what are look alike contracts 
look alike contracts are a cash settled financial product based on the settlement price of a similar exchange traded physically settled futures contract look alike contracts are traded over the counter and they carry no risk of actual physical delivery regardless of the terms of the underlying futures contract futures look alike contracts are regulated by the commodity futures trading commission cftc 1understanding look alike contractslook alike contracts are essentially options where the underlying is a futures contract with a specific settlement date for example the ice brent crude american style option product has an ice brent crude futures contract as its underlying the contract terms of a look alike contract closely correspond with the contract terms of the futures contract look alike contracts may be offered in both american and european styles 2look alike contracts and position limits