IB losing the edge in commissions!

Quote from Ditch:



Right now there are offers to be had, that are considerably lower than $4, even if you don't do more than 1000 rt/month. I'm not here to bash IB, i never had a problem with them. The only thing i didn't like was TWS. If you like to scale in/out you will need a front-end for it, which remains a half-hearted solution. Other than that i would have no pressing reason to change from IB, imo the tick-size on the e-mini's is a much bigger issue than the commissions.
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The cheapest I saw so far is FFast Trader. including their platform fee, I calculated that if you trade more than 700 contracts a month, it turns out cheaper than IB. Anything below 700 contracts IB is still cheaper.

Did you find cheaper brokers than that?
 
Quote from 50 cent:




The cheapest I saw so far is FFast Trader. including their platform fee, I calculated that if you trade more than 700 contracts a month, it turns out cheaper than IB. Anything below 700 contracts IB is still cheaper.

Did you find cheaper brokers than that?
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FF charges 3.32/RT, platform fee is $550, so BE in comparison with IB would be at 372 RT's/month. I have found slightly lower rates for the volume i'm doing, but the main thing for me is a stable, fast, user-friendly front-end. It appears, that you can get the lower rates as a bonus on top of it. It remains to be seen how long at will take before IB catches up on commissions, the front-end is a different story.
 
Quote from dpanic:

IB doesn't charge extra to use Ninjatrader for futures. Right now the use of Ninjatrader is the only thing that keeps most of my volume going thru IB. Eventually I hope there will be an application that supports the Patsystems api. When that happens I'd most likely direct most of my volume to AF. If you ever used the dome and trade management features of Ninjatrader I find it hard to use the jtrader dome as the primary trading mechanism.
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Dpanic,

Unless I missed it, you are the only one who mentioned api in this thread. You are quite right to recognize the importance of this feature.

One must be blind if a quick look at IB's online docs and demo does not convince you that competitors are still lightyears away from offering what IB does for the average ET guy. All IB ought to do is to rethink its commission fees a bit in terms of monthly volume. This will keep them ahead of the pack for some time.

nononsense
 
Quote from dpanic:

IB doesn't charge extra to use Ninjatrader for futures. Right now the use of Ninjatrader is the only thing that keeps most of my volume going thru IB. Eventually I hope there will be an application that supports the Patsystems api. When that happens I'd most likely direct most of my volume to AF. If you ever used the dome and trade management features of Ninjatrader I find it hard to use the jtrader dome as the primary trading mechanism.
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I would venture to say that the front end users of the various add-ons would be a high percentage of high-volume type traders...so to charge them more for using scalping software seems redundant from a marketing stand point.

Michael B.
 
Just in terms of comission, they have definitely lost it..
they are offering a global product, but the locals everywhere are
beating them at the comission game.
their fee struture is way too inflexible..

I don't believe that I should pay the same comission if I am
trading 100 lots and if I am trading 1 lots...
just doesn't make sense to me..

I think this rigidity in prices is causing a lot of business, and
may be mine soon...

Def, if you trade HSI, you might be interested to know KGI is offering $10 per contract(HSI, not the mini, exchange fee not
included) on the HSI..

I can basically get $30 per HSI contract everywhere in HK for the volume I trade..but they don't have api and stuff like that..

I spoken to Steve about the comission structure, and I got the impression it's a flat structure.. it's a IB company policy not to negotiate on rates, which I really don't understand..

I don't believe electronic trading have change fundamental pillars of economics in such a way that economies of scale no longer apply in the digital age..For high volume trader, most brokerage
would be willing to work on a scale-basis, which is only
reasonable because there are economies of scale involved.
I trade a few nikkei( simex) and taiwanese futures too and every
brokerage I have spoken to work on a scale basis. May be you can brings this up to the people who decides company policy..


:)
 
Quote from 50 cent:




By the way not that I have something against MBT or against anyone, it's just that ChrisRT's reply sounded very much as if he is a getting paid to promote it, plus I bet you that he never even tried TWS even once, so where does he have the knowledge to call it inferior. I'd just expect more from a guy in his status and with his history (he runs a well established advisory service).

Cheers
50
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I've been around long enough that I've tried everything from CyberTrader (original beta tester) to ETrade, MBT, Castle, IB. Plus, at my seminar last week, where we traded with our seminar guests, many were using IB and the interface was still as I remembered it, clunky but usable. My opinion. Never used Tradestation.

Statements like "I bet he never"...takes the discussion to argumentative state which I won't engage..waste of time. Discuss opinions, great, I'm all for it..discussion of assumptions about me, especially false ones, ho hum..believe what you want. My post wasn't to "promote" anything, but rather my opinion stated. Take it or leave it..I could care less, but I won't argue about it.

I'm also not going to argue any points about "inferiority or superiority". My point was that I use MBT and compared with the others that I have traded with, MBT has everything I need and it's easiest to use "for me". When costs come in line with IB, then for me, across the board, MBT will be a better product overall. My opinion.

You mentioned something to the effect that I "promote" Realtick. Yikes. If my scanner/when my scanner, no longer needs the Realtick feed, I'm dropping it. I've stated this in other threads many a time.

Lastly, I appreciate the words about the advisory service. The group I work with in Bo, Nesi, Allen and Vadym and a few others in the behind-the-scenes continues to be a great working relationship and I appreciate the acknowledgment of their establishment as well.

Hope to see many of you in Vegas for the expo.

Best,

Chris
 
there are some things ib could do for us stock traders to keep a step ahead that wouldn't cost anything.
1.allow direct route to amex for naz stocks.
2.allow regional access.
otherwise im happy with ib and their FA account capabilities are great along with everything else mentioned.
 
You can trade RealTick or almost any of these direct access platforms for .005 flat a share on equities. Plus get your rebates (.002 a share bring you cost to .003). You can have routing to anywhere you want, ASE,NYSE ecn's and routes that have no routing fees like Knight.
 
Quote from Question:

You can trade RealTick or almost any of these direct access platforms for .005 flat a share on equities. Plus get your rebates (.002 a share bring you cost to .003). You can have routing to anywhere you want, ASE,NYSE ecn's and routes that have no routing fees like Knight.
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since when is realtick a straight .005 a share?
 
Quote from vhehn:

there are some things ib could do for us stock traders to keep a step ahead that wouldn't cost anything.
1.allow direct route to amex for naz stocks.
2.allow regional access.
otherwise im happy with ib and their FA account capabilities are great along with everything else mentioned.
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AMEX, that pos excuse for a stock exchange? I have (had?) direct acces to amex but it was totally useless, and expensive as hell too btw.

Yes regional exchange might be helpfull if electronic. The Chicago exchange is accessible through supermontage allready.
 
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