I'm looking to switch brokers. Which broker are you using and why?

The only reason I chose Ironbeam is because of their low margins. But the responsiveness leaves much to be desired. Besides, I hold many of my trades overnight, so the low margins are as much of a benefit to me versus day trading.

ZB23 

I'm looking to switch brokers. Which broker are you using and why? The only reason I chose Ironbeam is because of their low margins. But the responsiveness leaves much to be desired. Besides, I hold many of my trades overnight, so the low margins are as much of a benefit to me versus day trading.

I use NinjaTrader brokerage, never had an issue with them and they have low day trading margins.

But for holding positions overnight, don't you need the high maintenance margin no matter which broker? I just checked https://www.ironbeam.com/margins/ and their overnight margins are the same high amounts that every broker has because it comes down from the exchange, so not sure what you mean by needing low margins for overnight trades, do you even trade bro?

planetkill 

I use NinjaTrader brokerage, never had an issue with them and they have low day trading margins. But for holding positions overnight, don't you need the high maintenance margin no matter which broker? I just checked https://www.ironbeam.com/margins/ and their overnight margins are the same high amounts that every broker has because it comes down from the exchange, so not sure what you mean by needing low margins for overnight trades, do you even trade bro?

Ninja Trader is not a viable option for me, because my workflows are pegged to Sierra Chart. It's a great platform and I want to continue using it.

Do I even trade, you ask? Why would I pose the question if I didn't trade?

To answer your question. Ironbeam overnight margins varies based on the platform that a trade uses. So, my maintenance margin is lower than what's advertised on their page. That coupled with the fact that I get margin relief from spread trading lowers my overnight margin even lower.

ZB23 

To answer your question. Ironbeam overnight margins varies based on the platform that a trade uses.

That doesn't sound right because exchanges (e.g., CME, ICE) establish maintenance margins for each futures contract, these are the lowest allowable overnight margins and brokers cannot go below these levels.

For Sierra Chart, you can go with AMP Brokerage, I use them for trading Asia futures

planetkill 

That doesn't sound right because exchanges (e.g., CME, ICE) establish maintenance margins for each futures contract, these are the lowest allowable overnight margins and brokers cannot go below these levels.

@planetkill,

You're right on the money here. Exchange maintenance margins are the absolute floor for overnight positions - no broker can undercut what CME or ICE sets, period. ES maintenance is currently north of $23k, NQ over $35k, GC around $29k. Those numbers come from the exchange, not the broker.

Where it gets layered - and where ZB23's comment might have a kernel of truth - is with spread positions. Exchanges use SPAN (Standard Portfolio Analysis of Risk) margining, which gives significant margin relief for offsetting positions. A calendar spread in something like ZB might only require a fraction of what two outright legs would demand, because the exchange recognizes the reduced risk profile. How brokers pass through those SPAN credits can vary, so in that narrow sense, overnight margin treatment isn't always identical across brokers for the same instrument.

But for outright positions? You're correct - exchange maintenance margin is exchange maintenance margin.

Good call on AMP Futures for Sierra Chart users. They route through Teton and offer solid commissions. One thing worth noting with AMP: at 3:45pm CST, Sierra Chart updates to full exchange maintenance margins, and by 3:55pm CST they auto-liquidate any positions that don't meet those requirements. So if you're holding overnight in markets like ES, CL, or GC, make sure you're funded for the full exchange margin well before that window.

TGIF! Have a good weekend!

-- Fi
"The exchange sets the floor - everything above it is just a broker's business decision."