love the last sentence! that's part of the reason i am over a decade with ib.
keep up the good work guys.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
IB Margin Changes
- Thread starter gtcharlie
- Start date
- Status
- Not open for further replies.
love the last sentence! that's part of the reason i am over a decade with ib.
keep up the good work guys.
Quote from Daal:
The answer is yes if they they are bid/offering the best price
I know the answer but as you can see Def has a problem to admit it but he wouldnât go on the record to deny it as well.
By the way Timbar Hill does not have to be on top to get those liquidated shares at distressed prices. Based on the IB agreement Timbar Hill gets a preference, as long as they âmatchâ the highest bid price available at that second, they will get your positions (which is obviously a bargain when it comes to options and there is a huge spread. They will get for significantly lower then market/midpoint value).
Quote from Daal:
Come on man, they are a market maker, its part of the risk. Bottom line is that autoliquidation leads to market orders which usually benefits market markers
As you can see Def is dodging the question, I think they should hire Herman Cain to answer this oneâ¦..
But seriously Def, can you come clean on this one? I will repeat the question for a 6th time.
--Would you go on the record stating the Timbar Hill has not been PROFITING from buying options/futures from IB accounts that got liquidated on the bid price or distressed price (however you want to call it) and then selling it back in the marketplace?
ITS A SIMPLE QUESTION YES OR NO????
Quote from Options12:
does IB disclose to customers when Timber Hill profits from an IB customer's reckless use of leverage?
sprsptd, do you also work for IB?
I doubt they would disclose that information.
I don't work for IB, but I've traded with them for over a decade and they are partially responsible for my success. They've always done right by me and their auto-liquidation policy is a good thing in my opinion.
Hi Def,
If IB is forced to liquidate a position, does the system pull out spreads or simply liquidate each position individually. For example say a customer has several option butterflies in a stock. Will the system know that they are butterflies and send an order to liquidate as a spread or simply offer each option individually?
If IB is forced to liquidate a position, does the system pull out spreads or simply liquidate each position individually. For example say a customer has several option butterflies in a stock. Will the system know that they are butterflies and send an order to liquidate as a spread or simply offer each option individually?
Quote from FSU:
Hi Def,
If IB is forced to liquidate a position, does the system pull out spreads or simply liquidate each position individually. For example say a customer has several option butterflies in a stock. Will the system know that they are butterflies and send an order to liquidate as a spread or simply offer each option individually?
In order to manage RISK (and Timbar Hill making a nice profit..?) all orders are done separately.
Quote from JackR:
Jayre:
You seem to have a problem. You doubt what you are told here in the anonymity of ET, but you persist in asking for answers here. Pick up your phone and call Infinity. Ask them how it works. To aid you, here is an extract of an email sent to new customers.
You have been enabled to trade ES, TF, NQ, YM, CL, GC, and SI with a lot size limit of XX per contract. Your daily risk assessment level is currently set to $XX,XXX. This is your current predetermined risk assessment level for your account. This amount has and will change as risk levels change. The System's automatic feature monitors all positions in the account and may liquidate based on the above level being reached. Substantial losses may result. There is no certainty that the System will actually liquidate when the predetermined daily risk assessment level is reached; there is no certainty that the System may not commence liquidation even if the predetermined daily risk assessment level has not been reached (for example, if the System receives bad data quote). Per your Customer Agreement you have already acknowledged and confirmed your understanding that the automatic liquidation feature may be imperfect.
Jack
Jack, I followed your advice and called up Infinity to check their liquidation policy, here is what they say. If you are in a margin deficiency you have time to take care until end of the day and they will not liquidate you. If you are in margin deficit overnight they may take action.
- Status
- Not open for further replies.