I don't want to just shill for Lightspeed here. There are other brokers who offer some of what IB offers at lower prices. You honestly would be shocked at what rates are available with no volume requirements whatsoever. I'm talking about regular SIPC firms and not prop. Some prop firms offer a range of markets similar to IB and at lower rates. The one advantage of IB has always been its breadth of offerings but there are similar firms. It pays to look around folks.
you have not mentioned essentials including the quality of trade executions, price improvement and the ability to go short.
These guys are running HFT strategies on options. They have server racks close to the exchange matching engines and have an execution desk as well. I'm guessing trade executions are not much of an issue if several prop groups are using them. Lightspeed offers infrastructure for HFT as well (HFT gateway, server colo etc..). Free high quality front end IIRC. Livevol X. People are making money using these firms and what they offer. IB offers deep discount pricing but their rack rates can't compare to some firms. Compare and contrast that's all I'm saying.
I have always challenged anyone who claimed there is a broker which offers similar markets to IB at lower rates. Let's forget about quality of trades. I am fine if that broker executes my market order after one hour !!!!!!. Let's stick to the commission and the margin rate. Just name one broker and I will post my commissions with IB and then we can talk. I am just trading US equities and options and I believe any broker should cover those. I am not trading ivory future !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!.
Guys, I've pmed the gentleman who asked about rates but with all due respect, I'll simply back out of this conversation. I'm not sure Baron appreciates people posting broker rates publicly and I don't think brokers do either. If anybody is interested, just reach out to Lightspeed or just call firms in Chicago, London, NYC. Compare and contrast. Trade where you're happy folks.
For the every day Joe, IBKR's low rates (50 cts per 100 shares) are better for <1,000 share orders plus the ability to scale in and out. The $4.95 flat rate guys are better for larger trades. So best commission depends on the nature of your trading.
why do you care what brokers think? as to Baron you haven't even tested the waters. your posts on the subject of quality of execution have continually danced around the issue.
your statement is correct for the everyday joe. however, what good is best commission if the order does not get executed or is filled at a sub-par price.
Umm..my executions are great. The guys who run HFT strategies have no complaints and consistently get executed where they want in the complex order book. The rebate guys are doing fine. What else is there to say? They're rebate trading or spreading on an active basis and doing well.
And its all DMA not smart routed of course so they can get the rebate and I'm guessing here but also to capture more of the spread. No PFOF if it is DMA IIRC. But you can always check their 606 report to verify.