In Memoriam - Fred Arditti

ARDITTI--Fred. Noted economist and chief economist of the Chicago Mercantile Exchange (CME) from 1980 to 1982, died October 30 of pancreatic cancer. Dr. Arditti pioneered futures contracts that transformed how businesses and individuals manage risk, most notably the CME's Eurodollar futures, the world's most actively traded futures contact. The Eurodollar contract was the first futures instrument based on ''cash settlement,'' a seminal feature of its incredible success. Dr. Arditti returned to the CME in 1997 to assume a leadership role in the development of the exchange's weather derivatives market, its Research, Marketing and Clearing functions, as well as its electronic trading business, which now account for approximately 75% of all its trade. Fred Arditti's 40-year career exemplifies his commitment to financial market innovation as recognized by the CME's award named in his honor. His achievements embody the kind of innovative thinking and practical benefit to commerce and markets that this award strives to honor. William F. Sharpe, the 1990 Nobel Laureate in economics, became the first recipient of the Fred Arditti Innovation Award in 2004.

In his many activities outside of CME, Dr. Arditti taught courses in futures and options at a number of prestigious universities, both in the U.S. and abroad and has been published in various academic journals. His book ''Derivatives: A Comprehensive Resource for Futures, Interest Rate Swaps and Mortgage Securities,'' are among the most assigned books on the subject in many universities. A native New Yorker, Dr. Arditti was born and raised in the Bronx. He received his Undergraduate degree in Electrical Engineering, and his PhD. in Economics from M.I.T. in 1966. At the time of his death at age 66, Dr. Arditti was a tenured professor of Finance at DePaul University, having retired from the position of Senior Executive Vice President of the CME in March 2000. A life-long Yankee fan, Dr. Arditti lived in Chicago, and is survived by his mother, Marie Arditti, his children Elizabeth (Johnson) and her husband Bart, Annie Arditti and David Arditti. Additionally, he leaves behind his sisters Lee Lereah and Terry Suskauer. In lieu of flowers, donations can be made to the Vickie Maurer Nursing Excellence Award at Northwestern Memorial Hospital Department of Oncology, 675 N. St. Claire Street, Chicago, IL 60611.

New York Times, New York City, NY, November 3, 2005