Author Topic: IBKR - Interactive Brokers  (Read 164309 times)

Hielko

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Re: IBKR - Interactive Brokers
« Reply #460 on: October 17, 2018, 05:01:10 AM »
Except, for retail investors it's a great deal if their order flow is sold to HFT's! They might be the product, but at least now they are capturing part of the value of their poor trading by getting free trades and small price improvements on their orders.

The parties that are losing out are HFT firms as a group. For them it would be way better if no-one would pay for order flow and all orders are routed to the exchange. Then they would still be able to capture the value of zero/negative alpha trading by retail investors, but they wouldn't have to pay for it, and they wouldn't have to provide price improvement. But because of the competition between HFT firms the pie gets smaller, and is divided between fewer players.

Additionally, professional traders are losing out because the orders that are routed to exchanges are on average more toxic for market makers so spreads might be wider, and liquidity might be lower for them. But again, for retail traders it's great! There is zero downside for them!


writser

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Re: IBKR - Interactive Brokers
« Reply #461 on: October 17, 2018, 05:23:02 AM »
That is more or less what Matt Levine wrote yesterday:
Quote
People hate payment for order flow, but really this is a failure of imagination. We make big high-frequency trading firms bid to do your stock trades, and pass the benefit on to you ought to be a good talking point. If you believe in the market structure that youre using, why not brag about it?

"We sell your horrible order flow to predators and give you a kickback!" I'm not sure retail customers would like that - even though rationally they should :) .
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muscleman

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Re: IBKR - Interactive Brokers
« Reply #462 on: November 04, 2018, 10:15:32 AM »
I have decided to come back to IBKR after using Fido, TD.
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muscleman

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Re: IBKR - Interactive Brokers
« Reply #463 on: November 04, 2018, 12:20:04 PM »
I noticed some discussion of fills through IB compared to elsewhere.
Anyone here use IB's Adaptive algo?
https://www.interactivebrokers.co.uk/en/index.php?f=19091#
What do you think of it?

I tried it but didn't find it especially useful. IB usually submits orders directly to the exchange, so the bid/ask you see is usually the fill you get, if you are serious in getting filled right now. For limit orders, usually I have to wait for a long time, and I get filled mostly because market moved.

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scorpioncapital

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Re: IBKR - Interactive Brokers
« Reply #464 on: November 04, 2018, 02:17:15 PM »
I just wish they'd hurry up and go global with their investment account linked Mastercard debit card besides US residents. That's a killer product.

bizaro86

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Re: IBKR - Interactive Brokers
« Reply #465 on: November 04, 2018, 06:47:05 PM »
I just wish they'd hurry up and go global with their investment account linked Mastercard debit card besides US residents. That's a killer product.

My dream is the ability to get a few different mastercard debits for different currencies. I happen to have Mexican pesos in my IBKR account, and when I went to mexico I converted CAD to MXN at a bogus retail rate, because I couldn't get it out. If I could take MXN, EUR, USD, CAD, JPY  etc out of my IBKR account in cash I would LOVE that.

tradevestor

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Re: IBKR - Interactive Brokers
« Reply #466 on: November 04, 2018, 08:39:30 PM »
What's so great about Mastercard debit card which offers  no rewards or purchase protection?

Spekulatius

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Re: IBKR - Interactive Brokers
« Reply #467 on: November 05, 2018, 04:09:07 AM »
What's so great about Mastercard debit card which offers  no rewards or purchase protection?

I dont know either. Id rather use a CC with low/no foreign transaction fees (from Capital One or a credit union) and some rewards than a debit card. However, in countries other than the US, those may not be readily available.
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Sunrider

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Re: IBKR - Interactive Brokers
« Reply #468 on: November 05, 2018, 05:43:20 AM »
Ugh maybe Im slow, but why dont you just convert your pesos back to cad or whatever at interbank rates on IBs platform?

I just wish they'd hurry up and go global with their investment account linked Mastercard debit card besides US residents. That's a killer product.

My dream is the ability to get a few different mastercard debits for different currencies. I happen to have Mexican pesos in my IBKR account, and when I went to mexico I converted CAD to MXN at a bogus retail rate, because I couldn't get it out. If I could take MXN, EUR, USD, CAD, JPY  etc out of my IBKR account in cash I would LOVE that.

bizaro86

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Re: IBKR - Interactive Brokers
« Reply #469 on: November 05, 2018, 06:18:37 AM »
I can convert the pesos back to CAD, that's no problem. What I really want is access to spendable money at interbank rates.

Resorts in Mexico don't take CAD at the pool bar (and USD at a terrible rate) so it makes sense to take MXN. I can get MXN via IB at interbank rates, but I can't get it out and spend it, as far as I know.