$25K "Deposit" for Globex Terminal???

[Richard Josslin <TaoOfDow@xxxxxxxxxxxxxx>]

Dear Group,

I read a claim on this newsgroup a day or two ago that one of the requirements for obtaining a Globex terminal was a $25K deposit to the CME.  Not so.  I have the application for a Globex terminal, and a summary of its
requirements are available on the CME's website at http://www.cme.com/globex2/eth.html as follows:

Details
                    Limited number of permits available -- act promptly.
                    No CME membership purchase/lease needed.
                    Initial $1,500 permit application fee.
                    Minimum net capital requirement: $25,000 held at a clearing firm.
                    Permits are non-transferrable and valid for one year.

The "$25K deposit" is neither to the CME nor for the terminal --- it is simply a deposit to the applicant's chosen clearing firm, the firm who guarantees the applicant's trades to the CME --- in other words, a minimum $25K
trading account.

On another matter that has also been mentioned recently on this newsgroup, namely, commissions for members: as regards trading with a Globex terminal, the CME does not require a person to be a member in order to obtain or
trade with a Globex terminal (technically, one must acquire an ETH Permit, "Electronic Trading Hours" Permit).  In my investigation towards acquiring an ETH Permit and a Globex terminal, I spoke with one firm who told me that
if I obtained a Globex terminal, they would clear my trades using it for a roundturn, all-inclusive, commission rate of $5 with a reduction from that for size.

Sincerely,

Richard