IB claims only MOO and LOO guaranteed participation in NYSE opening cross

Discussion in 'Order Execution' started by fbell50, Feb 22, 2007.

  1. fbell50


    On 2/21/07, I submitted three orders using SMART, RTH, and pre-open re-route to buy NEW at prices ranging from 18.45 to 18.47. None of these orders participated in the opening cross at 9:31:26. The open was at 17.90. I contacted IB and they said the orders were sent and accepted by the NYSE at 9:25 am. In fact they completely executed within the next 4 seconds at a net price slightly lower than the open.

    My understanding has always been that marketable limit orders received well enough before the open are eligible for the opening cross and that is how all of my orders have been treated up until now. The IB rep said only MOO and LOO were guaranteed to participate in the opening cross. My reading of the governing NYSE rule 115A seems to indicate that my understanding is correct. I can find no mention that the NYSE requires a time-in-force of “on-open” to guarantee participation.

    Interestingly, 1000 were routed by NYSE to Island for which I received Island’s add liquidity credit and no NYSE routing fee.

    Can anyone explain what happened to my order? Am I wrong in always expecting to participate in the cross? Did the NYSE screw up? Could eligibility have been cutoff prior to 9:25?
  2. sorry i cant help with your question. i was wondering how you determined you received a credit from island via nyse routing?
  3. fbell50


    I asked the IB rep and he said that the NYSE had routed the order to Island, not IB, and I know I got the credit because IB posts the commissions the following day and the amount was consistent with receiving the Island credit.