What Does Synthetic Mean?

Synthetic means "man-made or artificial." A synthetic compound is a compound made artificially by chemical reactions (synthesis). Anything which is not genuine or natural is known as synthetic.  Synthetic leather for instance, is leather which is prepared by artificial means.  A synthetic cloth is made of man-made fiber.

Synthetic, in investment parlance, refers to a financial instrument that is created artificially by replicating another instrument with the united feature of a selection of other assets. Some of the common synonyms of the word "synthetic" are artificial, plastic, fake, manufactured, mock, simulated, imitation, fake and dishonest. "Synthetic" is believed to have entered popular English literature for the first time in the later half of 18th century.

The general meaning of the term 'synthetic' is the combination of two or more parts. It is used in the synthesis of something by manufacturing. In chemistry, synthetic is associated with a chemical or compound which is produced during the chemical synthesis. In biology, synthetic fiber is a fiber which is not obtained from the natural means.

Synthetic means artificial and fake not real