muscleman Posted October 8, 2018 Share Posted October 8, 2018 Update: I start to think if my poorer execution in IBKR may be related to the size of the order. I have a small IRA in Fido and even smaller HSA account in TD. My individual account is in IBKR. When the order size is bigger, it may cause more market gyrations. I moved my individual account to TD and experienced a worse execution than my IRA and HSA account today. I'll keep you guys posted. Link to comment Share on other sites More sharing options...
Gregmal Posted October 11, 2018 Share Posted October 11, 2018 Down big today, started a tiny position a minute before the close. Link to comment Share on other sites More sharing options...
muscleman Posted October 12, 2018 Share Posted October 12, 2018 Down big today, started a tiny position a minute before the close. I think TD, IBKR etc. are all facing stiff competition from Robinhood and other 0 commission brokers. Link to comment Share on other sites More sharing options...
rb Posted October 12, 2018 Share Posted October 12, 2018 Down big today, started a tiny position a minute before the close. I think TD, IBKR etc. are all facing stiff competition from Robinhood and other 0 commission brokers. If you're not paying for the product then you are the product. Link to comment Share on other sites More sharing options...
Gregmal Posted October 12, 2018 Share Posted October 12, 2018 IBKR is already so much cheaper than the "real" competitors that the grind to the bottom doesn't impact them nearly as much as everyone else. I don't know of any pros who use Robinhood. From there, we can then get into which services are superior, which is another advantage of IBKR Link to comment Share on other sites More sharing options...
KCLarkin Posted October 12, 2018 Share Posted October 12, 2018 I think TD, IBKR etc. are all facing stiff competition from Robinhood and other 0 commission brokers. IBKR is growing accounts at 26% YoY. Their growth has accelerated over the past year. There is no evidence that competition is having any impact on IBKR. Link to comment Share on other sites More sharing options...
wachtwoord Posted October 12, 2018 Share Posted October 12, 2018 Down big today, started a tiny position a minute before the close. I think TD, IBKR etc. are all facing stiff competition from Robinhood and other 0 commission brokers. Isn"t Robinhood just derivate trading? You don't own actual securities. Link to comment Share on other sites More sharing options...
The Investor Posted October 15, 2018 Share Posted October 15, 2018 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? Link to comment Share on other sites More sharing options...
LongTermView Posted October 16, 2018 Share Posted October 16, 2018 https://www.bloomberg.com/news/articles/2018-10-15/robinhood-gets-almost-half-its-revenue-in-controversial-bargain-with-high-speed-traders Link to comment Share on other sites More sharing options...
LightWhale Posted October 17, 2018 Share Posted October 17, 2018 I think TD, IBKR etc. are all facing stiff competition from Robinhood and other 0 commission brokers. If you're not paying for the product then you are the product. Spot on https://www.bloomberg.com/news/articles/2018-10-15/robinhood-gets-almost-half-its-revenue-in-controversial-bargain-with-high-speed-traders?cmpid=BBD101618_BIZ&utm_medium=email&utm_source=newsletter&utm_term=181016&utm_campaign=bloombergdaily Link to comment Share on other sites More sharing options...
Hielko Posted October 17, 2018 Share Posted October 17, 2018 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! Link to comment Share on other sites More sharing options...
writser Posted October 17, 2018 Share Posted October 17, 2018 That is more or less what Matt Levine wrote yesterday: 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 you’re 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 :) . Link to comment Share on other sites More sharing options...
muscleman Posted November 4, 2018 Share Posted November 4, 2018 I have decided to come back to IBKR after using Fido, TD. Link to comment Share on other sites More sharing options...
muscleman Posted November 4, 2018 Share Posted November 4, 2018 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. Link to comment Share on other sites More sharing options...
scorpioncapital Posted November 4, 2018 Share Posted November 4, 2018 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. Link to comment Share on other sites More sharing options...
bizaro86 Posted November 5, 2018 Share Posted November 5, 2018 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. Link to comment Share on other sites More sharing options...
tradevestor Posted November 5, 2018 Share Posted November 5, 2018 What's so great about Mastercard debit card which offers no rewards or purchase protection? Link to comment Share on other sites More sharing options...
Spekulatius Posted November 5, 2018 Share Posted November 5, 2018 What's so great about Mastercard debit card which offers no rewards or purchase protection? I don’t know either. I’d 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. Link to comment Share on other sites More sharing options...
Sunrider Posted November 5, 2018 Share Posted November 5, 2018 Ugh maybe I’m slow, but why don’t you just convert your pesos back to cad or whatever at interbank rates on IB’s 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. Link to comment Share on other sites More sharing options...
bizaro86 Posted November 5, 2018 Share Posted November 5, 2018 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. Link to comment Share on other sites More sharing options...
muscleman Posted November 5, 2018 Share Posted November 5, 2018 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. Do they not accept credit card? There are a number of good credit cards like the Chase Sapphire preferred/reserve that charges no foreign transaction fee. If you are in Canada, I am sure there will be something similar. Link to comment Share on other sites More sharing options...
bizaro86 Posted November 5, 2018 Share Posted November 5, 2018 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. Do they not accept credit card? There are a number of good credit cards like the Chase Sapphire preferred/reserve that charges no foreign transaction fee. If you are in Canada, I am sure there will be something similar. Canada has a very limited supply of cards with no foreign transaction fee, and nothing at all like Chase Sapphire. Oligopoly banks for the win! However, I've observed that even with no fee that rate I get on foreign currency purchases from Visa/Mastercard is not nearly as good as the rate I can obtain by exchanging currency via IB. Link to comment Share on other sites More sharing options...
rb Posted November 5, 2018 Share Posted November 5, 2018 Chase Saphire is a Visa Infinite card. From what I remember when I looked at cards a few months back, the Visa Infinite cards from Scotia and TD were very similar to Chase Saphire. Link to comment Share on other sites More sharing options...
bizaro86 Posted November 5, 2018 Share Posted November 5, 2018 Scotia passport visa infinite is probably the closest to the Sapphire Reserve card in Canada. It doesn't have some of the bigger perks ($300 in hotel credit, lounge passes are limited, etc) but it's a good card. Reward not as good as chase either, I don't think. It is also one of the very few in Canada with no foreign fees, as per this comparison. http://www.rewardscanada.ca/cccompare-all.html I do think if IBKR can make its account a one stop shop for people that will increase their customer stickiness. Link to comment Share on other sites More sharing options...
KCLarkin Posted November 5, 2018 Share Posted November 5, 2018 Chase Saphire is a Visa Infinite card. From what I remember when I looked at cards a few months back, the Visa Infinite cards from Scotia and TD were very similar to Chase Saphire. The advantage of IBKR over a credit card is: - You pay margin interest rates (<3%) instead of credit card rates (~20%) - You earn fairly high interest on cash balances over $10,000 (peso rate is 3.7%) Link to comment Share on other sites More sharing options...
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