2 questions about options

S

Sky123987

Hi,

1) Does the option market have an order type, where you get the first print (Equities OPG) and the last print (equities MOC)?

2) What would be considered a good commission rate if you do say 5000 option contracts per day?

Thanks
 
If you're doing 5000 contracts a day you can negotiate your prices for fills from a lot of different brokerages. We pay many different prices with a handful of people. On average its about 25 cents a contract with 12.5 cents a contract on spreads. We also have deals which are more but those are all attached to payment for orderflow back to us. Of course there are prices per contract higher or lower depending whether the order is solicited or not too.
 
If you're doing 5000 contracts a day you can negotiate your prices for fills from a lot of different brokerages.
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What would be the threshold of shares traded per day in order to have a realistic expectation of obtaining a lower equity commission?
 
Quote from spindr0:

What would be the threshold of shares traded per day in order to have a realistic expectation of obtaining a lower equity commission?
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First off, if someone’s really trading 5000 contracts a day I have two things to say. First they would not be asking strangers on ET what a good price is, and second that kind of volume would not go unnoticed by other brokers and they’d be getting offers from people to fill their paper.

As far as shares go, it really depends who you are and who you have relationships with. There is no real “set” number of shares or contracts which would bring you a guarantee of cheaper execution. Deals are all around on payment for order flow, rebate trading and deals predicated on the kinds of orders you execute.
 
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