IB is NOT allowing odd lots for QQQ, SPY and DIA even on ISLD

H

hsanson

Today I discovered that IB's JTWS software doesnt allow me to place odd lot orders on QQQ, SPY and DIA using the ISLD exchange. I understand that I cannot place opening odd lot orders on NYSE, but it SHOULD BE ALLOWED on ISLD ECN. The same restriction applies to NYSE stocks traded on ISLD ECN. Is this a new unannounced policy from IB ? Or maybe IB programmers forgot this detail when they programmed the restrictions ? ?

Would like an explanation


hsanson
"There is no perfect trading system, but there are good ones that can make you rich"
 
ML Holder's trade in round lots of 100 shares only:

Contract Specifications
Biotech HOLDRSSM
HOLding Company Depository ReceiptS - BBH
Description of Product
The Biotech HOLDRSSM Trust will issue Depositary Receipts called Biotech HOLDRS SM representing an undivided beneficial ownership in the common stock of a group of specified companies that are involved in various segments of the Biotechnology Industry. The Bank of New York is the trustee. Biotech HOLDRS may be acquired, held or transferred in a round-lot amount of 100 Biotech HOLDRS or round-lot multiples. Biotech HOLDRS are separate from the underlying deposited common stocks that are represented by the Biotech HOLDRS. The Biotech HOLDRS Trust is not a registered investment company under the Investment Company Act of 1940.

For more info on Holders :

http://www.amex.com/structuredeq/sp_holdrs.stm

and

http://www.holders.com

If you want to trade odd lots of sector stocks, use iShares

http://www.ishares.com

http://www.amex.com/indexshares/index_shares_sector.stm

 
From this, it looks like the QQQ trades in a
minimum size of 1 share.

Trust Details
Expense Ratio: 0.18% Short Selling Allowed: Yes, uptick exempt
Ticker Symbol: QQQ Options Traded: Yes, American Style
Trading Increment: $0.01 Trustee: Bank of New York
Min Trade Size: 1 Share Sponsor: Nasdaq Investment Products Services Inc.
Marginable: Yes Distributor: ALPS Distributors, Inc

Found this on the nasdaq site

http://www.nasdaq.com/asp/indexshares.asp?symbol=QQQ

-v
 
QQQs are not ML holders, they're ETFs.

QQQ trades in a minimum size of 1 share on its primary market - AMEX. ( http://www.amex.com/asp/indexshares.asp?symbol=QQQ )

QQQs are NOT listed on NYSE, they just trade there: NYSE began QQQ trading on the basis of UNLISTED trading privillesges.http://www.nyse.com/press/NT000470D2.html

ECNs also do NOT have odd lot restriction for QQQs and other ETFs.

There's no rational reason for IB to continue prohibiting odd lot trading on ECNs for ALL NYSE stocks. IB should allow odd lot trading on ECNs. This should be a simple software fix IMHO.

Fohat
 
It has been over a year since I have traded any of the QQQ. As I remeber, Amex required that all NON-enc trades had to be full lots (100), but I am always open for enlightenment. As for the island book anything goes as usual.
 
I remember I successfully daytraded 50 shares of QQQ once on ISLD using IB a few months ago. But that's the only time I tried; I have never traded QQQ odd lots since then. In fact, I have scaled out of daytrading into swing trading.

Stockoptionist
 
it was possible to trade with less than 100 shares with ISLAND SPY or QQQ or any ETF with IB.
This changed recently. I guess for uniformity [on NYSE and AMEX you must not establish a position from IB with less than 100 shares. in case of partial fills -ie Island leaves you with 20 shares- you CAN close the position with market order to AMEX, NYSE or any other].
The restriction is only in establishing the position.

the lot size of SPY or QQQ is indeed 1 share, so IB's new restriction is artificial. Even last month it was possible to play with SPY with less than 100 shares with Island on IB.

neo
 
What happens if you get a partial (odd lot) execution on Island? Does the odd lot prohibition mean you cannot get the rest of your order filled or exit your partial position?
 
You must log in or register to reply here.
Back
Top