I just wanted to verify that you are charged .01 per share for orders that are not executed within 5 minutes? In what circumstances would this happen, and can you just cancel your order before the 5 minutes and re enter it..?
The only possible orders you could be referring to are those left on the specialists book by a NYSE floor broker. Who is billing you for these phantom orders?
Any NYSE limit order that remains on the specialist's book longer than 5min. is billable. Yes, you can simply xcel/replace every 4:59...and not be charged. IB has instituted an automatic cancel replace for NYSE orders routed SMART. MB trading's MBTX route also automatically cancel replaces them for you. .01 is the standard charge billed to your brokerage firm ...and some firms pass those fees on. It's billable after 2min on the AMEX, or any short order, or an order over 2100 shares. (AMEX).
I trade ishares ETFs, and I do get billables after 2 minutes, but so far the size of the order or going short hasn't been an issue. Is this a new development ?
It is not a NYSE rule but rather up to each individual specialist firm how to handle "billable" orders. These fees are often discounted and also tend to be negotiated when the agent broker is large enough.