CME Margin Adjustments, 10/1/08

http://www.cme.com/clearing/rmspan/pbadv/files/Chadv08-253.pdf

The rates are effective after the close of business on Wednesday, October 1st, 2008.

* CME Index Futures Outright Rates

* CBOT Stock Index Futures Outright Rates

* CME Security Futures Outright Rates

* CME Security Futures Intra-Commodity Spread Rates

 

There must have been a lot of blow ups yesterday. They're jacking the eminis up quite a bit.

 

Can someone explain the difference between initial and maintenance margin? Is maintenance valid once you are in a position? thanks

 

Initial is the margin you need to initiate or open a new contract. Once the position is opened, the maintenance is the account balance required before a margin call is received.

 

I think Initial is the margin capital requirement to open a single contract while Maintenance is an additional capital requirement to hold positions overnight.

Basically, if you are a daytrader and you are always flat by 4.15pm, you can look at Initial.

If you want to take positions overnight or beyond 4.15pm, you must look at Initial + Maintenance.

 

No.
Initial is first session's margin requirement. Maint is the subsequent sessions' margin requirement. Session is demarcated by settle times.

 

Would you mind providing an example for a daytrader vs a swing trader?

 

LOL WHAT'S the problem

95% on folks on this site don't trade

So what's the problem

 

will this mean brokers will start removing $500 intraday margins on minis?

 

A thread which answers the Initial/Maintenance margin questions...

http://www.elitetrader.com/vb/showthread.php?s=&postid=1720576&highlight=maintenance#post1720575