Tuesday, April 27, 2010

Cabbie Futures

I just came up with an idea of CABBIE Futures.

As you all know that CAB drivers in Chicago charge a fuel surcharge when gas prices go up. So why not hedge it.

System:
Delivery: Reimbursement of fuel surcharge.

Buyers: Commuters
Sellers: Cab Drivers

Advantages for Buyers:
You will be reimbursement for your surcharge for a small fee

Advantage for the sellers:
You keep the small fee if there is no surcharge.

Hedge:
Sell Cabbie- surcharge futures and hedge it with oil (buy).

Interesting?


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