It has been over 3 years since lean hog futures contract was listed, but the lean hog futures itself does not serve as an effective risk management tool yet due to the lack of liquidity. The primary objective of this study is to examine the hedging function of lean hog futures market and the information transmission between lean hog spot and futures markets. The results show that there exists no statistically significant basis risk in lean hog futures market, and the hedging effectiveness measured by R2 tends to be very low. The Granger causality test reveals that unidirectional causality runs from lean hog futures prices to representative pork prices('pork carcass price index'), and there exists bidirectional causality(feedback) between lean hog futures prices and average auctioned prices in Seoul(Eumseong) livestock wholesale market. Based on the findings, this study suggests that the underlying asset of lean hog futures should be changed into hog carcasses rather than the current representative pork price('pork carcass price index').