Interactive Brokers' Price and Speed of Execution for Stocks Tops Industry Thursday June 5, 2:34 pm ET GREENWICH, Conn.--(BUSINESS WIRE)--Based on independent measurements, the Transaction Audit Group (TAG), a third-party provider of transaction analysis, has determined that Interactive Brokers US stock executions were 0.35 of a cent per share better than the industry as a whole during the second half of 2007. Unlike other industry touted statistics that highlight the percent of orders improved but donât consider the dollar amount of the improvement, TAGâs statistics factor in the amount of the improvement, including executions which had dis-improvement and no improvement. In addition, TAG also reported that Interactive Brokers executed orders six times faster than the rest of the industry, at a speed of 0.9 seconds vs. an industry average of 5.6 seconds. The analysis included all market orders of size less than 10,000 shares. âOur singled minded focus on building SmartRoutingSM technology, lowering commissions, and creating trading tools that give our professional customers a competitive edge in the markets helps to explain why traders who want to minimize their trading costs choose Interactive Brokers,â said Steve Sanders, Interactive Brokers SVP of Marketing and Product Development. Those interested in finding out more about Interactive Brokersâ SmartRoutingSM technology, ultra low commissions, and market-maker designed trading tools should visit www.interactivebrokers.com. About Interactive Brokers Interactive Brokers Group, Inc., together with its subsidiaries, is an automated global electronic market maker and broker specializing in routing orders and executing and processing trades in securities, options, futures, foreign exchange instruments, bonds, and funds as a member of more than 70 electronic exchanges and trading venues around the world. The company provides professional traders and investors with direct access to stocks, options, futures, forex, bonds and funds from a single IB Universal AccountSM. Employing proprietary software on electronic exchanges worldwide, Interactive Brokers is continuously integrating its software with a growing number of exchanges and trading venues into one automatically functioning, computerized platform that requires minimal human intervention. Interactive Brokers LLC is a member of NYSE/FINRA/SIPC. Supporting documentation for any claims and statistical information will be provided upon request. About TAG Since 1996, TAG has been the leader in independent Best Execution analysis throughout the US and now, Europe. Its products offer comprehensive assessment of execution quality for equities and options, utilizing massive real time market data and archival capabilities with proprietary measurement tools to create standardized and custom reports. TAG provides business intelligence to gain market share, differentiate from competitors, and validate performance. For more information visit www.tagaudit.com. The Transaction Auditing Group, Inc. (TAG), an independent company, is not affiliated with Interactive Brokers. The statistics provided by TAG are from sources believed to be reliable, but TAG makes no representation as to the completeness or fitness for any particular purpose. Information produced by TAG is copyrighted and any unauthorized use, duplication, redistribution or disclosure is prohibited.
I find this hilarious since my lame "discount" brokers consistently give me better OPG fills than IB. Consistently. However, IB does have nice conditional orders for the system I trade with IB, which my discount brokers don't have.
Def, For "market-maker designed trading tools " wouldn't that require speed (non-HDD account checks, this is 2008...memory please), and you'd see 900ms fill time drop 80%? You're one of the best brokers I've ever executed at, but that's slipping quickly. 1) Offer Volume adjusted minimum order charges. 2) Move from HDD security/account checks to memory. (this is painfully clear during fed announcements, and 30-40 thousand customers need account checks at once. 3)Colocation??!! None currently offered, sad, as IB should have been way ahead of this curve. 4) Allow direct routing of API orders.....or Direct + IB smart if that direct would route out--that should make everyone happy on both ends. You've potentially got a beautiful commish structure for us, but given data snapshots (would be nice to have full pipe tick data and be colocated there), as well as the minimum commish charge (please volume adjust). You're API is extremely easy to work with...take advantage and cater to your high volume API clients, you're in place to do so. I've got 40+++% lower rates, colocation, and full pipe data at other brokers. Why do I stay at IB?...well I'm pulling back by 60% on volume at IB, but the answer for the remainder is: 1) Outstanding security. 2) Back office is great. 3) Line item TWS interface--(definately easier for managing hundreds of stocks if need be, manually). 4) Extensive API orders/account info supported 5) PMA accounts offered Def, don't put out an annoucement like this. IB's customers have never compared IB to the "industry average", and IB shouldn't be, as you've always been on the forefront cutting edge. I sincerely hope you continue to evolve to meet our cutomer "forefront" needs, rather than settle to be lumped in and be king of the"industry average". We all exepect more out of IB than "average++".
I used to do 100% of my volume IB. That is until I started moving large blocks which is impossible without full ECN functionality, which IB stubbornly refuses to provide. I can't think of any other direct access broker that doesn't offer this feature.