Thanks to Def, and as discussed in the DAX thread, IB has lowered the deposits on LIFFE, EUREX, MONEP and Hong Kong : Have a look here : http://www.interactivebrokers.com/cgi-pub/margin_amer.pl DAX is at 6250 euros for example
Not yet I have some experience with the FCE (making about 30% of my futures volume on it) and I can't think of much situations where I could use such a margin. This is just from an actual margin Vs actual value point of view. The underlying can move much more violently than the NDX, for example. As a comparison, the local MONEP brokers require EUR 6k per contract as a minimum... OHLC
Exchange minimum for MONEP is 3750â¬. Your broker shouldn't ask for more otherwise it is a crook... Unfortunately MONEP volume is low and volumes go to EUREX now....Just compare ESTOX50 on MONEP and EUREX...
I agree, volume tends to drift to the most efficient exchanges. There are still some good points with exchanges like the MONEP. I appreciate the fact that, although this is a fast electronic exchange, I can still get someone on the floor execute me in matter of seconds, in case I loose my com lines and I can't access the broker by phone (or if the broker looses connection with the exchange). OHLC
Depends on the timeframe you trade... 10 crtc are appropriate for 1' scalping I usually trade the FCE on either 5'/15' intraday, or short term (couple of weeks). I use a lot of money management for these kind of trades, so basically, I will just start a position with a low number of contract and a close stop, then scale up, so the liquidity consideration wont be a major concern. Of course, if you really trade Soros style, this kind of contract should only be ONE element of a multi-regional EIF strategy. OHLC