Author Topic: IBKR - Interactive Brokers  (Read 172634 times)

pocoapoco

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Re: IBKR - Interactive Brokers
« Reply #130 on: October 14, 2015, 01:06:40 PM »
CEO recently asked why a lot of IBKR investors use another broker

Buy 5000 shares of GM (where price execution will be equivalent due to high liquidity).

IB :  $25
Etrade:  $9
« Last Edit: October 14, 2015, 01:09:44 PM by pocoapoco »


Hielko

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Re: IBKR - Interactive Brokers
« Reply #131 on: October 14, 2015, 01:07:06 PM »
I actually think the sign-up process for an IBKR account is extremely user-friendly and easy. You can do everything online, and it takes just a few minutes. But I only have experience with setting up a regular new account, perhaps an IRA is more difficult?

With other brokers you often (read: almost always) have to fill in a ton of paperwork, scan the filled in forms, email the forms (if that is even possible, sometimes you have to mail them physically) and then you often find out that they want even more filled in forms. I have opened accounts with a lot of brokers, and I think the process at IB is by far the fastest and easiest.

Hielko

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Re: IBKR - Interactive Brokers
« Reply #132 on: October 14, 2015, 01:08:56 PM »
Buy 5000 shares of GM (where price execution will be equivalent due to high liquidity).

IB :  $25
Etrade:  $9
Not actually going to do that trade, but estimated commission are between 0.51 and 33.51 USD (it matters on what exchange you execute your order and if you provide or take liquidity)

Liberty

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Re: IBKR - Interactive Brokers
« Reply #133 on: October 14, 2015, 01:11:40 PM »
CEO recently asked why a lot of IBKR investors use another broker

Buy 5000 shares of GM (where price execution will be equivalent due to high liquidity).

IB :  $25
Etrade:  $9

Buy those in more than 2 orders and IB is cheaper, though.
"Most haystacks don't even have a needle." |  I'm on Twitter  | This podcast episode is a must-listen

pocoapoco

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Re: IBKR - Interactive Brokers
« Reply #134 on: October 14, 2015, 01:13:29 PM »
Buy 5000 shares of GM (where price execution will be equivalent due to high liquidity).

IB :  $25
Etrade:  $9
Not actually going to do that trade, but estimated commission are between 0.51 and 33.51 USD (it matters on what exchange you execute your order and if you provide or take liquidity)

Assume taking liquidity.  I've generally seen about 1/2 cent per share at IB vs fixed all in commission for Etrade etc.  So my point is for higher share amounts (warrants, lower priced stocks etc) the commissions can diverge quite a bit.

Jurgis

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Re: IBKR - Interactive Brokers
« Reply #135 on: October 14, 2015, 01:28:03 PM »
#FirstWorldProblems

Perhaps. But ultimately I pay Fido <0.5% of my assets for all the services they provide. Sure, I might pay IBKR only 0.1%, but it's not worth the headache for me. (The percentages are somewhat crude estimates. They are likely lower for Fido and possibly for IBKR).

One way to look at it: How long do you plan to invest and how much of a cumulative difference does that delta adds up to compounded over that period?

Another way to look at it: how often IBKR can give you a stroke or a heart attack because something is screwed up?
You might not survive to enjoy your cumulative difference.

#qualityoflifematters
« Last Edit: October 14, 2015, 01:30:10 PM by Jurgis »
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doughishere

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Re: IBKR - Interactive Brokers
« Reply #136 on: October 14, 2015, 01:29:36 PM »
#FirstWorldProblems

Perhaps. But ultimately I pay Fido <0.5% of my assets for all the services they provide. Sure, I might pay IBKR only 0.1%, but it's not worth the headache for me. (The percentages are somewhat crude estimates. They are likely lower for Fido and possibly for IBKR).

At the risk of getting into an internet flame war(especially in a forum that i admire and respect).....What i was getting at was that I think we should re-evaluate what we think our problems are if we are complaining about transferring our IRAs....we should feel fortunate that a problem we have to deal with.

But yes you are right. At some point the value of your time spent switching over exceeds the benefits of actually switching over.

Hielko

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Re: IBKR - Interactive Brokers
« Reply #137 on: October 14, 2015, 01:29:54 PM »
#FirstWorldProblems

Perhaps. But ultimately I pay Fido <0.5% of my assets for all the services they provide. Sure, I might pay IBKR only 0.1%, but it's not worth the headache for me. (The percentages are somewhat crude estimates. They are likely lower for Fido and possibly for IBKR).

One way to look at it: How long do you plan to invest and how much of a cumulative difference does that delta adds up to compounded over that period?

Another way to look at it: how often IBKR can give you a stroke or a heart attack because something is screwed up?
You might not survive to enjoy your cumulative difference.
You have never used IB right? If there is a broker where almost everything almost always works and is processed correctly it is IB.

Liberty

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Re: IBKR - Interactive Brokers
« Reply #138 on: October 14, 2015, 01:30:19 PM »
#FirstWorldProblems

Perhaps. But ultimately I pay Fido <0.5% of my assets for all the services they provide. Sure, I might pay IBKR only 0.1%, but it's not worth the headache for me. (The percentages are somewhat crude estimates. They are likely lower for Fido and possibly for IBKR).

One way to look at it: How long do you plan to invest and how much of a cumulative difference does that delta adds up to compounded over that period?

Another way to look at it: how often IBKR can give you a stroke or a heart attack because something is screwed up?
You might not survive to enjoy your cumulative difference.

Never had a problem with them. Ymmv.
"Most haystacks don't even have a needle." |  I'm on Twitter  | This podcast episode is a must-listen

rmitz

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Re: IBKR - Interactive Brokers
« Reply #139 on: October 14, 2015, 01:57:17 PM »
Another way to look at it: how often IBKR can give you a stroke or a heart attack because something is screwed up?
You might not survive to enjoy your cumulative difference.

#qualityoflifematters

Hyperbole.  Iíve certainly never found any issues that would cause concern like that.  The interface isnít great, and there is opportunity for other companies to come in and use their back-end services while providing a more friendly front-end.  While some have had issues with their customer service, theyíve always dealt with any of my questions or issues well.

I also like their approach to security.  They do take it quite seriously.