NexusFi: Find Your Edge


Home Menu

 





Requirements for CME membership


Discussion in Brokers

Updated
      Top Posters
    1. looks_one SMCJB with 6 posts (12 thanks)
    2. looks_two Kalisto with 4 posts (0 thanks)
    3. looks_3 artemiso with 3 posts (9 thanks)
    4. looks_4 Big Mike with 2 posts (5 thanks)
      Best Posters
    1. looks_one artemiso with 3 thanks per post
    2. looks_two Big Mike with 2.5 thanks per post
    3. looks_3 SMCJB with 2 thanks per post
    4. looks_4 tflanner with 2 thanks per post
    1. trending_up 9,425 views
    2. thumb_up 28 thanks given
    3. group 14 followers
    1. forum 23 posts
    2. attach_file 0 attachments




 
Search this Thread

Requirements for CME membership

  #1 (permalink)
andy4
lakeland
 
Posts: 6 since Dec 2011
Thanks Given: 2
Thanks Received: 5

Hi, I'm in the process of becoming a member of the CME, reason for CBOT an IDEM seat to lower my comm's for the YM. There's a $2000 non refundable application fee.

Has anybody gone through that process and if don't might sharing, what did they look for to allow or disallow your membership ? I have no disciplinary issues etc, though am concerned on financial assets they may require - is there a net worth minimum line to cross ?

Thanks for any insight.

Reply With Quote

Can you help answer these questions
from other members on NexusFi?
Exit Strategy
NinjaTrader
NexusFi Journal Challenge - April 2024
Feedback and Announcements
The space time continuum and the dynamics of a financial …
Emini and Emicro Index
Futures True Range Report
The Elite Circle
ZombieSqueeze
Platforms and Indicators
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Get funded firms 2023/2024 - Any recommendations or word …
61 thanks
Funded Trader platforms
38 thanks
NexusFi site changelog and issues/problem reporting
27 thanks
GFIs1 1 DAX trade per day journal
18 thanks
The Program
18 thanks
  #3 (permalink)
 
Big Mike's Avatar
 Big Mike 
Manta, Ecuador
Site Administrator
Developer
Swing Trader
 
Experience: Advanced
Platform: Custom solution
Broker: IBKR
Trading: Stocks & Futures
Frequency: Every few days
Duration: Weeks
Posts: 50,397 since Jun 2009
Thanks Given: 33,173
Thanks Received: 101,537


It is advisable to get your broker to handle all the paperwork for you, instead of going it alone. Your broker should do this for free, and should have a person that is very familiar with the process and has a direct contact at CME that can answer questions prior to you submitting the application and fee.

Be sure you are also aware of what happens after you become a member, such as being classified as a professional.

Mike

We're here to help: just ask the community or contact our Help Desk

Quick Links: Change your Username or Register as a Vendor
Searching for trading reviews? Review this list
Lifetime Elite Membership: Sign-up for only $149 USD
Exclusive money saving offers from our Site Sponsors: Browse Offers
Report problems with the site: Using the NexusFi changelog thread
Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
Thanked by:
  #4 (permalink)
 hobart 
charlotte nc
 
Experience: Master
Platform: Sierra Chart, TOS, Tradestation, NinjaTrader
Trading: energy
Posts: 114 since Jul 2012
Thanks Given: 81
Thanks Received: 172


Big Mike View Post
Be sure you are also aware of what happens after you become a member, such as being classified as a professional. Mike

Very easy to rack up 200$ a month in fees once you flip the pro switch and have to pay 85$ to cme, 95$ to ice and another 50-150$ for stocks and options.

Reply With Quote
  #5 (permalink)
 jdox 
Chicago, Illinois
 
Experience: Intermediate
Platform: Ninja
Trading: ES
Posts: 78 since Mar 2013
Thanks Given: 776
Thanks Received: 62


Big Mike View Post

Be sure you are also aware of what happens after you become a member, such as being classified as a professional.

Mike

Does anyone have a link to this sort of info?

Reply With Quote
  #6 (permalink)
 traderwerks   is a Vendor
 
Posts: 692 since Jun 2009
Thanks Given: 436
Thanks Received: 465


jdox View Post
Does anyone have a link to this sort of info?

Look at the services to which you subscribe and look at the pricing. They will have pro and non pro rates.

Math. A gateway drug to reality.
Reply With Quote
  #7 (permalink)
 jdox 
Chicago, Illinois
 
Experience: Intermediate
Platform: Ninja
Trading: ES
Posts: 78 since Mar 2013
Thanks Given: 776
Thanks Received: 62


traderwerks View Post
Look at the services to which you subscribe and look at the pricing. They will have pro and non pro rates.

I've seen those but Mike seemed to imply that there may be some negatives to being classified as a pro.

Reply With Quote
  #8 (permalink)
 
Big Mike's Avatar
 Big Mike 
Manta, Ecuador
Site Administrator
Developer
Swing Trader
 
Experience: Advanced
Platform: Custom solution
Broker: IBKR
Trading: Stocks & Futures
Frequency: Every few days
Duration: Weeks
Posts: 50,397 since Jun 2009
Thanks Given: 33,173
Thanks Received: 101,537


jdox View Post
I've seen those but Mike seemed to imply that there may be some negatives to being classified as a pro.

Data and taxes, check with your broker and accountant.

Mike

We're here to help: just ask the community or contact our Help Desk

Quick Links: Change your Username or Register as a Vendor
Searching for trading reviews? Review this list
Lifetime Elite Membership: Sign-up for only $149 USD
Exclusive money saving offers from our Site Sponsors: Browse Offers
Report problems with the site: Using the NexusFi changelog thread
Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
Thanked by:
  #9 (permalink)
 
SMCJB's Avatar
 SMCJB 
Houston TX
Legendary Market Wizard
 
Experience: Advanced
Platform: TT and Stellar
Broker: Advantage Futures
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,041 since Dec 2013
Thanks Given: 4,375
Thanks Received: 10,192


andy4 View Post
Hi, I'm in the process of becoming a member of the CME, reason for CBOT an IDEM seat to lower my comm's for the YM. There's a $2000 non refundable application fee.

Has anybody gone through that process and if don't might sharing, what did they look for to allow or disallow your membership ? I have no disciplinary issues etc, though am concerned on financial assets they may require - is there a net worth minimum line to cross ?

Thanks for any insight.

I got an IDEM membership many years ago. Back then I had to take all the exams to be a floor trader even though I was only going to trade remotely, not sure if that's still the case now though.

I think the exchanges are more concerned about you being of 'moral character' than they are your financial assets. Your clearing firm is the one who is going to be concerned about your assets.


Big Mike View Post
It is advisable to get your broker to handle all the paperwork for you, instead of going it alone. Your broker should do this for free, and should have a person that is very familiar with the process and has a direct contact at CME that can answer questions prior to you submitting the application and fee.

Be sure you are also aware of what happens after you become a member, such as being classified as a professional.

Agree with Mike, your broker should be able to walk you through this process. My broker (Advantage Futures) did everything for me except actually take the exam. I now also have a NYMEX seat. They do everything. Arrange the leases, payment, communication with the exchange.


Big Mike View Post
Data and taxes, check with your broker and accountant.

Data fees can be annoying but the tax implication can be huge. I believe having a seat means your trading gains are also subject to Self Employment tax. Not as big an issue today with the ACA investment tax but for some people it will be an additional $15k odd cost. Very surprised this doesn't get discussed more here or in most trading places. I suspect many people either don't know this or just conveniently forget to know. As mike says check with your accountant.

Reply With Quote
Thanked by:
  #10 (permalink)
 tflanner 
Chicago, IL
 
Experience: Advanced
Platform: Ninja
Broker: Ninja
Trading: ES, Ym, NQ, VTI, SPY, VXUS
Posts: 166 since Jan 2013
Thanks Given: 797
Thanks Received: 320


I have had cbot seats for 20 years. AM and IDEM. sold my AM because i was not trading treasury's anymore. Held the IDEM because i started trading YM. Sold the IDEM in Dec of 2014 because of the b.s. CME data fees and also was not really trading YM anymore. Presently, i almost exclusively trade TF and see no need for a membership.

Unless you are trading actively in YM, i don't see a reason to buy an IDEM. Trading has always been my primary source of income...so the self employment tax thing is not a factor. I believe i am still subject to that even though i don't have a seat.

Your broker should be able to see how much you are trading and advise you.....

The Market is Smarter than You Are
Reply With Quote
Thanked by:




Last Updated on September 18, 2019


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts