Client classification at the Chicago Mercantile Exchange (CME) primarily determines your trading privileges, market access methods, and applicable fee rates.
Membership Categories
Individual Member: Individuals who own or lease a seat, enjoying the lowest trading fees.
Corporate Member: Eligible entities that can apply for member rates for their proprietary trading.
Non-Member: General clients who trade through brokers, subject to standard market rates.
Trading Privileges (Divisions)
CME memberships are divided into four main divisions, each corresponding to different tradable products:
Division | Tradable Products |
CME (B1) | All CME listed contracts (agricultural products, foreign exchange, interest rates, equity indices, etc.) |
IMM (B2) | Foreign exchange, interest rates, and equity index futures |
IOM (B3) | Equity index futures, timber, and all options contracts |
GEM (B4) | Emerging market products and specific financial instruments |
Fee Structure Explanation
CME employs a tiered fee structure, with member rates typically more than 50% lower than non-member rates. Additionally, there are specific incentive programs for high-frequency traders and market makers.