Hello, I have a situation where a futures contract did not execute. It was placed for âMarket at Openâ. The order was accepted but the order was cancelled directly before the market opened. IB have contacted the exchange and are looking into it. Assuming the best intentions on the part of IB, how can this issue best be dealt with. Assuming it is recognized as an error either on the part of IB or the exchange, how can something like this be priced? The futures have since gone up in value a lot. Any comments would be very welcome.
I don't think there is much you can do about it if it was IB's fault. I gues they might re imburse you if you're lucky. Otherwise no-go. Sorry mate.
In general, at least with pro firms, the trader has to "close" the trade to determine a pricing valuation...to avoid only reporting "errors" that go in your favor vs. the ones that would have gone against you. If our trader felt he was entitled to an opening only market order on a stock, and didn't get it on his position window, they would have to execute a closing trade, and hope that the exchange would give them the original stock to be "flat." We have had many occasions where we get the opening fill after the market closes. Not much consolaton, sorry. Don
Same thing happened to me with IB on a few equity orders, no fill on the open due to IB not routing the order to the exchange. IB told me their policy is not to compensate for "missed opportunity" and reminded me that i had signed the user agreement which stipulates this.
On two occasions IB refused to care to establish a position in traded through limit orders. First time they even directly accused me of deliberate attempt to take advantage of price appreciation, speculating that I reported it "too late" (it was 2 hours since the order might be executed; having 200 open orders I couldn't notice this immediately). Second time I noticed and contacted them immediately, and they refused again, for no particular reason. On the other side, most orders executed on premarket to my favor i.e. better then market price have been cancelled as erroneous trades. No single case of canceling a trade that went against me. And two cases when they DID care of MOC orders lost by AMEX after market close (AMEX is badly automated as we know).
This has not been my experience with both Ameritrade and Fidelity. I have gotten fills days later on missed executions for orders that were opening trades without first entering a closing order. In practice this means I've gotten a free shot since they only give me a fill when it's in my favor. Although once I believe they gave me a fill at the current price which was better than my original price. Perhaps these aren't what you consider "pro" firms. It's harder to carry an open position on a trade that you are protesting. Once I carried a position for almost a month before Etrade canceled a fill I was protesting.