Questions for Interactives Brokers on smart routing

Do all orders go through IBdark before hitting an exchange to try to internalise them?
Is IBdark only for US equity orders?
Does timberhill try to fill orders within IBdark before they leave to goto an exchange?

Please post any questions on IB smart routing to this thread. Hopefully we will learn more from IB about how IB works in the interests of it's customers.

 

I have also noticed these execution quality issues or HFT front running orders as mentioned by Lewis, with the problem obviously being worse in small caps / low liquidity stocks where my order is relatively large compared to the size of the market.

1) Logically, it makes sense to include a Thor-like custom delay for each exchange in IB smart routing so that splitted up orders hit those exchanges at the same time eliminating HFTs ability to front run or cancel ahead.

Is IB considering such and if so, how far along are you in implementation?

2) My worst experience is with OTC/ Pink sheets stocks. Happened numerous times that the entire ask got pulled after I sent an order to buy at that ask. My unfilled order instead became the new bid. Also there is usually a long delay (IB writes that "Execution speeds may be slow as the market is dealer driven." but I am not sure what that means)


What exactly happens after I send an order of an OTC stock via Smart?

What can be done to improve the workings of that market?

Thanks IB

 

http://www.zerohedge.com/news/2014-...rontrun-hfts-interactive-brokers-has-solution

slide 12 on the IB investor presentation from feb 2014 says they do not internalise orders or sell order flow. Would like to know what IBdark does then.

 

I have tried to lift an offer on a small cap that disappeared as soon as I clicked. Had better luck on bigger stocks, smart routing splits the order and get fill reports from multiple exchanges at the same limit.

 

Are interactivebrokers stock prices in tws from the SIP consolidated feed or from the faster datafeeds from exchanges?

 

"Execution speeds may be slow as the market is dealer driven"

I think it means that you should bring an extra tube of K-Y when trading the pinks

 

i checked with IB today, and they said they expect a connection to IEX within 2 weeks.

 

anyone know what this means when you smart route at ib

ls, ARCA

or ls, XYZ route?

wtf is the ls?

this was asked of the ib help desk who was clueless.