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Trading Fees and Costs

All fees and rates vary by product, broker, and market conditions. Always verify current rates directly with your broker and the CME Group before trading.

Exchange Fees​

CME Group Exchange Fees​

Each futures trade on CME Group exchanges includes:

  • Exchange Transaction Fee
  • Clearing Fee

Typical total: A few dollars per side (about $1–2 per contract side for many CME Equity Index products). Check the official fee schedule below for current values.

Official Source: CME Clearing Fees

Trading Sessions​

  • Regular Trading Hours (RTH): Standard fees apply
  • Electronic Trading (Globex): Same structure as RTH
  • Weekend or Holiday Sessions: Confirm any special fees or support charges with your broker

Regulatory Fees​

Each trade on U.S. futures markets also includes small regulatory assessments charged by the:

  • Commodity Futures Trading Commission (CFTC)
  • National Futures Association (NFA)

These total only a few cents per contract side and are automatically included in your transaction costs. Fees may appear combined as a single "Regulatory Fee" on trade confirmations.

Official Sources:

Broker Commission Fees​

Broker commissions vary widely by service type:

Full-Service Brokers​

  • Offer personalized service, research, and support
  • Commissions are typically higher (often several dollars per contract round trip)
  • May include platform and data fees

Discount & Online Brokers​

  • Provide low-cost, self-directed access to futures markets
  • Commissions can range from a few cents to a few dollars per round trip
  • Volume-based discounts are common
  • Platform and data may be charged separately

Always review your broker’s complete fee schedule including commissions, clearing, platform, and data costs before opening an account.

Platform and Data Fees​

Trading Platforms​

Trading platforms may be:

  • Included with a broker account (basic web or desktop platforms)
  • Subscription-based, with professional features (charting, automation, analytics)
  • Volume-waived, if you meet a monthly trade threshold

Platform fees typically range from free to several hundred dollars per month depending on features and data integration.

Market Data Feeds​

Data subscriptions are charged separately by the exchange.

  • Level 1 (Top of Book): basic bid/ask data
  • Level 2 (Market Depth): full order book visibility
  • Historical or Tick Data: for backtesting or analytics

Professional users (registered or industry participants) pay higher rates as required by exchange policy. Verify your classification status with your broker or data provider.

Official Source: CME Market Data Policies

Maintenance and Administrative​

Brokers may charge:

  • Inactivity or maintenance fees if minimum trading volume or balance isn’t met
  • Account transfer or closure fees if moving accounts between brokers

Check your broker’s account agreement for these policies.

Margin Requirements​

Margin requirements change dynamically based on volatility and contract type. You must maintain at least:

  • Initial Margin: required to open a position
  • Maintenance Margin: required to hold a position

Intraday margins may be reduced by some brokers for positions closed before market close.

Official Source: CME Margin Requirements

Market Impact and Execution Costs​

Slippage​

The difference between expected and actual fill prices due to changing market conditions.

Factors affecting slippage:

  • Market volatility and liquidity
  • Order type (market vs limit)
  • Order size relative to market depth
  • Timing (e.g., during news events or overnight sessions)

Mitigation: Use limit or algorithmic orders and trade during high-liquidity hours.

Bid-Ask Spread​

The spread is usually one tick in liquid contracts during active hours but can widen significantly during low-volume or volatile periods.

Contract Roll-Over Costs​

Most futures contracts expire quarterly (March, June, September, December). To maintain positions, traders must “roll” into the next active contract.

Costs may include:

  • Exchange and regulatory fees (standard per-trade rates)
  • Broker commissions (may be discounted)
  • Bid-ask spread differences between contracts

Best practices:

  • Roll 5–7 trading days before expiration
  • Monitor volume migration to the new contract
  • Avoid last-minute rolls when liquidity drops

Indirect and Infrastructure Costs​

Technology and Connectivity​

Professional traders may incur costs for:

  • Co-location or dedicated servers near exchange data centers
  • Premium low-latency data feeds
  • Backup power and internet connections

Opportunity and Implementation Costs​

Indirect costs include:

  • Missed fills (unexecuted limit orders)
  • Delays in execution
  • Market impact from large order visibility

These costs are harder to measure but can significantly affect performance.

Funding and Administrative Fees​

Common non-trading charges include:

  • Wire transfers (domestic or international)
  • Paper statements or duplicate tax forms
  • Returned check or margin call processing fees
  • Account transfers (ACAT)

Many brokers waive these fees for electronic statements or ACH transfers.

Cost Optimization Strategies​

Trading Volume and Broker Relationship​

  • Concentrate trading volume with one broker for better commission tiers
  • Negotiate custom rates once consistent activity is established
  • Review promotions or exchange incentive programs

Platform and Data Optimization​

  • Start with included or trial platforms
  • Subscribe only to data feeds you use
  • Audit unused services periodically

Execution Efficiency​

  • Trade during peak liquidity periods
  • Use limit orders when possible
  • Avoid trading immediately before major news releases unless strategy-driven

Tax Considerations​

Futures contracts (e.g., CME E-mini products) are typically treated as Section 1256 contracts in the U.S.:

  • 60% long-term / 40% short-term capital gains treatment
  • Reported on IRS Form 6781
  • Subject to year-end mark-to-market accounting

Always consult a qualified tax professional.

Recordkeeping Recommendations:

  • Keep detailed trade logs
  • Save statements and confirmations
  • Document all trading-related expenses for potential deductions

Official Source: IRS Publication 550

Understanding Total Trading Costs​

Your total cost of trading includes:

  1. Direct Fixed Costs — Exchange, clearing, regulatory, and broker commissions
  2. Variable Costs — Slippage, bid-ask spreads, rollover fees
  3. Indirect Costs — Platforms, data, infrastructure
  4. Hidden Costs — Missed opportunities, market impact

Monitoring these categories helps calculate a realistic break-even level and improve cost efficiency over time.

Important Notes and Disclaimers​

  • Fee schedules change frequently; verify with CME Group and your broker.
  • Brokers may bundle exchange, clearing, and commission fees differently.
  • Trading futures involves substantial risk of loss and may not be suitable for all investors.
  • Always trade with risk capital you can afford to lose.

Verification Sources​

Quick Checklist Before You Trade​

  • Confirm total per-trade costs (exchange + regulatory + commission)
  • Verify platform and data subscriptions
  • Check current CME margin requirements
  • Understand roll-over timing and costs
  • Verify professional vs non-professional data status
  • Review account funding and administrative fees
  • Track break-even costs including indirect expenses
  • Maintain proper trade and expense records