I'm launching a small hedge fund and shopping around for a good executing firm. We are currently executing our derivatives with Refoc (PMB). We have an allocation in our portfolio to active trading on OTC's. What is the consensus on Interactive Brok.? How does it compare with other firms as far as execution is concern. Are 0.05 cents inclusive of pass through fees. Have they disable their direct ECN. How is there best ecn routing. Execution time? Customer Service? What's all this with the PRIMex controversey. any help would be great.
cgjung, if you want specific detais send me an e-mail or a PM and I'll put you in contact with an appropriate sales person. There are a number of hedge funds and large banks using the system. the fees are what is stated - no pass through fees. The Primex issue has just arisen due to the addition of the route. The idea is to offer the ability of price improvemant on marketable orders. Some of the feedback on this forum is not positive. This has been passed along to the head decision makers who are looking into it. If they conclude that the exchange is not providing a benefit to IB's customers, the route will be removed from Best.
If you are looking for execution IB is good Schonfeld could cut you a deal and you should talk to Worldco also Bank of america is reasonable but remember they will all cut you a good deal the market is and they are all desperate for business. Squeeze all of them and you will get a good deal.