FINALLY !!! INCA/ISLD lower prices

Discussion in 'Order Execution' started by BankerBlueChips, Mar 4, 2003.

  1. This is the best news I've heard in a long time !!!!!!!!!!!!!!

    March 1, 2003

    Dear Client,

    In a continuing effort to deliver greater value and services to our customers, I am pleased to announce a pricing pilot for Exchange Listed securities executed on Island. Currently, the access fee for removing liquidity in NYSE and AMEX Exchange Listed securities executed on Island is $.003/share and the rebate for added liquidity is $.002/share. Beginning April 1, 2003, the access fee for removing liquidity in Exchange Listed securities executed on Island will be reduced to $.001/share and the rebate for added liquidity will be eliminated. This pilot will be effective through June 30, 2003, and is only applicable to trades entered on Island. Pricing for Exchange Listed securities executed on Instinet will remain unchanged. Pricing for ETFs on both platforms will also remain unchanged.

    You can take full advantage of this lower access fee for Exchange Listed securities by always sending marketable orders to Island first before going to other marketplaces. Because Island is cost effective, fast, and offers a large pool of displayed and non-displayed orders, scanning Island's book before going out to other destinations can increase your profitability. And although the rebate for adding liquidity will be eliminated, the increased liquidity and enhanced execution quality offers a compelling reason to continue to post your limit orders on Island.

    We value your business and look forward to serving you. If you have any questions or comments regarding this change, you can either email or contact your sales representative directly by calling (877) 258-3838.


    Will Sterling
    Managing Director, Instinet
    President & CTO, Island
  2. I'm not sure I would have made this decision if I were one of the crooks running ISLD. In my opinion they think they are more important than they actually are. Who is going to add liquidity now? I just can't imagine lots of people going: Hmmm, PEP is quoted 38.25 x 38.26 I think I'll send my 38.25 limit buy order to ISLD instead of the NYSE...
  3. If you notice on listed lately... ISLD has been posting orders along side the specialist at the same level. It can help if you have over 1000 shares and want to NX the NYSE and get the ISLD for the balance.

    Also, if this works.... maybe ARCA, INCA and BRUT will follow suit. There is some business done outside the NYSE.... and sometimes it can be the difference in getting the stock or not. The specialist is still the boss, but there are some shares on ECN's which sometimes help (especially thru the market on ISLD) when you really need it.

  4. I think this will be good for island if the NYSE actually goes over to the new liquidity quote issue being discussed here on other threads. If you don't get price improvement anymore from the specialist, there is no reason to send you limit to the book , and deal with 2-3 minutes cancels. More people will use island where you can get an automatic cancel, even with no rebate. I don't get a rebate for adding liquidity to the specialist book, only do it to get price improvement. When that goes away, I will stay away from the book as much as possible.
  5. I did make a mistake.... sorry !!!!