Our CME Group review found they’re a leading global marketplace for trading futures, options, and other derivatives. The company has a long history of providing the most complete and dependable marketplaces worldwide. Not only that but according to employees, CME Group is truly a great company to work for.
CME Group is a leading marketplace for trading global derivatives, including futures and options based on interest rates, equity indexes, foreign exchange, and energy. They’re also the world’s largest options exchange, futures exchange (CME), clearing house, and central counterparty. Yes, the world’s largest! Let’s continue with our CME Group review of what they offer.
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Table of Contents
CME Group Review Introduction
CME Group is the world’s leading and most diverse derivatives marketplace. They were originally called the Chicago Butter and Egg Board but changed their name in 2007 when they merged with the New York Mercantile Exchange (NYMEX).
The CME launched its first futures contracts in 1961 on frozen pork bellies. Nowadays, CME has pivoted into trading unusual commodities like Bitcoin futures and weather derivatives.
CME Group Founders
The CME Group was created in 2007. They are a holding company for the Chicago Mercantile Exchange and the Chicago Board of Trade (CBOT).
The Four Exchanges Operated By The CME Group
CBOT (Chicago Board of Trade)
New York Mercantile Exchange (NYMEX)
Commodity Exchange Incorporated (COMEX).
It also provides clearing services through its subsidiary ClearPort Clearing LLC.
CME Group has offices in New York City, London, and Singapore
Global Derivatives
Derivatives are financial instruments that derive their values from other assets. The most common types include futures, options, and swaps.
Derivatives can be used for various purposes, but they typically fall into one of three categories: hedging, speculation, and income generation. For example, farmers use them to lock in prices for crops. Airlines use them for fuel hedging. Corporations use them as an inflation hedge against rising costs, and investors use them as an inflation hedge when investing in stocks. This is because stock prices generally increase with inflation (and vice versa).
Trading with CME Group is easy, and the education they offer makes it even easier.
The first thing that drew me to this company was how much they do for their customers. They have excellent customer support. This is the first thing I look for when choosing a broker or trading platform.
You can contact them by phone or email any time of day or night because they’re available 24 hours a day, seven days a week!
Another thing I love about CME Group is its educational resources. Depending on what type of trader you want to become: beginner or advanced, technical analysis or fundamental analysis, market maker or institutional investor, there’s a course for you!
They even offer webinars from some of Wall Street’s top traders like Tom Sosnoff (Options Portfolio) and Larry Connors (Connors Research).
COURSE | |||
---|---|---|---|
DESCRIPTION | Learn how to read penny stock charts, premarket preparation, target buy and sell zones, scan for stocks to trade, and get ready for live day trading action | Learn how to buy and sell options, assignment options, implement vertical spreads, and the most popular strategies, and prepare for live options trading | How to read futures charts, margin requirements, learn the COT report, indicators, and the most popular trading strategies, and prepare for live futures trading |
INCLUDED | Daily watch lists • Trade rooms • Trading scanners • Discord • Live streaming Day Trading > | Daily watch lists • Trade rooms • Options scanners • Discord • Live streaming Options > | Futures target levels • Trade rooms • Real time teaching • Discord • Live streaming Futures > |
Who Works For the CME Group?
CME Group is a global marketplace for trading derivatives and futures. The company has offices in Chicago, London, New York, and Singapore.
CME Group employs over 2,000 people worldwide and offers a variety of job roles, including:
Risk management specialist
Compliance officer
IT specialist
Here’s a CME Group review of the positives of working there. The Chicago Mercantile Exchange Group has a lot to offer, including great benefits and opportunities for growth.
You’ll also be able to work with some of the best people in your industry. It’s located in downtown Chicago, so it’s easy to get around town when you want some fresh air or a change of scenery.
Plus, the pay is good: entry-level employees earn an average salary of $50k annually!
CME Group Leads the Marketplace
The CME Group is the leading global marketplace for trading futures and options on interest rates, equity indexes, foreign exchange, energy, and soft commodities. The company also offers clearing services across all products to customers worldwide. It has a wide range of markets to trade, including commodities, equity indexes, interest rates, and foreign exchange.
As mentioned above, the CME Group exchanges include:
Chicago Mercantile Exchange (CME) — The world’s largest futures market with a trading volume of over 1.3 trillion contracts per day; includes options on equities, FX pairs, and interest rates products
New York Mercantile Exchange (NYMEX) — One of the world’s largest physical commodity exchanges offering spot sale contracts in energy products like crude oil; also trades soft commodities such as cocoa beans.
Our CME Group review found that they’re the world’s largest exchange operator, with a global footprint that spans multiple asset classes. As of December 31, 2016:
CME Group Inc., its parent company, had an average daily volume (ADV) of $10 trillion per day across all products. Astonishingly, this represents more than 95% of the total ADV across all U.S.-based exchanges and clearinghouses. Wow!
CME Group Inc.’s ADV was up 11%, or $1 trillion, over 2015 levels – making it the fastest-growing exchange in history for any company operating in more than one country or region.
Futures Contracts
Let’s discuss a CME Group review of the benefits of trading futures.
You can trade in any market, anywhere in the world.
Local time zones for each region determine the open and close times, so you don’t have to worry about missing a deadline or sleeping through an important piece of news.
You can trade 24/7 if you choose, and access is available via mobile apps and desktop computers (although we recommend using a laptop or desktop computer because it’s easier on your eyes).
No minimums or maximums are required when opening an account with CME Group. However, some restrictions may be based on your country of residence or citizenship status. For example, in European Union countries, citizens aren’t allowed access unless they meet certain criteria outlined by local laws.
Futures Trading Benefits
It would help if you considered trading micro e-mini futures because they are:
Affordable to trade
Designed for all types of traders, including beginners and professionals
Available on the CME Group’s website and mobile app (you can also trade them through a broker)
Traded in cents or fractions of a dollar makes placing trades with small amounts of money easy. You can buy as little as $1 worth at a time!
The CME Group’s website is extremely user-friendly and easy to navigate. Ultimately, this makes it easier for new traders to learn how to trade micro-emini futures.
In addition, our CME Group review found that the company has mobile apps available for iOS and Android devices, so you can access prices in real-time from anywhere–even when you’re on the go!
Managing Risk
CME Group is a risk management company that uses technology and advanced analytics to monitor risk across their trading systems. The CME Group Risk Management team uses software to monitor all market aspects, including order flow, price changes, volume, and volatility.
The CME Group Risk Management software also has built-in tools that help detect market fraud and manipulation. How, you’re likely wondering? By analyzing patterns in order flow or price movements across multiple asset classes.
CME Group Stock Rover Research Report 3/24
CME Group Financial Summary
They have a market capitalization of $14.08 billion. In a nutshell, the market cap is the total value of all the company’s outstanding shares. The firm has generated positive earnings per share for the past four quarters, and it’s expected to keep doing so in the next quarter as well.
This company is expected to grow its earnings at an average rate of 2.6% per year over the next five years, according to analysts polled by S&P Global Market Intelligence. Does this CME Group review make you think this might be a stock worth investing in?
Did you know CME Group stock is traded on the New York Stock Exchange under the ticker symbol CME? If you haven’t placed a trade yet or know where to start, join Bullish Bears today, and we will show you how.
CME Group TipRanks Stock Forecast Report 3/24
Final Thoughts: CME Group Review
The company has been around since 1898, so they know how to provide quality services while maintaining fair prices across their entire network.” CME Group is a great company to work for, and the benefits are amazing.
You can trade anything from bonds to commodities on their exchange, making it very convenient for traders who want access to multiple markets simultaneously.
In addition, this organization has many opportunities, which means that if one area doesn’t work out, there will be another place where someone needs help! You can’t get any better than that, in my opinion.
Frequently Asked Questions
Through its exchanges, the CME Group provides the broadest selection of global benchmarks across all major market segments, including interest rate futures and options, equity indices, foreign exchange, commodities, agricultural products, and metals.
CME stands for The Chicago Mercantile Exchange. It's also known as the "Chicago Merc".
Chairman and CEO of CME Group, Terrence A. Duffy oversees the largest and most comprehensive derivatives marketplace in the world. In 2021, CME Group traded 4.9 billion contracts.
CME Group trades on the Nasdaq under the stock symbol (CME).
CME Group makes money by trading fees, private transaction surcharges, and volume-based charges. It includes volume-based charges and market data from subscribers.