Get the same benefits as the world’s leading Precious Metals futures benchmarks, but for a smaller up-front initial margin.
Nearly 24-hour trading, no management fee, ability to short positions, and more.WELCOME TO FUTURES
Having a mix of different investment types in a portfolio can help cushion against wide swings in key sectors during uncertain markets.
Many traders use metals like gold as a store of value when other markets (like equities) are turbulent.PORTFOLIO DIVERSIFICATION
Control a larger contract value with a smaller amount of money upfront – that’s the power of leverage inherent in futures.
Capital efficiency means you can enjoy potentially greater upside and lower trading costs compared to a basket of company stocks or ETFs.POWER OF LEVERAGE
Futures offer straightforward exposure to underlying metals, avoiding the slippage and tracking errors that can come with ETFs and stocks.
Futures let you trade the cash value of set quantities (in oz) of gold, silver and palladium.Benefits of Precious Metals futures vs ETFs
Watch Dave Lerman as he reviews what every active trader should know about CME Group suite of micro and mini futures products.
As you get ready to start trading these smaller-sized futures contracts, find out everything you need to know.
In the webinar, Dave will share:
Learn why you should consider Micro Metals futures as part of your trading strategy.
Learn the contract details for trading our Micro Metals futures:
|Micro Gold||Micro Silver||Micro Palladium|
|UNDERLYING MARKET||Gold, a widely used precious metal||Silver, a widely used precious metal||Palladium, a precious metal often used as an alternative to platinum|
|CONTRACT SIZE||10 troy ounces||1,000 troy ounces||10 troy ounces|
|RATIO TO STANDARD CONTRACT||1/10 of COMEX Gold futures||1/5 of COMEX Silver futures||1/10 of NYMEX Palladium futures|
|MINIMUM TICK/ PRICE FLUCTUATION||$0.10 per troy ounce||$0.01 per troy ounce||$0.10 per troy ounce|
|DOLLAR VALUE OF ONE TICK||$0.10 per troy ounce||$10 per contract||$1 per contract|
|TRADING HOURS||Sunday – Friday 5:00 p.m. – 4:15 p.m. CT with a 45-minute break each day beginning at 4:15 p.m. CT|
See how futures compare to other trading instruments, such as exchange-traded funds (ETFs).
|Management fees||None. Futures have no annual management fees.||ETFs often have annual management fees.|
|Capital efficiencies||Futures margin is capital-efficient, with performance bond margins usually less than 5% of notional amount **||Reg T margins with stocks and ETFs are 50% of the value of the stock or ETF. This is far larger than futures.|
|Nearly 24-hour trading access||Micro Metals futures are available to trade over 23 hours, five days a week||While some firms offer after-hours trading, ETFs do not trade around the clock like futures|
|Tracking to underlying||Trading Micro Metals futures will give you direct access to the underlying metal’s physical market and true price.||Many metals ETFs use futures positions to provide underlying oil or natural gas market exposure.
When the metals futures roll approaches, gold, silver and palladium ETFs often lose some of their correlation to the underlying market, which can inflate your costs due to slippage
|Possible tax advantages***||A profitable short-term trade using futures may be subject to less taxes than using an ETF, due to IRS Section 1256 treatment (60/40 blend of short- and long-term gains)||Typically, short-term profits with ETFs pay ordinary income rates.|
** Source: CME Group.
**** The information provided here should not be considered tax advice. Please consult your tax advisor before making any investment. Information provided can depend on holding period and time horizon.
The information in the market commentaries have been obtained from sources believed to be reliable, but we do not guarantee its accuracy and expressly disclaim all liability. Neither the information nor any opinions expressed therein constitutes a solicitation of the purchase or sale of any futures or options contracts. The information on this site compiled by CME Group is for general purposes only. All information and data herein is provided as-is. Additionally, all examples on this site are hypothetical situations, used for explanation purposes only, and should not be considered investment advice or the results of actual market experience. CME Group assumes no responsibility for any errors or omissions. CME Group, its affiliates and any third party information and content providers expressly disclaim all liability with respect to the information and data contained herein including without limitation, any liability with respect to the accuracy or completeness of any data. You use the data herein solely at your own risk. All data and information provided herein is not intended for trading purposes or for trading advice. All matters pertaining to rules and specifications herein are made subject to and superseded by official CME, CBOT, NYMEX and COMEX rules. Current rules should be consulted in all cases concerning contract specifications.
Neither futures trading nor swaps trading are suitable for all investors, and each involves the risk of loss. Due to the leveraged nature of futures trading and swaps trading, it is possible to lose more than the amount deposited in a position. Therefore, traders should not deposit more funds than they can afford to lose without negatively affecting their lifestyles. A trader cannot expect to profit on each trade, and should only devote a small amount of their available funds to each trade. All references to options refer to options on futures.
Past performance is not necessarily indicative of future performance.
CME Group, the Globe Logo, Chicago Mercantile Exchange, Globex and CME are trademarks of Chicago Mercantile Exchange Inc. CBOT is the trademark of the Board of Trade of the City of Chicago, Inc. NYMEX is the trademark of the New York Mercantile Exchange, Inc. COMEX is a trademark of Commodity Exchange, Inc. All other marks are the property of their respective owners. Each of Chicago Mercantile Exchange Inc. (ARBN 103 432 391), The Board of Trade of the City of Chicago Inc (ARBN 110 594 459), the New York Mercantile Exchange Inc (ARBN 113 929 436) and Commodity Exchange, Inc. (ARBN 622 016 193) is a registered foreign company in Australia and holds an Australian market licence.
This site does not constitute a prospectus, product disclosure statement or legal advice, nor is it a recommendation to buy, sell or retain any specific investment or to utilise or refrain from utilising any particular service. Readers should consult their legal advisors for legal advice in connection with the matters covered on this site.