IB Unbundled rates for JPY

Discussion in 'Interactive Brokers' started by MidKnight, Nov 3, 2005.

  1. Hello,

    Just doing the comparison on the IB commissions page for bundled vs. unbundled. Surely IB are showing a mistake on their website with the JPY unbundled rates? Absolutely everything else is cheaper except for any JPY denominated contracts. Even if you did the most volume possible to get the maximum discount it would still be more than the bundled rate. Doesn't make sense. Hopefully it is just an error on their web page and they have just added 1 zero too many on the execution fee.

    Steve_IB, can you pls confirm my hunch?

    Kind regards,
    MK


    Edit: I should add that I'm referring to the Singapore exchange.
     
  2. Steve_IB

    Steve_IB Interactive Brokers

    Midknight, I think you maybe miscalculating. For SGXNK the unbundled rate at 300-1000 contracts is equal to the bundled rate.
    (We should be lowering the JPY unbundled rates shortly).
     
  3. Ok Steve_IB - thanks for the reply. I had thought maybe something is wrong with the calculation. Sure is confusing to figure out exactly what the total cost is.

    Thanks again.

    Kind regards,
    MK
     
  4. Hi Steve_IB,

    Been a while since this was written and I still haven't seen the unbundled rate drop. With the recent reduction on SGX, my initial comments must now be accurate? :D

    Any follow up on how soon shortly is?

    Kind regards,
    MK
     
  5. Yes, the commission table is sometimes strange.

    I think I have found a similar mistake too in the table. See http://www.elitetrader.com/vb/showthread.php?s=&threadid=74898
     
  6. From the table, there are 2 contracts which always lose under unbundled plans:
    GLOBEX MX
    GLOBEX GBP

    Even if you trade for the highest class of volume, you still lose the following amount per contract respectively:
    -0.10 (USD)
    -1.20 (USD)

    There's no reason to join unbundled plan for these 2 contracts, which is crazy.

    Othere contracts which may lose under unbundled plans if you don't trade good volumes:
    OSE.JPN N225 Mini Futures
    SGX SEY
    GLOBEX LE
    SGX SGXNK
    GLOBEX GE
    GLOBEX TZ
    NYMEX HH
    NYMEX HP
    CDE BAX
    CDE CGB
    CDE TSE60
    SGX SJB
    ECBOT DD

    See also: http://www.elitetrader.com/vb/showthread.php?s=&threadid=74898
     
  7. Shortly = Almost 1 year :D :D :D

    How much does it reduce?
     
  8. Recent reduction only affects bundled commissions. Unbundled costs more and I'm still waiting for 'shortly' to come :)

    MK
     
  9. Steve_IB

    Steve_IB Interactive Brokers

    MidKnight - we have reduced our JPY commissions since your inital post - but you're right that currently you'd have to do 10,000 contracts before the commission in SGXNK is below the bundled rate. We can probably adjust this slightly so that the 1,000+ bracket is cheaper, I'll take a look.

    The main problem is the way our unbundled fee is applied. We look at products under the currency they are traded in. Thus, while the intention is to give discounts for high volume under the unbundled structure, it does not work for some products. Until we program a new pricing model, we're abit constrained.
     
  10. How about some extreme pricing where choosing an unbundled plan is always a loser:
    GLOBEX MX
    GLOBEX GBP
     
    #10     Aug 21, 2006