That is correct, given the premium is >= .10. But you also need to account for the exchange rebate credits/fees. This was my concern about the wording on LiveVolX pricing page about passing on liquidity rebates "at [their] sole discretion". BATS for example: Penny Pilot: remove liquidity (add .45), add liq (sub .30) Non-penny pilot: remove liq (add .75), add liq (sub .80) So as an options trader on IB, you have a pretty good incentive to add liquidity since they pass on the rebates. There is one big caveat though with IB. If you use the smart order routing, your order could be matched on any number of exchanges where the rebates are different. If you direct your orders they charge you $1.00 per contract.
baywolf- what if i told you i made a trade that should have cost me 26 bucks but i was only charged 18? does that mean livevol passed the rebate to me? or is there another explanation?
I stand corrected. I think ib should buy livevol to save everybody the trouble of opening another account.
Do you seriously not know if a rebate was passed on to you? I imagine it would be in the trade window. But I don't use the software and you do. Why don't you post a screenshot of the trade and maybe somebody can help you figure it out.
there's no commission detail in LVX. but i can check my statements and see that certain trades cost me half of what they were supposed to. as far as i know execution is pass-through.
i didn't execute, but i tested how many legs you can do in the complex order ticket. not sure why they let you put in 8 legs when exchanges limit you to 4 like you said. i'm sure they have a reason though.
Where is the what-if capability in LVP? It's not entirely necessary I suppose, but it forces me into using excel, etc.
Can you be more specific? I only used LVP for a month and use LVX now. Also, I confirmed with Livevol that exchange rebates are passed on.