How Much Does 1 ES Futures Contract Cost?

When trading ES futures, one of the first things traders ask is: How much money do I need to start? Understanding the cost of one ES futures contract involves more than just the price of the S&P 500—it also includes margin requirements, tick value, and potential risk.

What Is an ES Futures Contract?

The ES futures contract tracks the S&P 500 index, and its value is calculated as:

Contract Value = S&P 500 Index Price × $50

For example, if the S&P 500 is trading at 4,800, then:

ES Contract Value = 4,800 × $50 = $240,000

But this doesn’t mean you need $240,000 to trade it. Thanks to margin, you only need a small fraction of that amount to open a position.

How Much Margin Is Required to Trade ES Futures?

There are two types of margin:

Initial Margin (to open a trade): ~$12,000 to $13,000 (as of 2025, may vary by broker)
Maintenance Margin (to keep the trade open): ~$11,000

Some brokers also offer day trading margins as low as $500 to $1,000 for intraday trades, depending on your risk tolerance and account type.

✅ Always check the latest margin rates with your broker or the CME website.

What’s the Tick Value of ES Futures?

Tick Size: 0.25 index points
Tick Value: $12.50 per tick
One full point move = 4 ticks = $50

This means small price movements can lead to real dollar gains or losses.

Example: Real-World Cost Scenario

Let’s say you buy 1 ES contract at 4,800 and it moves up to 4,805.

Gain = 5 points × $50 = $250
Required margin = $12,000 (initial)

This illustrates the power of leverage—small moves can lead to significant returns (or losses).

Costs to Watch Beyond Margin

Brokerage commissions: $0.50–$2.00 per side per contract
Exchange and clearing fees
Slippage and spreads
Overnight margin hikes

Is It Affordable for Beginners?

If you’re trading intraday using a low-margin broker, the cost to trade 1 ES contract can be as low as $500, but you must manage risk tightly.

For overnight positions or swing trading, expect to need $12,000+ in margin.

FAQs

Q1. Can I trade ES futures with $1,000?
Yes, some brokers allow day trading with $500–$1,000 margin, but it’s very risky for beginners.

Q2. Is the ES futures contract expensive?
It depends on how you define “expensive.” While the notional value is high, margin requirements make it accessible.

Q3. Do margins change daily?
Yes, margins can change based on market volatility or broker policy. Always check current rates.

Q4. Is the tick value the same across all platforms?
Yes, the tick value is standardized at $12.50, but brokers may display it differently.

Q5. Do I need a futures-approved brokerage account?
Yes. You need a CME-enabled account with futures trading permissions.

ES Futures