Research note 01

CME Single Stock Futures: A Beginner's Guide

A clear introduction to CME Single Stock Futures, contract sizes, margin, expiry and the risks beginners should understand before trading.

Independent AEORA Research guide to CME Single Stock Futures

CME Single Stock Futures provide futures exposure to the price of one company, such as Nvidia, Apple or Microsoft. They can be useful, but they should not be confused with owning the company's shares.

01

What is a Single Stock Future?

A Single Stock Future, often shortened to SSF, is a standardised futures contract linked to one listed company. Buying the contract creates long exposure. Selling it creates short exposure.

You do not receive the physical shares, voting rights or direct dividend payments. CME contracts are financially settled in US dollars, and they expire on a scheduled quarterly date.

The futures price may also differ slightly from the cash-share price. Financing costs, expected dividends and the time remaining before expiry all influence that difference, known as the futures basis.

02

Standard and Micro contract sizes

CME's July 2026 launch lineup lists 55 Standard contracts and 22 Micro contracts. The smaller Micro format can make position sizing more precise, but smaller does not mean risk-free.

Key CME Single Stock Futures specifications
FeatureStandardMicro
Contract exposure100 shares10 shares
One-cent move$1.00 per contract$0.10 per contract
SettlementFinancial settlement in US dollars
Listed expiriesMarch, June, September and December quarterlies

03

A simple $200 stock example

Assume a futures contract is priced at $200. This is an educational example, not a current market price or trading recommendation.

  • Standard100 x $200 = $20,000

    A $5 price move changes the position by about $500.

  • Micro10 x $200 = $2,000

    A $5 price move changes the position by about $50.

Margin is collateral, not a maximum loss.

CME states a 15% regulatory minimum margin for an outright Single Stock Futures position. Brokers can require more, and gains or losses still follow the full notional exposure.

04

Why might market participants use them?

The product can create targeted long or short exposure without buying or borrowing physical shares. It can also be used to hedge a particular company or to build relative-value positions between two stocks.

Nearly round-the-clock trading provides a wider risk-management window than the regular US cash session. It does not guarantee deep liquidity throughout the day. Bid-ask spreads and order-book depth can be materially weaker outside active hours.

05

A beginner's pre-trade checklist

  • Confirm whether the contract is Standard or Micro.
  • Translate one price move into an actual dollar gain or loss.
  • Check the expiry month and understand when a position must roll.
  • Review live volume, open interest, spread and order-book depth.
  • Confirm broker access, margin, commissions and market-data fees.
  • Account for US-dollar exposure, regulation and tax treatment in your own jurisdiction.

06

The risks that matter most

Single Stock Futures combine company-specific price risk with leverage, margin calls, expiry and basis risk. Overnight gaps, corporate actions, thin liquidity and slippage can produce outcomes that differ from a simple chart-based expectation.

Beginners should understand the contract multiplier and rehearse realistic loss scenarios before considering live capital. A smaller upfront margin requirement is not evidence that the position itself is small.

The contract creates access. Liquidity, execution and risk control determine whether that access is usable.

CME and CME Group are referenced solely to identify the product provider. Aeora Research is independent and is not affiliated with or endorsed by CME Group.

Reference desk

Sources and further reading

  1. CME Group: Single Stock Futures product page
  2. CME Group: Single Stock Futures FAQ
  3. CME Group: Capital and operational efficiencies with Single Stock Futures
  4. ChartsDWorks: Detailed CME Single Stock Futures explainer

Important information

This article is for general informational, research and educational purposes only. It is not investment advice, a recommendation, a trade signal or a guarantee of performance. Futures and derivatives involve substantial risk and may not be suitable for every individual.

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