Hi, I am planning to purchase some far OTM options monthly to protect my account on the downside. However to do this, I will need to trade 400+ contracts. I am currently with ToS and the commissions will cost almost $1,000 on these trades that will range from $4,000-$5,000 total. ToS said they will not reduce the commission. Is there anyone I could switch to who would bring the commissions down on this sort of trade? Thanks!
Interactivebrokers. Thay have pricing based on the option premium and also on monthly volume. But with 400 you dont qualify for lower pricing on volume. http://individuals.interactivebrokers.com/en/p.php?f=commission
Thanks for the link-aid elievers. I'm looking for a direct access broker favorable toward my options bias. EOption looks intriguing...Barrons lowest cost option schedule for occaisional or heavy volume trader. They offer a choice of several platforms and allow put writing and spreads within an IRA [current broker does not]. Looks promising. Happen to know anthing else about them.
AZ, Talk to Shawn. His information is here http://www.eoption.com/direct_access.html He should be able to answer all the questions you have. I have dealt with him before and he is a good guy. You might be able to negotiate lower rates, which I have, if you do enough volume.
Thanks eliever, will do. I also like their policy of allowing more options strats in an IRA, such as put writing [not naked], and the choice of platforms. I have never used RealTick, have you?
I personally like realtick over sterling. Realtick has more bells and whistles and their API is much more well documented then sterlings. Two things about eoption, one is that eoption passes through exchange fees so if you use limit orders you will be receiving credits (except on the box they are opposite) and if you use market orders or marketable limit orders you will be charged the exchange fees. Here is a list of fee/rebates charged by each exchange. http://individuals.interactivebrokers.com/en/p.php?f=commission click on options tab then North America and then scroll down to exchange fees and click on each exchange. The other thing is that they let you direct to whatever exchange you want to with out any mark up in their commission. This is helpful if you want to collect the rebates from the exchanges. Hope this helps.
Oh: it IS! Exactly the type info I was hoping to glean from this group. Thank you, very much! I noted the $.25/contract if Direct Access; and as low as $.10 if not. You can then- select on a trade by trade basis? What of ECN fees? Do they charge for changes in limit? Partial fills? cancellations? Access to Toronto exchange? Better shut up or wont have any questions for Shawn H...