Set Exposure Limits and/or Max Quantity Limits

Using the Credit Controls Management function, GC2 Risk Administrators can manage the risk settings for a Legal Clearing Entity and Execution firm entity:

  • Exposure Limit: USD millions, with a minimum value of $0.5M and increments in $0.1M increments (maximum one decimal to the right). Only one decimal place to the right is recognized.
  • Futures / Options
  • Long / Short

Spread orders that have both Buy and Sell sides will apply a spread adjustment factor (10%) to working spread orders, which may affect trading/risk limits for new orders.

  • Max Quantity Limit
  • Buy
  • Sell
  • No Max Limit

Orders are evaluated against the more restrictive of either:

  • User specified exposure and maximum quantity (including no max limit).
  • No Max Limit: When selected, all orders are evaluated against CME Group specified product limits.
  1. To Modify the Exposure Limit:
  2. Enter the Futures and Options Exposure Limit.

  1. Select Save if there are no other changes.
  1. To Modify the Max Quantity Limit:
  2. Uncheck the No Max Limit checkboxes.
  3. Enter the Buy Max Quantity Limit for Futures.
  4. Enter the Sell Max Quantity Limit for Futures.
  5. Enter the Buy Max Quantity Limit for Options.
  6. Enter the Sell Max Quantity Limit for Options.

 

  1. Select Save when finished.