Volume problems with IB today

Discussion in 'Retail Brokers' started by TMTrader, Jul 11, 2003.

  1. Did anyone notice the volume DECREASES every now and than today? I've noticed it only on ES...
  2. Bob111


    Oh boy....What happends with IB in overall?
    quotes are freezing,login problems...
    and i did take a look on other fees-ouch!
    now there is a fee for every step via API.
    for stocks.for options,futures-you name it...
    Many exchanges charge fees for cancellations and modifications, and IB charges its customers to cover these fees. While there are a few brokers that don't charge cancellation fees, these brokers do not cater to professional trading clientele which enters multiple trades and cancellations each day. In the big run, no broker catering to a professional clientele could afford to stay in business without charging for cancellation fees.

    sounds fare enough)))))), but why people, who enter order manually to buy or sell stock not going to get any extra charges for cancel or modifying? what is the difference between us? who is paying for those guys? API users? is exchange know, that i enter it manually or it been automatically placed?
    i still confused about all this stuff and even after i did call to CS-it still unclear for me how it work...

    here is example from IB page(hope Def will help me with it)

    Cancel Order Type---------

    ---------------US Direct API stock orders (does not apply to US smart API orders)--------------

    is this mean, that if you place order via API and route it as SMART -you not going to be charged extra for cancel those orders? it will only apply, if you send this order to particular exchange(like island)?
    what about modification in those orders? because in next column you will find this---

    -------Modify Orders Fees or
    Cancel of Modify Fees----------

    ----USD 0.12/Cancel or modify order----

    anyone can explain it to me?
    anyone know another broker, who got API and did not charge those fees?
    i also think, that adding window(or column) in execution or account window, where a comissions will be shown can be helpfull..

    Thank you!
  3. sprstpd


    If you route orders through SMART via the API, there are no cancellation fees. If you route orders directly to an ECN via the API, there are cancellation fees and the charge for that order is slightly higher than routing to SMART. I assume IB does this because it has control over execution costs if you route through SMART. For example, if there were two ECNs at the best bid and one is more expensive to fill on than the other, the cheaper one will most likely be matched.

    I believe IB is worried about a computer program that uses the API and generates a ton of orders. Suppose most of these orders get cancelled, then IB has to eat the cancellation fees and this would make their model unprofitable. To keep the model profitable, they have to pass on these fees.

    There probably aren't enough direct ECN manual orders by IB customers to make a dent in their profit per execution equation (and most people probably use SMART anyway).
  4. Bob111


    for explanation..the reason, why i ask members of this forum about it -to recieve extra conformation. because i did talk over the phone with three(3) reps and from all of them i recieve different answers))))
    one more question-i was about to open new account and i'm not going to trade from this account a lot, so is any charges just for having open account?(withount any data subscription)
    i ask this because i find this in minimum deposits section-

    ---$10 per month per account (or USD equivalent) minimum in commissions and/or market data fees---

    is it mean, that i MUST spend $10 bucks per month mininum, and if i'm not it will be charged from my account anyway?

    Thank you!
  5. No, but huge quote delays and variances with the bid higher than the ask. Ask 'frozen'. :( IB knows about this, and I sincerely hope this on-going problem gets resolved soon. Manual order entry has been costly for me, and I hate resorting to market orders......
  6. I didn't have any of the problems you are mentioning, just the volume problem. Their rep told me I need to upgrade though I highly doubt it that this is the real problem.
  7. Mvic


    I have the same question as Bob. I have my IRA's with IB and
    was wondering about fees? Is it $10 a month min? ie you have to have the data feed? The trades I do in these accounts last several months or longer. I already have the IB feed n my main account and esignal so if I can avoid paying $30 a month for my 3 IRA's I would welcome it. Can one still place a trade if there is no data feed? Any other IRA fees?

    TIA Def
  8. sprstpd


    From the IB site:

    So if you don't generate $30 in commissions in a month, you have to pay a $10.00 fee for the market data. I believe IB started this when people were just using them for their quote feed and not actually doing any trading with them. Note that this $30 includes all of your accounts. So if you don't trade at all in your IRA account but you trade more than $30 in commissions in that month with your normal account, you shouldn't have to pay the $10 fee.

    As for trading without market data at all, I think it is possible but am not 100% sure (never tried it). I know that if a particular ECN isn't showing any quotes (due to a quote server problem), I can still enter orders into it.
  9. sprstpd


    If you didn't generate $30 in commissions in any of your accounts in a month, then a $10 fee would be taken from one of your accounts. There are no other IRA fees. As I said before, I'm not 100% sure, but you should be able to trade without market data.
  10. Here is the volume problems I was refering to, it's been going for a while now...
    #10     Jul 20, 2003