IB Margin Requirements on futures are crazy!

newbunch said:
Korean Won Futures maintenance margin
CME: $2,500 https://www.cmegroup.com/markets/fx/emerging-market/korean-won.margins.html
Cannon Trading: $2,500 https://www.e-futures.com/margin-requirements.php
Interactive Brokers: $18,500 https://www.interactivebrokers.com/en/index.php?f=26662

Now the Won has very low volume and sometimes doesn't even trade. But the bid-ask spread is usually pretty tight. Does Interactive Brokers really need to protect against a 17% move in the Won-Dollar exchange rate?
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volume is virtually zero.
If you trade it, you might be the only one in the world trading CME won.

so it makes sense for IB to increase the margin requirement.
 
newbunch said:
So you're saying that the CME and brokers other than IB are crazy for having such low margin requirements?
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IB tends to have a higher margin requirement

Other brokers might not offer this product due to its poor liquidity.

No comment on CME margin requirement.
they ought to have won delisted.
 
maxinger said:
IB tends to have a higher margin requirement

Other brokers might not offer this product due to its poor liquidity.

No comment on CME margin requirement.
they ought to have won delisted.
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Current open interest is 1,162 contracts. I don't think they'll be delisting it anytime soon.

BTW, I didn't say I'd be trading this. I'm just pointing out how IB has much higher margin requirements on this contract than the CME requires and other brokers offer (and this is true for most of the more thinly traded FX futures contracts).
 
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