IB charged higher commission since Feb.1?

Discussion in 'Retail Brokers' started by zhexin2, Feb 8, 2007.

  1. zhexin2

    zhexin2

    Did anyone notice that IB charges higher commission since Feb.1 under unbundled fee structure? My daily commission almost doubled in February relative to January even though my trading volume remains almost identical. From the statement, it is clear there is no rebate pass through from exchanges. For example, in January, the commission for a limit OPG order of 200 shares on nasdaq exchange (SUPEROSES) is about $0.38, while in February, it is $0.88. For limit orders during the day, i received some rebates, but much less than in January. I sent a ticket to IB but received no response yet. I wonder if it is a problem with IB or a new policy. Does anyone have the same problem or know what is happening? thank you.
     
  2. IB's unbundled commission rate is tiered. You will drop to the next level after you pass 200,000 shares for the month.
     
  3. zhexin2

    zhexin2

    I possibly figured out what was happening is that ECN rebate has been changed since Feb. For example, for OPG orders, ECN is now charging 0.0005 no matter it is a limit or market order. Before Feb.1, I think superoses credited 0.0022 for OPG limit orders.
     
  4. if they credit for limit orders what do they do for cancelling? Is it still worth going unbundled? I was considering doing it at the end of feb.
     
  5. zhexin2

    zhexin2

    generally unbundled structure is cheaper than bundled, but depending on your trading style. if you consistently remove liquidity, it could be more expensive than bundled.
     
  6. john12

    john12

    theres no could be cheaper if you take liquidity constantly on nasdaq its the cheapest rate in town period. lets say you trade goog all day long. if you're with ib its $1 for 200 flat. lets say you have a great rate of .002 elsewere and are taking liquidity its .005 plus a monster sec fee of $1.30 per hundred or $2.60 for 200 shares. so thats $3.60 for 200 shares if you're at .002,take liquidity plus sec charges vs $1 all in at ib. even on a $50 nasdaq stock taking liquidity ib beats anyone. were ib sucks and were they make up that hit is on nyse.
     
  7. zhexin2

    zhexin2

    I am still puzzled why I was charged more commission in Feb than in Jan, i.e., $0.88 vs. 0.38 for 200 shares of OPG limit order. This happened to all my OPG limit orders. In my previous post, I thought SuperSoes may have changed fees in Feb, but it seems SuperSoes fee on OPG limit order was the same. So any one has the answer?