Interactive Broker

[Gavishti]

Carlton,

Fees are on a per trade basis. For example, if you buy one ES contract the bundled fee is $2.40. When you sell there will be another $2.40. It doesn't matter if it is 2 seconds later or two weeks later. Unbundled fees work a bit different but that is only for high volume traders.

In the case of partial fills on stocks IB figures out the total number of shares traded and counts it as one transaction for commission calculation purposes. Of course that is in a single session. Doesn't carry over to the next day. If you modify the order before it is filled you will be charged based on what has been filled. The modified order will be counted as a new order.

[cpatte7372]

Steve,

If that is the case then I'm a little confused.

I just sold one share of cci @ $13.38 + $1commission @ market. I then checked my statement in IB and it states that I have an unrealized profit of -$2.56.

This would suggest to me that the market price at which I sold it should have been $11.32 (14.38 - 2.56 = 11.32) However, when I check the charts to see how low the price had dipped today I notice that it had not reached as low as $11.32.

I wonder if you could help shed some light on this situation.

Cheers

Carlton

[cpatte7372]

Gavishti

Are you therefore saying that because I held these shares for 2 days that I'm charged $2?

Thx

[cpatte7372]

Steve,

Following on from my last question, is it possible to see in the IB statements exactly what price the shares were sold at? I'm still a little confused why I acquired a realized profit of - $2.56 when the shares cost $13.38 + $1 commission. Especially since the price has not dipped to $11.82 i.e. 14.38 - 2.56 = $11.82.

Thank you.

Carlton

[cpatte7372]

I suppose I'll have to get in touch with IB on this is issue.

Thanks for your help anyway.

Carlton

[Gavishti]

Carlton,

If you bought one share of stock you paid $1.00 in commission at the time of purchase. When you sold it you paid another $1.00 in commission. The $1.00 is the minimum. Had you traded 100 shares, the fees would have been the same.

When you say statement are you looking at your account in TWS or the actual settled statement?

Hopefully this will help:

• buy 1 share of XYZ at $15.00
• commission of $1.00
• net cost $16.00
• sell 1 share of XYZ at $20.00
• commission of $1.00
• net profit after fees $3.00

Had you traded 100 shares your fees would have been the same and your net would have been $498.00.

$500.00 - $1.00 - $1.00 = $498.00
vs.
$5.00 - $1.00 - $1.00 = $3.00

[cpatte7372]

Originally posted by cpatte7372
My next question is so silly that I'm almost embarrassed to post it, but would I be correct in saying that the costs mentioned is just the cost for purchasing the shares? Would there be an additional cost of $1.01 and $1.50 for selling the shares?

Gavishti

Thanks for responding. I actually agree with what you mentioned(see above) However, Steve said that is not the case. He said that there is only one fee.

The plot thickens

[Guest]

Carlton,

there is one commission when you buy, then one commission when you sell

[cpatte7372]

Got yer.

Thanks guys. As I mentioned, I know it was a silly question but I'm new to this game.

I fully understand now.


Thanks again for your help.

Carlton