From a new and extremely pleased IB customer: Can someone point me to where it explains, or explain to me how the Automatic Rollover feature works (in more detail then http://www.interactivebrokers.com/en/software/releaseNotes/TWS_Notes_847.php) on Futures with IB? Eight days prior to expiration, I understand I will be prompted with that option but after that I am unsure what happens -- especially regarding the transaction cost(s); if there's one contract being rolled forward - are there two normal commission charges, or is there a different schedule for that? TIA
The feature does not roll the future for you. It only ads the symbol of the next future month to your trading screen.
Thanks, IBsoft. One last question - is there an option available to rollover a position other than liquidating one position and repositioning it forward, requiring two transactions (such as a calendar spread)? If so, where may I read about it? TIA
Glad to see this feature - this has always been a pain. IBsoft: Can you comment on how you determine what day and which month to use for contracts that are not as well defined in their rollover dates/months as the index and currency futures? In particular, the ag, oil, and metals seem to roll a variable number of days before first notice, and sometimes skip a month (as far as which month gets the volume/liquidity of the "front month").
The rule we use is simplistic: we prompt the user to roll 8 days before the maturity date. This may not be appropriate for the materials futures.