What are Micro E-mini Russell 2000 Futures (M 2K)?

2000 E-mini Russell (ticker: RTY) allows futures investors to trade the 2000 index 24 hours a day, 6 days a week, via the CME Globex platform.

At 1/10 the size of standard E-mini contracts, the 2000 Micro E-Mini Russell (ticker: M 2 K) presents a lower cost opportunity for traders to invest in low-cost US equity futures. capitalization.

What is the 2000 index

The Russell 2000 is a small cap index comprised of the 2,000 worst performing companies in the Russell 3000 Index. Created in 1984 by the Frank Russell Company, the Russell 3000 Index represents approximately 98% of US companies eligible for public investments.

The Russell 3000 is considered a benchmark of the entire US stock market in this regard, as it is made up of 98% US stocks.

Swap the 2000 index for the S&P 500 index

Unlike the S&P 500 Index which consists of only large cap companies, the Russell 2000 is representative of the small 2,000 in the United States, excluding certain stocks such as OTC stocks and those whose market capitalization is less than $30 million.

Another important difference between the Russell 2000 and the S&P 500 is that S&P companies are chosen by a committee, while the Russell 2000 is selected using a formula, the bottom 2/3 of the Russell 3000 Index .

Micro E-Mini Russell 2000 Futures Contracts

Micro E-mini Russell 2000 2K futures offer traders the opportunity to participate in this exciting small-cap index on a contract 1/10 the size of the standard E-mini Russell 2000 (RTY) futures contract.

The micro-sized 2K moves at the same rate as its full-sized counterpart, and the graphics are virtually identical.

Launched in May 2022 by the CME Group, Micro E-mini futures offer traders a low-cost opportunity to participate in the US stock markets. Instantly gaining momentum with the futures community, Micro E-mini futures volume exceeded 32 million contracts in its first 3 months of trading!

Why trade Micro Russell futures (M 2 K) for 2000 (RTY)?

Russell 2000 Micro E-mini futures require less financial commitment than full-size E-minis. Therefore, the M 2 K is an ideal instrument for those seeking exposure to 2000 with less capital.

Although you can only trade one RTY futures contract, a trader with the same account size can flexibly move in and out of a 2K M position with multiple contracts. Additionally, Micro E-mini futures contracts are fungible with standard E-minis, meaning you can use Micro E-minis to offset a full-size E-mini position for the same underlying market.

M 2 K futures provide investors with both long and short opportunities to speculate on the Russell 2000. Micro-stock futures allow traders to access the US stock markets without a large finance charge or margin requirement. Some traders trade the Micro E-mini Russell 2000 futures as a way to hedge their equity exposure, while others use these small cap index futures to diversify their portfolios.

Micro E-mini Russell 2000 futures trade electronically almost 24 hours a day and are tracked around the world.

Micro E-mini Russell 2000 Futures Specifications:

  • Exchange: Chicago Mercantile Exchange (CME)
  • Class: Futures
  • Trade symbol: M 2 K
  • Contract size: $5 x Russell 2000 Index
  • Price unit: US dollars
  • Mark size: 0 . 1
  • Brand value: $0. fifty
  • Point value: 1 = $5
  • Intraday Margin: $50
  • Month of the contract: March, June, September and December
  • Trading Hours: Sunday through Friday 6:00 p.m. to 5:00 p.m. ET
  • Position limit: 100 contracts

E-mini Russell 2000 Futures Specifications

  • Exchange: Chicago Mercantile Exchange (CME)
  • Class: Futures
  • Trade symbol: RTY
  • Contract size: $50 x Russell 2000 Index
  • Price unit: US dollars
  • Mark size: 0 . 1
  • Brand value: $5. 00
  • Point value: 1 = $50
  • Intraday Margin: $500
  • Month of the contract: March, June, September and December
  • Trading Hours: Sunday through Friday 6:00 p.m. to 5:00 p.m. ET
  • Position limit: 50 contracts

Learn more about Micro E-mini Futures in this 2 minute video:

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