Options Commissions
We're curious what people are paying for commissions for options trades, either in your club or personal accounts.
What do you consider a good rate?
Are there reasons other than commission rate that you have chosen one broker over another?
Thank you in advance for any feedback on this.
--
Laurie Frederiksen
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What do you consider a good rate?
Are there reasons other than commission rate that you have chosen one broker over another?
Thank you in advance for any feedback on this.
--
Laurie Frederiksen
Invest with your friends!
www.bivio.com
Become our Facebook friend! www.facebook.com/bivio
Follow us on twitter! www.twitter.com/bivio
I now pay $8 per trade + $.75 per contract; I negotiated with TDAmeritrade due to the # of trades I do, but was not able to get it down to $7 as some others have, since "I don't trade enough for that level of discount"
I chose TDAmeritrade on Mary Ann Davis' recommendation in her InvestEd Options courses, and have been happy. The interface was better than Scottrade's, at least as a beginner.
ETana
--
- Etana
I chose TDAmeritrade on Mary Ann Davis' recommendation in her InvestEd Options courses, and have been happy. The interface was better than Scottrade's, at least as a beginner.
ETana
On Mon, Nov 28, 2011 at 1:33 PM, Laurie Frederiksen <laurie@bivio.biz> wrote:
We're curious what people are paying for commissions for options trades, either in your club or personal accounts.
What do you consider a good rate?
Are there reasons other than commission rate that you have chosen one broker over another?
Thank you in advance for any feedback on this.
--
Laurie Frederiksen
Invest with your friends!
www.bivio.com
Become our Facebook friend! www.facebook.com/bivio
Follow us on twitter! www.twitter.com/bivio
--
- Etana
Thanks Etana,
Do you also pay another fee if you exercise an option or it is assigned to you?
--
Laurie Frederiksen
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www.bivio.com
Become our Facebook friend! www.facebook.com/bivio
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Do you also pay another fee if you exercise an option or it is assigned to you?
--
Laurie Frederiksen
Invest with your friends!
www.bivio.com
Become our Facebook friend! www.facebook.com/bivio
Follow us on twitter! www.twitter.com/bivio
Laurie,
Is that a rhetorical question?
I believe the answer is yes for all brokerage houses for any simple CC or Cash Secured PUt.
.... unless you roll out or up the option, or do a complex option like a spread, in which case you just pay the add'tl contracts fees.,
I
now pay $8 per trade + $.75 per contract; I negotiated with
TDAmeritrade due to the # of trades I do, but was not able to get it
down to $7 as some others have, since "I don't trade enough for that
level of discount"
I chose TDAmeritrade on Mary Ann Davis' recommendation in her InvestEd Options courses, and have been happy. The interface was better than Scottrade's, at least as a beginner.
ETana
Is that a rhetorical question?
I believe the answer is yes for all brokerage houses for any simple CC or Cash Secured PUt.
.... unless you roll out or up the option, or do a complex option like a spread, in which case you just pay the add'tl contracts fees.,
On Mon, Nov 28, 2011 at 3:41 PM, Laurie Frederiksen <laurie@bivio.biz> wrote:
Thanks Etana,
Do you also pay another fee if you exercise an option or it is assigned to you?
--
Laurie Frederiksen
Invest with your friends!
www.bivio.com
| 2:22 PM (1 hour ago)
 | | ||
| ||||
I chose TDAmeritrade on Mary Ann Davis' recommendation in her InvestEd Options courses, and have been happy. The interface was better than Scottrade's, at least as a beginner.
ETana
I trade at three brokers:
Fidelity - Normal is $7.95 per trade and .$.75 per contract - after negotiations they have reduced my base trade cost to $6.95. Options that are exercised carry the normal trade commission ($7.95 now $6.95).
Schwab - Normal is $8.95 per trade and $.75 per contract - after negotiations they have reduced my base trade cost to $5.95 and $.50 per contract. Options that are exercised carry the normal trade commission ($8.95 now $5.95).
OptionsHouse - $5 per trade for 1-5 contracts. from 6-10 $5 plus $1 per contract over 5. Above 10 contracts I believe it goes to $10 plus $.50 per contract over 10 (but this needs to be verified).
Hope this helps,
Paul Madison
Fidelity - Normal is $7.95 per trade and .$.75 per contract - after negotiations they have reduced my base trade cost to $6.95. Options that are exercised carry the normal trade commission ($7.95 now $6.95).
Schwab - Normal is $8.95 per trade and $.75 per contract - after negotiations they have reduced my base trade cost to $5.95 and $.50 per contract. Options that are exercised carry the normal trade commission ($8.95 now $5.95).
OptionsHouse - $5 per trade for 1-5 contracts. from 6-10 $5 plus $1 per contract over 5. Above 10 contracts I believe it goes to $10 plus $.50 per contract over 10 (but this needs to be verified).
Hope this helps,
Paul Madison
Firstrade.com is $6.95/trade + $.75/contract + $.03 for the new SEC fee if it's a "sale", totaling $7.73 for one contract. We don't "buy" puls or calls so I don't know if the $.03 applies in that direction.
Lynn Ostrem
Crow River Investment Club
Thank you everyone, for your input on this. It sounds like it costs around $8 or $9 total to make a trade.
I see that you have negotiated lower prices when you could. Do you find that a couple of dollars plus or minus makes a significant difference in your returns?
--
Laurie Frederiksen
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I see that you have negotiated lower prices when you could. Do you find that a couple of dollars plus or minus makes a significant difference in your returns?
--
Laurie Frederiksen
Invest with your friends!
www.bivio.com
Become our Facebook friend! www.facebook.com/bivio
Follow us on twitter! www.twitter.com/bivio
I do a lot of option trades. On average my net gain on a contract is $173.
I typically sell and then buy back when the premium drops to a low remaining APR so saving a $1 on the front end and $1 on the back end, is over 1% on the trade.
In the big picture it is small money but small money over the long term adds up.
Paul Madison
I typically sell and then buy back when the premium drops to a low remaining APR so saving a $1 on the front end and $1 on the back end, is over 1% on the trade.
In the big picture it is small money but small money over the long term adds up.
Paul Madison