Why are there fees for cancel/modify?

[def]

Quote from 1245:

IB does not charge cancellation fees for options spread orders, because when you use SMART ROUTE for Complex Orders, your order DOES NOT rest on the COB at the exchange. It rest in their system until they deem it executable. Single orders on the Smart Route make their way to an exchange.

You do not work at IB and often make inaccurate statements when it comes to routing of option orders and IB. The above is one of them. you're an expert

You are mistaken in your post above.

1. It is correct that IB does not charge cancellation fees for option spread orders.

2. You are WRONG, IB posts combo orders on the COB so they DO rest on the COB at the exchange.

 

[1245]

Quote from def:

You do not work at IB and often make inaccurate statements when it comes to routing of option orders and IB. The above is one of them. you're an expert

You are mistaken in your post above.

1. It is correct that IB does not charge cancellation fees for option spread orders.

2. You are WRONG, IB posts combo orders on the COB so they DO rest on the COB at the exchange.

Really. I spoke to your trading desk and customers service. Three times. They all told me the same thing. smart route spreads do not rest on the COB at the exchange. You are constantly contradicting your own support team and information on your website. one guy even told me it could not be DMA routed. then when I did it, they told me it would cost $1/per contract rather then the post lower rate.

SO, Your WRONG.

 

[def]

Quote from 1245:

Really. I spoke to your trading desk and customers service. Three times. They all told me the same thing. smart route spreads do not rest on the COB at the exchange. You are constantly contradicting your own support team and information on your website. one guy even told me it could not be DMA routed. then when I did it, they told me it would cost $1/per contract rather then the post lower rate.

SO, Your WRONG.

Don't think so. My info comes from programming but just to make certain, I'll reconfirm directly from those who do the coding again. This is also straight from our web site:

Non-marketable spread orders native to the ISE on a single underlying will be temporarily routed to the ISE book, while non-marketable orders that are not native to the ISE will remain at IB. From that moment on, IB SmartRouting will continuously evaluate changing market conditions and will dynamically route and re-route based on this evaluation to achieve optimal execution.

I believe the same holds true for the other exchanges that now have native orders but I'll check again as well. Perhaps the confusion comes down to the types of spreads sent as not all spread combinations are native to exchanges.

 

[1245]

Quote from def:

Don't think so. My info comes from programming but just to make certain, I'll reconfirm directly from those who do the coding again. This is also straight from our web site:

Non-marketable spread orders native to the ISE on a single underlying will be temporarily routed to the ISE book, while non-marketable orders that are not native to the ISE will remain at IB. From that moment on, IB SmartRouting will continuously evaluate changing market conditions and will dynamically route and re-route based on this evaluation to achieve optimal execution.

I believe the same holds true for the other exchanges that now have native orders but I'll check again as well. Perhaps the confusion comes down to the types of spreads sent as not all spread combinations are native to exchanges.

One person I spoke to signed his email, "Jim,Trade Group"

 

[def]

Quote from 1245:

Really. I spoke to your trading desk and customers service. Three times. They all told me the same thing. smart route spreads do not rest on the COB at the exchange. You are constantly contradicting your own support team and information on your website. one guy even told me it could not be DMA routed. then when I did it, they told me it would cost $1/per contract rather then the post lower rate.

SO, Your WRONG.

Robert,

Just confirming, that my comments were indeed Correct. Simple spread orders routed via IB that are natively available will post to the COB of the exchange.

 

[1245]

Quote from def:

Robert,

Just confirming, that my comments were indeed Correct. Simple spread orders routed via IB that are natively available will post to the COB of the exchange.

Then how do you explain that a spread order I entered, that received an execution later in the day, was deemed to take liquidity, not add. When I asked, they all told me the same thing. My spread stays in the system until actionable. Then it was sent to the ISE and took liquidity. My spread according the them, was not available on any of the COB on the exchanges. Except trading with other IB customers, they said I could not bid or offer the spread on the COB. That means no other firm's clients could trade with me and me add liquidity.

 

[def]

Quote from 1245:

Then how do you explain that a spread order I entered, that received an execution later in the day, was deemed to take liquidity, not add. When I asked, they all told me the same thing. My spread stays in the system until actionable. Then it was sent to the ISE and took liquidity. My spread according the them, was not available on any of the COB on the exchanges. Except trading with other IB customers, they said I could not bid or offer the spread on the COB. That means no other firm's clients could trade with me and me add liquidity.

Without knowing your order details, type of spread, whether individual legs were marketable on other exchange which caused your order to be routed or an attempt to leg into the trade, tc. I can not tell. Send me your ticket and I'll have someone take a look. Just to be 100% certain I asked our programming group to place a simple non-marketable vertical spread and check the routing. They confirmed it was routed and posted to the ISE.

 

[marcoPolo21]

is there any charge for "Pause Execution", vs Cancel ?

if so, this would be a way to lower costs

you would Pause an order, usually a Day order, instead of Cancelling

marc

 

[489]

Quote from 1245:

Then how do you explain that a spread order I entered, that received an execution later in the day, was deemed to take liquidity, not add.


Possibly because the spread was sent to exchange 'A' (CBOE COB?), and was re-routed to exchange 'B' (ISE COB?) at a later time when the ISE spread market changed and made your spread marketable, but it had to be re-routed. The re-routing caused you to be a liquidity taker, even though your price was the same.

Regardless, any broker's primary goal is to get you executed so they can charge you a commission, and a broker as big as IB probably does a pretty good job at making that happen.

This has been explained to you several times but apparently you have a bone to pick w/ IB so you are never satisfied with a rational explanation.

 

[1245]

Quote from 489:

Quote from 1245:

Then how do you explain that a spread order I entered, that received an execution later in the day, was deemed to take liquidity, not add.


Possibly because the spread was sent to exchange 'A' (CBOE COB?), and was re-routed to exchange 'B' (ISE COB?) at a later time when the ISE spread market changed and made your spread marketable, but it had to be re-routed. The re-routing caused you to be a liquidity taker, even though your price was the same.

Regardless, any broker's primary goal is to get you executed so they can charge you a commission, and a broker as big as IB probably does a pretty good job at making that happen.

This has been explained to you several times but apparently you have a bone to pick w/ IB so you are never satisfied with a rational explanation.

Because that's not what they said happened. It was not re-routed. It was in the IB system, not on any COB, until executed. That is THEIR explanation from two different departments.