Understanding IB's commission

Discussion in 'Options' started by marsman, Jul 18, 2016.

  1. marsman

    marsman

    Have sold 60 puts and paid $98.08 commission.
    How come? Shouldn't it be less than $60 according to their commission structure?

    IB_comm.png

    (TimeZone here is CET)
     
    Last edited: Jul 18, 2016
  2. 1245

    1245

    Did you take liquidity? Did you trade a product with extra CBOE fees?
     
  3. marsman

    marsman

    Yes, I took liquidity. Should that matter with IB's commision structure?
    I used SMART routing.
    Re CBOE: how does one know that? And what does it mean?
     
    Last edited: Jul 18, 2016
  4. 1245

    1245

    Yes, the fees are plus costs. Costs are regulatory and exchange fees. They break them down on the daily.
     
  5. marsman

    marsman

  6. marsman

    marsman

    I've opened a ticket and asked them to switch me to the Fixed Plan...
    As indicated on the above screenshots the user cannot change this setting for options.
    Only that for Stocks and FX or something else can be changed by the user him/herself.
     
  7. 1245

    1245

    I think the fix plan is only for equities and futures, options don't have a fix plan at IB. I could be wrong.
     
  8. marsman

    marsman

    But just take a look at the second screenshot above... I was thinking that is the default for me since they advertise this plan, and only this plan is given for the US at their website.
    In account settings there is no commission setting for options.
     
  9. 1245

    1245

    I'm not defending them, just explaining.
     
  10. I trade SPX BWBs so I get hit with the CBOE fees, etc. That $0.70/contract figure ropes them in but isn't the whole story. Effective commission is $1.22/contract for me on a 6-lot BWB

    IB commission = 0.70
    CBOE exchange fee = 0.44
    US regulatory fee = 0.04
    OCC clearing fee = 0.04
    Total = 1.22
     
    Last edited: Jul 18, 2016
    #10     Jul 18, 2016