Creating Trading Account / Trading Sub Account

Using the Accounts functionality, authorized users can create and manage Trading Accounts and Trading Sub-accounts associated with existing an account.

The following Clearing Account settings affect availability of Trading Sub-Account creation.

• Account Owner / LEI: Account owner (or LEI) must be authorized for ClearPort Clearing and / or CME Direct (CME Globex).

• Holding Account: Do not select, Trading Sub-Account creation will be unavailable.
• Delegated Intermediary: After sub-account creation, DI account cannot be unchecked.
• Selected: To specify another trading account as the owner.
• Not Selected: Trading Sub-Account trades will clear through the parent Trading Account (Owner).

Authorized users:

• Clearing Firm Account Administrator: Manages Clearing, Delegated intermediary (DI) and Customer (Parent) accounts.
• Sub-Clearing Member Firm Account Administrator: Manage execution firm ICC enabled accounts, when the registered clearing firm is guaranteed by a parent Clearing Member Firm.

• Trader Administrator: View, create and manage Delegated Intermediary accounts.

View sub-account account information, but cannot edit Sub-Account configuration or view relationship to delegated intermediary account.

• Trader Risk Administrator: View, create and edit Trading Sub-Accounts, including owner firm, broker firms, traders, services and status.

Users can only manage services and entitlements which they are also entitled.

Example: To assign CME ClearPort and CME Direct services, the administrator must be entitled for CME ClearPort and CME Direct.

Account Types:

• Delegated Intermediary (DI)
• If a clearing account is designated as Delegated Intermediary (DI), specify the clearing member firm.

Additional details are inherited from Trading Account Owner.

• Managed by Clearing Firm Account Administrator, for a non-member clearing firm.
• Trading sub accounts clear through this DI or other designated clearing account.
• Can assign any CME ClearPort registered trading firm as the trading sub account owner.
• Manages individual customer account level risk management.
• DI (parent) accounts cannot be updated via Bulk upload.
• Customer (Parent) Account
• Managed by Clearing Firm Account Administrator.
• Designated as the Owner Firm.
• Once created, the Account Owner cannot be modified or deleted.
• Assigned services and entitlements apply to Trading Sub-Accounts.
• Enables Trading Sub Account level risk management.
• Trading Sub Accounts
• Managed by Trading Firm - Trader Risk Administrators.
• Viewable by the Trader Administrator and sub-account users.
• Owner firm, services are inherited from the clearing account owner and trading, which cannot be added or removed.

Creating Trading Account / Trading Sub-Account

Prior to creating a Trading Sub-Account, a Clearing Firm Administrator must create or assign a Trading Account [parent / delegated intermediary (DI)].

To verify trading account availability or enable an account as a trading account, conduct a search, Assign the Account Owner and Delegated Intermediary (if applicable).

A user with Trader Risk Administrator entitlements and access to the Trading (parent) account is authorized to create Trading Sub-Accounts.

• To Create a Trading Sub-Account:

1. From the Accounts menu, select Create New Account.

2. On the account creation screen that appears, enter required details:

Services

ClearPort Clearing and / or CME direct (CME Globex)

Clearing Member

Clearing members assume financial and performance responsibility for all transactions executed through them and cleared by CME Clearing whether it is for the account of a customer, member, or their own account.

Account Number

The alphanumeric identifier for CME ClearPort or CME Globex accounts.

• CME ClearPort: Up to 20 characters.
  
• CME Globex: Up to 12 characters.

Do not use the following special characters in the first, second or last position.

@	at
%	percent
^	caret
&	ampersand
(	left parentheses
)	right parentheses
_	underscore
=	equal
{	left brace
}	right brace
[	left bracket
]	right bracket
|	vertical bar
\	backslash
:	colon
;	semi colon
"	double quote
'	single quote
<	less than
>	greater than
,	comma
.	period

Description

User specified identification details

Owner Firm

The Trading firm owner of this account .
Available if the clearing account is designated as Delegated Intermediary (DI); specify by
the clearing member firm. Additional details are inherited from Trading Account Owner.
DI (parent) accounts cannot be updated via Bulk upload.

Owner's Primary Business Activity

Required

Firm LEI

Firm Legal Entity Identifier - Available at http://www.ciciutility.org.

Country of Origin

Appears when a dynamic (not registered) owner firm is specified

Asset Manager (Controller) Firm

Enter the name in the field; available choices appear based on the partially entered name.
For DI and sub-accounts: If an asset manager firm is assigned to the clearing account, trading sub-accounts cannot be created and the DI selection will not be available.

House / Customer Indicator

Indicates whether the account represents customer segregated funds or house funds.

CTI Code

CTI1 - An individual member trading for her or her own account, CTI2 - A member firm trading for its proprietary account, CTI3 - A member firm trading for another member, CTI4 - All others individuals.

Holding Account

Do not select, Trading Sub-Account creation will be unavailable

Portfolio Margin Futures

Enables the account for the CME Portfolio Margining program for futures.

Delegated Intermediary (DI)

Specified by the clearing member firm administrator.
Not Selected: The trading sub-acocunt will clear through the parent Trading Account (Owner).
Selected: Specify another trading account as the owner

Margin Account

Enables multiple customer accounts to aggregate trades to calculate OTC trade cross-account margin offsets.

Associate accounts with clearing member / beneficial owner.

Designate the master / margin account for CME ClearPort enabled accounts.

To assign accounts to a master / margin account:

Accounts must be associated with the same Clearing Member Firm, beneficial owner.

CME ClearPort service must be enabled for the accounts.

For non-CME ClearPort accounts, the margin account is Self, which assigns the same account number as the owner.

Select Services: Trading Account / Trading Sub-Account is only available for CME Direct (CME Globex) and CME ClearPort.

CME ClearPort

1. From the Services pane (also known as Platform), select ClearPort Clearing.

2. On the Services pane, specify CPC Account Attributes

• Account Type: Select None.

3. To continue, select Market Type Permissions.

CME Direct (CME Globex)

1. From the Services pane (also known as Platform), select CME Direct (CME Globex).

2. On the Services pane, enter the iLink Session ID(s) to enable; as you enter matching IDs appear in a list, select to Add.

• iLink Session ID: Also known as SenderComp, which is obtained from Global Account Management.

This ID, used for in-house brokerage purposes, is submitted with trades, and associated with referenced Clearing Member firms.

Clearing Firms can assign a default iLink Session ID / SenderComp for in-house Broker entities.

Available options:

• OK: Proceed without selecting an iLink Session ID.
• Cancel: Select an iLink Session ID, go back and select an iLink Session ID.

Note: If an iLink Session ID is not selected, a dialog appears and must be acknowledged before proceeding with account setup.

3. To continue, specify Market Type(s) and Product Permissions.

• Specify Market Permissions:

After confirming Account Settings and Services, select Market Types and Access.

Available options:

• None: Submitting orders for this Market Type, including all Products, is restricted.
• Specific: Requires selection of individual product permissions.
• All: Enable order submission for this market type and all products.

Note: Specific and All, requires credit and maximum long / short quantity limits; configured with the Credit Controls function.

• Set Product Permissions:

On the Product Permissions page, select from Available Products, then add at least one product.

• Add:  / Add All:
• Remove: / Remove All:

To find a specific product, enter the symbol or name in the search field; partial entries are accepted.

3. Select and Specify Credit Controls.

Creating Trading Sub-Account

4. Search and select the Trading Account.
5. From the Trading Sub Accounts pane, select Create New and enter required information.

• Account Number: required
• Description: required
• Owner Firm: Available if the clearing account is designated as DI (by the clearing member firm), otherwise, this is inherited from the Trading Account Owner.
• Status: Active: Account is available immediately. Inactive: Resume or edit account details, before activating.

6. To finalize, select .