Greedy CME Raises Exchange Fees Again as of February 1st

Discussion in 'Index Futures' started by schizo, Jan 29, 2024.

  1. schizo

    schizo

    Equities, energies and Metals, all going up, effective February 1, 2024. BTW didn't they raise the fees like 6 months ago?

    Needless to say, this ain't gonna be the last time either, so don't get your hopes up.
     
    Axon and NoahA like this.
  2. maxinger

    maxinger

    I guess you will give up trading CME products,

    and trade products from other Exchanges.
     
    murray t turtle likes this.
  3. mervyn

    mervyn

    Maybe sierra chart with Teton then?
     
  4. Businessman

    Businessman


    Shouldnt be a concern for you as trade 1 lot micro's and i dont think fees for those are going up :D
     
    murray t turtle likes this.
  5. mervyn

    mervyn

    going up 2 cents per side for micro
     
  6. schizo

    schizo

    I wish I could trade only 1 micro lot every other week like you. Something to think about.
     
  7. schizo

    schizo

    I don't think they're raising the fee for the micros this time, only the minis (see below)

    Here are the announced fee hikes for the last 3 years, nickel at a time:

    upload_2024-1-29_21-19-48.png

    upload_2024-1-29_21-20-44.png

    upload_2024-1-29_21-21-33.png
     
    iprome and Quanto like this.
  8. Businessman

    Businessman

    Let me start by saying: Obviously i would prefer any fees don't go up at all and if they do then definitely no more than CPI. CME are greedy f**kers.

    But one thing to consider is fees vs notional contract value:

    Back in 2004 i was paying $5 round trip to trade $50,000 notional in ES.
    Back in 2019 i was paying $3.6 round trip to trade $125,000 notional in ES
    Now in 2024 (after this increase) i think i will be paying $4 dollars to trade $250,000 notional in ES.

    Really the e-mini SIFs offer so much more bang for the buck compared to even five years ago, no thanks to CME, just the SIF notional values have soared. While CME fees have gone up more than inflation, the notional value of the indices have gone up way more than inflation.

    And thankfully the clearing firms and brokers have not increased their fees by as much as the CME. In many cases these other firms have reduced their fees over the years due to competition while the CME are a monopoly.
     
    Last edited: Jan 30, 2024
  9. Quanto

    Quanto

    Is there a competition in sight?
    What about Chinese exchanges? Can they meanwhile compete with the US exchanges?
     
  10. R1234

    R1234

    On the bright side, they just modified the Event Contracts to 5x their original size. Exchange fees don't appear to have increased. And IB's commission has stayed the same.
     
    #10     Jan 30, 2024