One example is options on the SPDR ETF.

I do not know of any options on mutual funds, but certainly an OTC option contract could be written.


There are options offered on all kinds of ETFS.

There are also a number of ETFs and CEFs that utilize options. For example, those that do Buy/Writes.

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