Ticket Cost Question

[CoryBurgess]

First off, sorry for the dumb Newbie question.

When someone offers you say 2.00 ticket cost for 2,000,000 shares traded, does it count both the buys and the sells.

For example, if you had 1,000,000 shares in buy positions for the month, and then before the end of the month covered all of your longs and sold those same 1,000,000 shares, would this count as 2,000,000 shares traded?

Or do you have to buy 2,000,000 and then sell 2,000,000?

 

[NYOBScalper]

Quote from CoryBurgess:

First off, sorry for the dumb Newbie question.

When someone offers you say 2.00 ticket cost for 2,000,000 shares traded, does it count both the buys and the sells.

For example, if you had 1,000,000 shares in buy positions for the month, and then before the end of the month covered all of your longs and sold those same 1,000,000 shares, would this count as 2,000,000 shares traded?

Or do you have to buy 2,000,000 and then sell 2,000,000?

If you buy 1,000,000 shares and sell 1,000,000 shares you will get charged commissions on 2,000,000 shares. "Ticket" generally refers to 1000 shares; so $2/ticket means $2 per thousand, thus if I buy and sell 1000 shares, I pay $4.

 

[mcelitetrader]

I have to disagree. Ticket is a single order going into the market place.

One ticket is an order regardless of how many times the order is filled to complete the order.
eg. i put out a buy of 1500 shares and am filled as
100
300
100
500
500.
This is one ticket and not 5 tickets. On a per ticket basis this would be 1 * (your ticket cost).
Some firms charge on a "per fill" basis and if you are putting out size this becomes an expensive method of trading. The above example would count as a fill of 5 so the charge would be 5*(per fill charge). There is no control on how your order will be filled when it reaches the marketplace.

Hope this helps.

 

[NYOBScalper]

Quote from mcelitetrader:

I have to disagree. Ticket is a single order going into the market place.

One ticket is an order regardless of how many times the order is filled to complete the order.
eg. i put out a buy of 1500 shares and am filled as
100
300
100
500
500.
This is one ticket and not 5 tickets. On a per ticket basis this would be 1 * (your ticket cost).
Some firms charge on a "per fill" basis and if you are putting out size this becomes an expensive method of trading. The above example would count as a fill of 5 so the charge would be 5*(per fill charge). There is no control on how your order will be filled when it reaches the marketplace.

Hope this helps.

This is incorrect. If you put an order out to buy 1500 share it is 1.5 tickets. A ticket is 1000 shares. Some dumbass brokers out there may use the term ticket incorrectly, but those are few and far between and they are making incorrect usage of standardized trading terminology.

 

[Szeven]

Quote from NYOBScalper:

This is incorrect. If you put an order out to buy 1500 share it is 1.5 tickets. A ticket is 1000 shares. Some dumbass brokers out there may use the term ticket incorrectly, but those are few and far between and they are making incorrect usage of standardized trading terminology.

Ive never heard ticket be used for 1000 shares ever, so i think although you may be correct, the term is dated as no one ever says that.

 

[JackR]

Is ticket as used at a "prop" firm different than at a retail firm?

I know that when I first traded options at a retail firm I paid a ticket charge plus a contract charge. That is, if I tried to buy 10 contracts I got charged a ticket charge of $5 plus $0.75 for each contract that filled. If it was a day orderm the ticket was for the day, if it was GTC it covered until completely filled or cancelled. If I never got any fills there was no charge. If I only got 1 contract I paid the $5 ticket plus $0.75. If all ten filled it was $5 plus $7.50.



Jack

 

[traderpro]

The term is per share. 1k per ticket is an old term. 200,000 shares = 200 tickets per day. I have heard of a per ticket deal and you get charged each execution. If you buy/sell 100 or 10,000 shares you get charged for the transaction. What was not so good about the order charge was it would work for size traders if you get taken all at once hit 100 or 500 shares at a time doesn't help your cost.





Now we can talk about wrapping but i think they would come get me on that one