Give me a freaking break!! Are you guys all excited because of a few dollars in commission? Are you guys all losing money or breaking even? I would pay 20 bucks per round with no problems. Actually I would pay 50 or 100 dollars per round with no problems. Do you guys want commission free trade? Go beg on the streets in the afternoon and the money you will make will cover your fees. Please folks!!
Interactive Brokers introduces free zero commission trading platform.
- Thread starter El_Cubano
- Start date
IB's regular commissions are already pretty low. No savings there, really. Honestly, I barely notice the commissions.
But yeah, the RH market. So what does that leave RobinHood giving that IB doesn't? Anything? Without some clever marketing, RH is doomed, as well as most other zero commission brokerages. Will IB make a ton of money off this plan? Maybe not directly. But it will thin the field of lowball competition. Kinda smart, IYAM.
But yeah, the RH market. So what does that leave RobinHood giving that IB doesn't? Anything? Without some clever marketing, RH is doomed, as well as most other zero commission brokerages. Will IB make a ton of money off this plan? Maybe not directly. But it will thin the field of lowball competition. Kinda smart, IYAM.
If either IB or Robinhood offered anything even approaching the level of customer service of those firms I might agree. They don't and they can't with the revenues that come from payment for order flow. Since commissions make up a fraction of a fraction of a percentage of most portfolios those brokers hold, I don't think it will move the needle for most of their customers, especially when measured against the "you get what you pay for" in customer service and the massive PITA of switching to a new broker. The vast majority of brokerage customers aren't like us, sometimes hard to remember that in our bubble here. It's a huge blow to Robinhood, the dip in the rest of the industry's shares is probably a buying opportunity for everyone else.
I've come to a conclusion, rightly or not, that shops like TDAmeritrade are not interested in traders. They are interested in your 401ks and IRAs (wealth management) so that they can collect fees by moving funds from one fund to another for no reason. The trading thing is just a gimmick to get you in the door at young age. I suspect RH's goal is the same as evident by them trying to become a bank recently.
Yes
Based on the many comments here , you are all being comedians , or are in fact , morons
I vote the latter
Based on the many comments here , you are all being comedians , or are in fact , morons
I vote the latter
always use limit orders
All orders have problems.
Limit orders are subject to adverse selection.
That is not what I refer to.
I refer to the sub-penny problem.
Algorithms are allowed to sub-penny (bid 1/100th of a penny) in front of you if the fill looks good and dump.the stock on you if things start to look bad-- according to what the algorithm looks for.
The rational given for allowing this is that the counter party is getting a better price than you offered.
You are more likely to see the price go against you than otherwise, if you are filled.
You are more likely to see the price go the way you hoped it would, had you been filled but alas, were not filled.
*see the book, Traders of The New Era for a better breakdown.