I was under the impression the purpose the 'little guy' served in the futures market was to, in great mass, transfer funds from their accounts to the professional traders' accounts. No wonder no one's looking out for him!
CME Market Data Fee Changes
Effective March 1, 2014
The CME Group has announced significant changes to its existing Market Data Policy and Fees. These changes will be phased in through 2016; with the first phase to be effective on March 1, 2014, as outlined below. The information below focuses on the immediate changes and further information will be distributed on the other changes in the coming months. A copy of the CME's FAQ document on these changes is attached.
After March 1, 2014, NEW CME-market-data subscribers will begin paying monthly fees for CME data, according to the following fee schedule:
$5 per Exchange or $15 monthly bundle for all four (CME, CBOT, NYMEX and COMEX)
$85 per Exchange or $340 monthly for all four Exchanges (NO bundled pricing offered)
In order to qualify for “Non-Professional status”, a Subscriber must, at a minimum, meet the following criteria:
a. the Subscriber must have an active and funded futures trading account;
b. the Subscriber must not be an Exchange Member (or hold or lease any type of Exchange Membership):
c. the Subscriber does not have a primary business purpose that involves trading;
d. the Subscriber must not be registered or qualified as a professional trader or investment adviser with any stock, commodities or futures exchange, or with any regulatory authority, professional association or recognized professional body;
e. the Subscriber must not be affiliated with any entity that is or may be considered a Professional User;
PM with any questions about Cannon Trading (800) 454-9572 (310) 859-9572. Trading commodity futures, forex and options involves substantial risk of loss. The recommendations contained in this post are of opinion only and do not guarantee any profits. These are risky markets and only risk capital should be used. Past performance is not necessarily indicative of future results.
The following 6 users say Thank You to Ilanlm for this post:
This seems like a significant impact to all new traders who decide to open accounts after March 1, 2014. I believe all existing traders will not have to pay this fee but who knows, things could always change. I read more about this and it looks like the fees could increase through the years. It's going to be interesting to see what happens.
Broker/Data: Cannon Trading Company / Ninja Trader/Rithmic, E-Futures trading platform
Favorite Futures: Gold and Crude Oil
Posts: 46 since Dec 2013
Thanks: 17 given,
Who know's, it could only be a matter of time till ICE jumps on these fees as well and starts charging clients for there market data. But you're right, I feel that the CME charging fees for their market data will really hurt the industry.