Commission for split order

Hi,

How do fixed commissions work in case of a split market order? If a broker gives for example a fixed $5 commission per trade, but my trade is very big and fulfilled over multiple 'ask prices'/sellers, would it be still be a single $5 commission for the whole order, or 5$ for each such split?

Thanks

 

Based on my experience with Fidelity, it's still just $5. What the broker does to execute it is up to them.

 

At Lightspeed, we charge $4.50/Trade, Max order Size of 10,000 shares. It does not matter how many fills you get. If your order to buy 5000 shares gets filled in 50, 100 lots, one 5000 lot or only 100 shares leaves 4900 open, the charge is $4.50. In addition, we have routing fees/credits. https://www.lightspeed.com/pricing/routing-fees/
On the same 5000 shares, if you take liquidity with our LSPT route (Cost of $0.0015/share), the additional cost would be $7.50 for a total of $12. If you add liquidity with NASDAQ (credit of $0.002/share), you would receive a rebate of $10, for a total "cost" of a credit of $5.50. You would actually get paid to trade. (This does not include reg fees.)

We also offer a per share commissions rate for those that tend to enter orders under 1000 shares, or have larger accounts and need the 10,000 share limit raised.

Bob

 

Can you adjust the limit price of the order without incurring an additional USD 4.5?

Thanks.

 

Good question. If you enter buy 5000, get an execution on 1000 shares, then lower your limit by $0.10, then get a fill?? I'd have to ask if the price change creates a new order ticket with another trade cost.

 

Yes, just the limit-not other paratermeters. Amended below.

 

Thank you for the answer.

 

Sorry, I got two responses so I confirmed with the developer. Any change to the order would create a new ticket and a second charge.

 

Fair enough. However, it may lead to very high "fixed" commission when for instance an order for 4000 shares gets pinged by 1 share by HFTs and the market then moves away from your limit. You adjust the limit, pay another round of USD 4.5, get pinged for 1 share by HFTs and the market moves away again and repeat.

But I acknowledge that Lightspeed also offer a per share commission schedule.

I will research whether adjusting the limit price results in a new fixed commission at fixed commission competitors like Charles Schwab and report back.

P.S. Adjusting the limit does not lead to a new charge of the minimum commission at IB.