IB routing to PRIMEX

Discussion in 'Interactive Brokers' started by hpex1, Jan 18, 2002.

  1. Ronin


    >>Why would they do this? Either Primex is cutting them in on some revenue or they are trying to avoid ECN fees.<<

    Agree 100% with AAA on this one.

    IB used to have the fastest and best executions out there. Unless IB is getting kickbacks for routing through PRIMEX or trying to avoid ECN fees, it simply makes no sense to change the execution algorithm.

    If IB is getting kickbacks from PRIMEX, why not just route to market makers NITE or HRZG (as does Ameritrade, ETRADE and the like) too? IB can probably get a higher percentage than might be paid by PRIMEX and the executions will be just as lousy.

    IB is going down the drain, in my opinion. Unless this PRIMEX matter is resolved soon, I'm transferring my funds to Tradestation and just trade thru them. Commissions may be a bit higher, but the higher quality executions certainly makes up for that.
    #31     Jan 23, 2002
  2. def

    def Sponsor

    reason: some people are saying they are getting better fills (this stite does not provide the only feedback IB recieves). with hundreds of thousands of orders going through the system each day it helps to pinpoint one or two examples. I'm doing what I can to point out that some of you are not happy but evidence does wonders.

    as for nite/hrzg - otehr market maekrs were on the system and guaranteeing fills. they lasted about a week as they could not make money off of IB flow.

    ronin: don't jump to concludions, the firm has been pretty innovative and has been quick to make improvements to the system.
    #32     Jan 23, 2002
  3. Ronin


    def, I suspect that those who claim to get better execution through PRIMEX are those that trade small lots like 100 or 300 shares.

    Yes, def, I know that IB has been quite innovative and responsive to its customers. Thats why I am not transferring my funds just yet. I will wait and see what happens for awhile. But, I must say, that the last couple of days with PRIMEX have been horrible. I challenge anyone who trades 1000-3000 shares at a time through BEST EXECUTION on Nasdaq stocks to say that execution has improved via PRIMEX use.
    #33     Jan 24, 2002
  4. nitro



    What is the big deal? A change like this, leaving out whatever politics it may involve, is _TECHNICALLY_ trivial for your programmers !!??

    #34     Jan 24, 2002
  5. Ronin



    PRIMEX clearly states that market orders MAY NOT be instantaneous, but stuck in a 15 or 30 second "black hole" (as someone on this thread called it).

    def, please read PRIMEX's description of how its system works and tell me how market orders may not be delayed and that everything still executes at the same speed as in the past.

    #35     Jan 24, 2002
  6. Eldredge


    I pyramid into and out of a lot of my positions 100 shares at a time, and I have yet to receive price improvement from PRIMEX. At best I get my limit price; at worse, PRIMEX backs away and I miss my fill. So, it sucks just as bad for small orders as it does for big orders.

    I see NO advantage, and hope that IB will make it possible for us to disable PRIMEX from BEST very soon. Like someone else said, this would make everyone happy. Those that want PRIMEX could use it, and those that don't won't have to use it.
    #36     Jan 24, 2002
  7. Attached is a PRIMEX .pdf factsheet
    #37     Jan 24, 2002
  8. def

    def Sponsor

    i hear you. i intend to pass on what you're stating. perhaps i've just been lazy asking you to forward your requests elsewhere. keep in mind, i am not a decision maker when it comes to US brokerage matters and thus am acting as conduit to pass information along. in other words, whether i agree with you or not, i have no say in the decision on Primex. I do however have access to the decision makers and thus can assist when things can be improved.

    So for the record:
    1. no one seems too please with Primex executions - in fact most of you hate it.
    2. you would like to see it removed from the best routes
    3. i will bring these comments to the attention of those who will make the decision. (I'll reiterate that it is best for me to have an example in hand so I can support the above comments. if one of you are willing to PM or e-mail me with an example I would be grateful).
    #38     Jan 24, 2002
  9. Catoosa


    I can see where no one in their right mind would want to send a market order to PRIMEX based on Primex's own description of how market orders are handled within their system. It would seem to me that you could count on getting the shaft on a market order. However, for me the jury is still out on the limit orders routed to PRIMEX. I have had many parts of a larger orders filled on PRIMEX and did not notice nor have I looked for any problems with the executions by PRIMEX. For me PRIMEX may be just another opportunity to find the best price, I hope.

    As far as market orders with IB for stocks, (and you guys jump all over this if I just do not correctly remember) I think I read more than a year ago that a market order entered with IB is entered on the market as a limit order at a price that will in all probability give an immediate fill via Best execution. If this does not sound right, say so and I will go back and see if I can find what I did read. In any case I do not use market orders and just enter a limit price below the bid when I feel I really need to just get out.

    #39     Jan 24, 2002
  10. I guess I won't be transfering my acct here after all. With out lev2 integration it isn't really practical to have to worry about routing orders.
    #40     Jan 24, 2002