What Is the Main Advantage of Using a Synthetic Future over a Standard Futures Contract for Hedging?

The main advantage is the flexibility and customization it offers. Synthetic futures allow traders to use options that might be more liquid or have a more favorable implied volatility than the futures contract.

They can also be constructed with different strike prices to create a non-standard payoff profile. Furthermore, they can be used to exploit mispricing between the options and futures markets based on put-call parity violations.