Do Odd Lots Affect Execution Prices?

C

Corso482

I'm contemplating going live with my system, but don't want to risk a lot of capital to start with. I hear IB allows odd lots, but what will be the real world effects, as far as execution speed/fill, of trading odd lots? I'm only talking stocks with 1mm daily volume and swing trading, so I'll probably want to auto-route the orders.
 
I'm assuming you are talking NASDAQ stocks.

If your order is marketable it will basically be executed just like a 100 sh order. If it is not marketable, it will be invisible on the national quote.
 
What's your concern? Just SOES in and out, OR use ISLD if they are on the inside. You will be a flea on the rear end of the elephant.
 
With nasdaq stocks, you won't be able to execute against instinet, btrade, brut if they are the inside quote, which happens alot of the time. Some arca quotes will also be unexecutable, so you will suffer a few cents of slippage often.

With nyse stocks, you actually will get better fills since NYSE rules mandate that specialists give preferential treatment to odd lots.
 
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