IB unbundled always cheaper?

Discussion in 'Retail Brokers' started by tyrant, Sep 3, 2008.

  1. tyrant



    I need some help regarding IB bundled vs unbundled. I have been reading some past posts and most say that if you are doing reasonable volume, then you should opt for unbundled. But, from what I see on the IB website, unbundled is ALWAYS cheaper than bundled even if volume is less than 300 per month.

    I am trading ES and YM futures and futures options. I also trade Hang Seng and SPI futures. I do not trade stocks. I do less than 300 RT per month. Should I use the unbundled because from what I see, it is always cheaper than bundled, even for low volume trader like me. Where's the catch?

    Have I overlooked something?

  2. no you are correct, but only if you are a daytrader.

    if you hold overnight you get charged 10c per night for futures contracts i think, so this would make bundled perhaps cheaper for swing trading low volumes.

    you are right for day trading though always go unbundled
  3. The only place with an anomaly is the yen denominated futures (nikkei, topix etc) where unbundled is more expensive. I believe IB are again looking to resolve this problem.
  4. Fingers crossed regarding yen!
  5. rcj


    i trade the YM and somtimes hold a car overnight/wkend.
    As far as i can tell i have not ever been charged a 10c fee for
    the overnight hold.
  6. What IB says on their website and what their software does are 2 different things.
  7. tyrant


    Thanks for replies.

    I do hold overnights sometimes for weeks. Can someone confirm whether there will be $0.10 charge per contract per overnight? Someone posted he never get charged. Hmmm...Seems like this is the only thing before I switch to unbundled. But I still can't understand why IB go into so much trouble differentiating between bundled vs unbundled when unbundled is always cheaper? I also read about taking and providing liquidity. Is there an issue? What about stocks? Are these bundled/unbundled thing mainly for stocks?
  8. You have to understand the history of IB's bundled/unbundled futures pricing. When IB first offered futures only bundled pricing was provided. IB only started offering unbundled futures commissions as of March 1, 2004 and decided to keep bundled pricing as a customer option.
  9. So as far as I can read "Unbundled" is always cheaper (I don't carry over night) Wish I'd signed up for them, would have been a nice bit of change back for this month, well guess there's next month to work on .
    Thank you for info'.
  10. jgold310


    Can someone confirm the .10 per contract? I hold some overnights and haven't seen any mention on their site about the .10 fees.

    Other thing that called my attention is the margin requirements on IB. I was reading the ratings on the home page of this web site and decided to check it myself. I have an account at think or swim and compared the 2, IB margin requirements are EXTREMELY high compared to T or S.
    #10     Nov 21, 2008