Can anyone address these problems w/IB?

Discussion in 'Retail Brokers' started by o10maximus, May 28, 2001.

  1. I've been doing a little research on brokers. I've come across a few issues.

    Execuions are sometimes not shown in the live "execution report" leading to cause trader to repeat the trade to his detriment and confusion. . .Generally, software is very buggy.(4/24/01)"

    Simple buying and selling, has anyone not been able to execute an order manually, or you think you got out or in and find out you didn't?

    Serious problems:. . .Their TWS program does not always work

    You get no details about your stock transaction if you are not connected to the TWS.

    You can't discover what price you paid until the next day. . .[and on].(3/18/01)"

    Account statements & executions are only visible during trading hours.

  2. tntneo

    tntneo Moderator

    I don't get it, the web site you mention gives pretty good marks to IB. You picked some points which, I can imagine, scare you.
    I am sure Def will respond. I am a IB's customer I can give some answers right away, please also read this from EliteTrader :

    TWS, the software is very stable and does work. It keeps getting improved and a lot thanks to comments from this forum.
    It is more reliable than other brokers' software I used in the past [no comment], read brokers evaluation also available on this site.

    Execution log are updated automatically and live. Execution logs from previous days are also available. both require you to be logged in and that's normal [you can save the logs to your disk anytime you want to!].
    You receive emails each night and monthly complete logs by email, just in case you did not check the live logs.

    The 'emails' are also readable on the web site [you login for security reasons obviously!]. You pick a date a can read the complete log of deposits/withdrawals, trades etc..

    IB is one of the best for serious traders. There are other very good brokers used by fellow serious elite traders. The brokers evaluation of this site is one of the best [the best I know]. The site you mentioned, which I knew before is interesting because it covers many brokers with many comments. But sorry, when they advised Datek as the best broker for daytraders, you have to wonder... :)
    [nothing against Datek which is a decent broker, but sorry, daytrading requires something else].

    Again, I guess not many will respond to this thread because there is a lot info available in the forum regarding pros and cons of IB and other brokers.

  3. I realize I picked most of the negative comments off that site, and I have gone thru some of the threads here too. My impression is that IB is as good if not better than most firms (every one has problems).

    I do think they should allow acct transfers. Check writing would be nice too.

    What do you do when you need cash from your acct? Do they send you a check or wire it?

  4. tradeRX


    I'm with IB and I've never had any problems with executing trades or accounting irregularities, anything for that matter. Executions are fast, and the platform stable. However, that and cheap commissions are about all you do get with IB, in a word ...simplicity.

    One other thing, on my machine the quotes lag just a bit (maybe a second slower, maybe a little less).

    I like IB, cheap & fast.

  5. tntneo

    tntneo Moderator

    Check handling to deposit cash in the account sucks. That's granted. Use wire transfer to feed your account. It is very simple and very very fast.

    To get money, I use checks. But that's just me. It is also easy and handling from IB is fast, no complain.
  6. def

    def Interactive Brokers

    The person who compiles the data for the broker rankings you refer to is reporting what other people are sending in to him. Overall he ranks IB as one of the top brokers.

    regarding the comments:
    executions are shown live and account statements are e-mailed nightly. In addition account statements can be viewed from the IB website.

    Buggy software: read the feedback on this site and elsewhere which is overall very positive. I don't think IB would get these high marks if the software was buggy.

    My favorite comment is: "You get no details about your stock transaction if you are not connected to the TWS."
    IB is a direct access broker. If you are not connected via the TWS what do you expect - a phone call, an e-mail? If you expect that type of service, you should not be trading with IB. If you lose connection to your ISP, the help desk should be able to tell you your position.

    I think some of the comments are from people unfamiliar with the concept of direct access trading and/or unwilling to take the time to read through the manual.

    Given the commissions that IB offers, there is little room for error. There were a number of instances where bad checks were written and thus the policy of waiting 10 days for a check to clear was instituted. Bank wires are credited on the same day if rec'd before 3PM. To get funds back simply log on the web site and follow the instructions and a wire will be sent.

    By far the system is not perfect but I believe that it is one of the best at doing what is claims to do - level the playing field for all types of tradings in terms of access to markets, speed of execution and fees.

    Hope this addresses your concerns.
  7. Def,

    What is your view on Introducing Brokers in the online trading equation?

    With FCM's being now offering proprietary/isv platforms does an Introducing Broker have any usefulness to a trader other than referring the trader to his affiliated FCM?

    Also does Interactive Brokers have any plans to licence out the TWS to other North American brokers?


  8. def

    def Interactive Brokers

    IB has an institutional sales group and does offer the services you mention. Some brokers use their own front end to route into IB's pipes others offer the TWS direct to their clients.

    The question you may then ask is why would another broker use IB? The primary reason is that given the commission structure, it is often cheaper for them to use IB rather than spend millions developing and managing their own platform.

    The other question would be why would someone use an introducing broker w/ IB's platform when they can use IB directly? Many of these brokers offer value added services that IB does not offer - for example, advice and research, and thus may be able to serve the needs of these individuals better.
  9. Interesting. Do you foresee a time when IB's TWS will be offered through other retail futures brokers in North America? Or is IB keeping that market to themselves?

    Patsystems seem to be signing on retail brokers at a quick pace these days.
  10. def

    def Interactive Brokers

    brokers could use the IB product under private label.
    #10     May 29, 2001