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Quote from def:

IB actually does have the .1 pip prices but doesn't display them as they flash too fast. You'll often get price improvement on fills as a result.
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Only improvement ?
0.7 pip spread is not going to be rounddown() to 0.5 ?
 
I do not believe those statistics as there are many countries where forex is not even authorized and traders from those countries are trading. Are those counted in the statistics.
 
I trade spot forex with ib, and I get price improvement all the time

I think their minimum is 10k

If they raised it to 20k you would see better than 43% profitable

back in the old days, a meat trader on the merc understood that the min was 32k

who knows what it is today?
 
Quote from def:

that is why the number of accounts is relatively low that we report as active traders. They need to be actively trading FX to be reported. The regulators have the requirements which I forget off hand but can dig up if you're interested.
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def: that would be interesting. Is it enough to only make a single FX trade per quarter to qualify? And i assume only PnL from 'real' fx trades is used to calculate profitability, and not FX pnl on foreign stock trades? What about XAU spot trades? Personally i find it moot to distinguish - someone who trades foreign securities has fx risk just like someone who trades fx outright.
 
Quote from Swan Noir:

I'm impressed that 43% of IB's FOREX traders are profitable. I would not have thought the numbers were that good anywhere. I do think the $10,000 minimum and that sharper guys will look for better counterparties are major contributers to that number.
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that is in a 3 month period , if they would take 1year, it would go down under 10 % . nah , better 5 %
 
Why is that quarter 8X better than the full year would be?

Quote from Peternam:

that is in a 3 month period , if they would take 1year, it would go down under 10 % . nah , better 5 %
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Def,

could you refer me to any material on who the counter-parties are on IB's forex platform? Never done much with it because I feel exchange traded products are safer.
 
Quote from Swan Noir:

Why is that quarter 8X better than the full year would be?
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because the more time passes, the more trades are made, the more spread and comissions eat into your account
 
Quote from Pippi436:

def: that would be interesting. Is it enough to only make a single FX trade per quarter to qualify? And i assume only PnL from 'real' fx trades is used to calculate profitability, and not FX pnl on foreign stock trades? What about XAU spot trades? Personally i find it moot to distinguish - someone who trades foreign securities has fx risk just like someone who trades fx outright.
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The criteria for reporting is slightly retail focused as accounts that declare a net worth greater than $10 million are excluded. Trades that are included need to be leveraged as well. I'm not sure about how many trades must take place but I would have to believe that the vast majority of our clients trading FX are active.

Also of note is that we are a multi-currency, multi-asset brokerage and we also have a substantial number of clients performing FX trades each month (and some quite actively) who are excluded from the report as they do not fit into the above criteria.


Quote from MrN:

Def,

could you refer me to any material on who the counter-parties are on IB's forex platform? Never done much with it because I feel exchange traded products are safer.
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I'm not sure I'm at liberty to release names but when I've done trades I see the counter-parties in the execution reports. There are over 10 liquidity providers, most of which are major money center banks.

Your counter-party though in terms of credit risk is IB and thus you don't have exposure to the entity or person on the other side of your trade.
 
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