What Brokers Offer TAS (Trade At Settle)?

R

RedSun

Can you guys name a few broker/platforms that offer the energy TASs? The pros trade TAS often, but not sure if any retail brokers, like IB would offer it.

Thx.
 
Interesting. I've never seen this type of order.

Do they guarantee you'll get the settlement price?

How do they handle it if an entity comes in with a huge order?
 
Quote from sysre:

Interesting. I've never seen this type of order.

Do they guarantee you'll get the settlement price?

How do they handle it if an entity comes in with a huge order?
More...

TAS is the equivalent to a guaranteed MOC order. NYMEX TAS contracts can trade even or 10 tics on either side of set, so if you fill by 2:30pm you're guaranteed settlement +/- 10 tics.

Theoretically, a huge buyer can come in and lock limit it at +10 bid or vice versa but that will never happen unless the underlying makes a wild move in the final seconds of trading.
 
Quote from sysre:

Interesting. I've never seen this type of order.

Do they guarantee you'll get the settlement price?

How do they handle it if an entity comes in with a huge order?
More...

This is for pros, and I've not seen any retail shops that offer them. Huge order no problem, someone will do with you.

If you buy CLH0 TAS (any time of the day), say at flat price. If the contract settles that day at $75, that is the price you'll pay to long the contract.

For hedgers, some producer can sell to Goldman 1,000 lots of oil at tomorrow's settlement price. Goldman can just sell the CL TAS tomorrow and takes no market risk at all.

There are many other things you can do. Use your imaginations.
 
Late to thread, but vast majority of TAS is traded OTC. Market is usually -2 / +2, 3000up. Typically traded among algo shops and market makers in options.
 
Quote from RedSun:

This is for pros, and I've not seen any retail shops that offer them. Huge order no problem, someone will do with you.
If you buy CLH0 TAS (any time of the day), say at flat price. If the contract settles that day at $75, that is the price you'll pay to long the contract.
For hedgers, some producer can sell to Goldman 1,000 lots of oil at tomorrow's settlement price. Goldman can just sell the CL TAS tomorrow and takes no market risk at all.
There are many other things you can do. Use your imaginations.
More...

NYMEX/ICE TAS contract is a pretty standard contract.
Most trading activity is done by institutional traders, but anyone can trade it and it's margined according to the outright contract.
We offer it through most of out platforms - even to retail clients.
 
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