IB overnight initial for 1 YM contract $9153.54

One little correction and they jack it up 20%. Imagine what it will be if we roll over into a bear market. By doing this they will chase off some traders, thereby having an adverse effect on the firm's liquidity. Some will say they are being careful. Maybe they are but there are other ways to hedge.



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You missed your calling, stand up might be a good career.

"". By doing this they will chase off some traders, thereby having an adverse effect on the firm's liquidity""
 
I think we ought to give IB a little more credit. They know exactly which accounts are driving their revenue, and which accounts are only adding risk. I'm certain this move was calculated.
 
One little correction and they jack it up 20%. Imagine what it will be if we roll over into a bear market. By doing this they will chase off some traders, thereby having an adverse effect on the firm's liquidity. Some will say they are being careful. Maybe they are but there are other ways to hedge.



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They are signaling loud and clear they don’t want the riff raff.. Dow traveled 20K pts last week.
 
They are signaling loud and clear they don’t want the riff raff.. Dow traveled 20K pts last week.

They are signaling they are adverse to risk. And that's fine. Some firms manage risk in different ways. IB prefers to pass the risk on to the client.
 
They are signaling they are adverse to risk. And that's fine. Some firms manage risk in different ways. IB prefers to pass the risk on to the client.
I’m sure with your well endowed equity curve you have multiple accounts with different shops.
 
I think we ought to give IB a little more credit. They know exactly which accounts are driving their revenue, and which accounts are only adding risk. I'm certain this move was calculated.

I'm just saying, when and if we do fall into a bear market, there margins will go even higher. I guess that's the point I'm trying to raise.
 
I'm just saying, when and if we do fall into a bear market, there margins will go even higher. I guess that's the point I'm trying to raise.

I disagree. Since the margins are determined by volatility, then the less volatile the market the lower the margins. Bear or bull makes no difference. It is just the average price range over time.

Just had a thought on how to track this...When the VX drops and stays low next time, watch for the margin changes from the CME, they should also drop eventually.
 
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