Anyone knows the costs associated to lease a CBOT seat to trade the US Treasuries complex so to create a new Excel spreadsheet for the CBOT, too?!
Just so you know. You will have to pay $1100 to the CME to lease the seat. It is an application fee. Then when you purchase the seat you will have to pay $300 for the purchase application fee. If you purchase right away you will eliminate the $1100 fee.
http://www.cbot.com/cbot/pub/cont_detail/0,3206,1042+40879,00.html#1 It looks like the clearing fees for leasee to trade interest rates at CBOT is .20. I tried to find what a seat is leasing for and could not find the info on CBOT website.
Covert, The statement "Velocity doesn't know much about this because there's no money in it for them." is untrue. At Velocity we have many members. It is in our best interest to help any trader get a membership if their volume merits it. The less a trader pays in commission or fees the better chance he/she has in becoming or staying successful. The more successful a trader is the longer he stays a customer of ours.
I'm probably wrong, but I think you need at least an IOM seat with the CME in order to get member/lease rates for the er2. I don't think the GEM membership gives you the er2 at discount rates.
Application fee for CME membership is $1750. Leases for GEM seats are around $200 per month. GEM seats do allow you to trade ER2 (Emini Russell 2000) at discounted rates with Globex rebates. If you need any more information on obtaining a membership at the CME let me know. There is a link on our website that can help explain the process. http://www.velocityfutures.com/vf3.asp?page=78 Thanks, Anthony
1) Create an LLC. 2) Have the LLC purchase a seat. 3) Have anyone wishing to trade using that seat become a member of the LLC. 4) Members trade only the LLC's account. 5) Profits/losses from the LLC are divided based on profits/losses from trading the LLC's account. If you gain $100,000, and that is 50% of the LLC's profit for the year, then you are given 50% of the LLC's annual profit for that year. More complex methods, which take costs and fees into account, are also possible. Sounds a great deal like a prop shop, doesn't it? -Raystonn
Thanks Velocity rep! After I saw your post I found the breakdown on products for what each membership is entitled.