Leasing A CME and CBOT Seat Help

If possible would some of the senior members or experienced CME or CBOT leasee answer some the questions I have regarding leasing a seat.

I currently trade at a small boutique and have been given a larger allocation to trade the eminis. I would like to know what is the cost break down.


I excute currently 2000 contracts a month, but it looks like my size will double if not tripple. I trade both YM's and NQ's

I believe the lease seat for an IOM 6mos term is about $650.00. There is a $50 Globex fee per day.

What is the CBOT lease cost ?

What fee will a strong AAA clearing firm charge for my size.

Any help would be great. Typically my senior VP would take care of this, but I got stuck with it since I'm getting more capital to trade.

 

2000 contracts is not a lot, even 4000 or 5000 contracts, you won't get the low commissions. You are looking at $.20 to $.35 a side just for the commissions, and add the exchange fees (and NFA fees) on top of that, once you have gone beyond 8-10k contracts, then the commissions come down.

With CBOT recently gone public, the lease prices for CBOT has become a bit strange (since there are now shares involved, which the lessee won't get). But the old information is still at:

http://www.cbot.com/cbot/pub/page/0,3181,936,00.html

 

Rufus

So I'm looking at 25-35 cents a side for commission and .20 cents per side members exchange and clearing cost.

So would I be correct to assume $0.90- 1.10 RT for my current size trading

How much would commissions fees drop when you hit 10 000 contracts.

What firm would you recommend to clear.

I need an established and well backed clearer...

 

i think they drop 10 cents every 10k contracts or so down to maybe 55 cent r/t for 50k contracts

 

http://www.cme.com/clearing/clr/fees/equtyclrng1867.html

 

you might want to post your query at

the yahoo message boards ... for CME

a few of the posters there are members of the exchange ... if you can weed through the clowns there you might find some information

have you contacted the exchanges directly yet?

 

Ask this question directly to the CME ......

 

thanks for the help guys!

 

I will PM you a list of clearers that I believe are pretty good.

Usually, once you hit 10k, the commission drops to 10-15 cents a side, one you hit 40k, it does to 7-10, I have seen commissions in the 3-4 cents range for sufficiently large firms.