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As the definitions of specific synthetic instruments on these pages suggest, but do not always state explicitly, any instrument described or prefaced by the word 'synthetic' is, as the root of the word implies, made from something else or from components. In most cases, a financial intermediary or dealer is the active entity in the creation of synthetic financial instruments. A synthetic instrument may consist of a single contract, security, etc., or it may be a separable collection of instruments whose combined features are comparable to the instrument it replicates.
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