IB retail pit access or not ???

Being a pit trader is the same as being given a license to steal, plain and simple. I'm sure there are some honest traders out there, but being in a position where you make a trade, then can wait a minute or two to see where prices went before deciding if the trade will be your own trade or a trade for your client is just too big a temptation for most people.

I place a limit order to buy at 101 11/32. My broker makes this trade, then the price 5 seconds later shoots to 101 14/32. He sells at 101 14/32 and I get back a "no fill". He pockets the 3/32. However, if the price immediately drops to 101 8/32 then I get back my fill at 101 11/32 and I get to keep the loss. It's a guaranteed trade for the broker. We should all be so lucky....
 
I just tried to add pit-trading permissions in my FA subaccount and got this error:

<i>You have reached the limit on number of fee based accounts.</i>

Has anyone seen that error before? Note I'm using a friends and family FA account with no fees charged, and the sub-account is my own personal account.

SSB
 
Quote from Cdntrader:

I dont see anything regarding equity index futures so I assume the commissions are the same as minis on the unbundled structure and 2.40 a side via bundled.
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That's pretty unlikely. I think it's the "financials" category that is meant to contain the equity indices. In unbundled, I'm guessing it falls under the same category as the other equity indices. They're aware of the confusion.
 
Quote from alanm:

That's pretty unlikely. I think it's the "financials" category that is meant to contain the equity indices. In unbundled, I'm guessing it falls under the same category as the other equity indices. They're aware of the confusion.
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it's update now 4.50 per side bundled. And unbundled is simply higher exchange fees(looks like 4.25 per side all in @ the minimum monthy volume level).

Only other question is - will they let you phone in a pit order when TWS is down?
 
You always can use a telephone to close a position if TWS down. You can also try to use a Web Trader or Mobile Trader for the same purpose. Opening a position by telephone is too expensive.
 
Let me approach that question a little differently.

In the past, there have been times when IB's connections to CME, CBOT, etc. have been down. During those times, the trade desk has had no way to enter orders either, since they use the same connections/systems.

When such a failure occurs, will the trade desk be able to take orders and get them to the floor (via a different route) now?

Are the pit-traded and GLOBEX-traded contracts the same instrument, so that positions established in one place can be liquidated in the other (as opposed to creating offsetting, possibly fungible positions, possibly with additional margin requirements)?
 
Quote from alanm:

Let me approach that question a little differently.

In the past, there have been times when IB's connections to CME, CBOT, etc. have been down. During those times, the trade desk has had no way to enter orders either, since they use the same connections/systems.

When such a failure occurs, will the trade desk be able to take orders and get them to the floor (via a different route) now?

Are the pit-traded and GLOBEX-traded contracts the same instrument, so that positions established in one place can be liquidated in the other (as opposed to creating offsetting, possibly fungible positions, possibly with additional margin requirements)?
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I cross products all the time. Most traders do not know it but you can cross the ES and the SP floor. If you are long 30 ES you can sell 6 large spoos in the pit and they are fungible --effectively getting you out of the trade.
 
Quote from TGM:

I cross products all the time. Most traders do not know it but you can cross the ES and the SP floor. If you are long 30 ES you can sell 6 large spoos in the pit and they are fungible --effectively getting you out of the trade.
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How does that work? Will your position be cleared overnight and you'd be flat? Doesn't seem possible.....

I understand within a small tolerance each of the positions would offset the other one, but are they completely fungible?
 
Quote from SideShowBob:

How does that work? Will your position be cleared overnight and you'd be flat? Doesn't seem possible.....

I understand within a small tolerance each of the positions would offset the other one, but are they completely fungible?
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yes, yes and yes---it has been this way at the CME with the Minis from day one.

if you go long 5 es and then buy one big spoo ---you are flat.

I cannot believe traders do NOT know this. On the spoo floor ---what do you think they are crossing out with in their handhelds? Clerks are standing there getting pit traders in and out with ES. It has been this way for a long time.

Typically, the trader will get in via the pit and get out via the machine.
 
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