[Justin1980]

Sorry if this has been convered. Did a quick search and could find it. Then again, i couldn't get the function to work right anyhow.

So looks like the fee's for options are going up in order to "keep up with industry standards..."?
What? I thought that was half the bonus with questrade.... that their commissions were cheaper?

Should we expect other transactions to go industry standards as well? ie commissions for stock purchases and sales go from $4.95 up to $28.95 like my Royal Bank account?

Important note regarding options fees
Starting October 7th, 2013, in keeping with industry standards, the price for all option assignments is increasing to $24.95. Our commission for option trades is still $9.95 + $1 per contract, or with the Questrade Advantage, $6.95 + 75¢ per contract.

 

[humble_pie]

if i were a questrade client, i'd worry not.

that $24.95 assignment fee is one of the lowest in canada.

they're not raising their options commish, so dinna fret ye.

 

[HaroldCrump]

Well, they have recently introduced support for a whole slew of multi-legged option trades.
They even have training videos on their website.
Someone's gotta pay for that, ya know :biggrin:

It makes sense to me...they have made this investment and now need to generate the returns.

And yes, as humble_pie said, it is still lower than the assignment commissions at all the major brokerages.
For instance, Scotia iTrade charges the full agent handled commission + the per contract trading fee ($1.95).

 

[humble_pie]

it [questrade new 24.95 assignment fee] is still lower than the assignment commissions at all the major brokerages.

For instance, Scotia iTrade charges the full agent handled commission + the per contract trading fee ($1.95)

oh, no. The full agent commish plus a per contract fee? read this & weep.

the TD is charging a flat $43 for assignments.

we hear that IB, at least in canadian accounts, charges nothing for assignments.

PS what is that dainty little ($1.95) doing there? is that the per contract charge at scotia? omg weep more tears. At td & bmo this is $1.25 which is already plenty steep enough imho.

(signed)
therevolutioniscoming

 

[HaroldCrump]

oh, no. The full agent commish plus a per contract fee? read this & weep.
PS what is that dainty little ($1.95) doing there? is that the per contract charge at scotia? omg weep more tears. At td & bmo this is $1.25 which is already plenty steep enough imho.

I'm sorry, it is indeed $1.25 per contract fee at Scotia iTrade, not $1.95.

But I am certain that assignment fee is the full agent commission plus the per contract fee of $1.25.
I had specifically asked them.

Fortunately, I have not been assigned (or put'ed) yet so I can't confirm this with 100% certainty, but it will probably happen sooner or later.

Agent commission is $45 at iTrade.
So total will be $45 + $1.25 per contract.

 

[avrex]

Option Commissions comparison

1. Options at Interactive Brokers cost 0.70 per contract.
2. Meanwhile at the Canadian banks (TDW, Scotia iTrade, etc.) the cost is $9.99 + $1.25/contract.
3. And at Questrade the cost is $9.95 + $1 per contract.

For example, 5 US equity option contracts would cost.
1. Interactive Brokers (IB) = $ 3.50
2. Canadian Banks = $ 16.24
3. Questrade = $14.95

 

[MrMatt]

1. Options at Interactive Brokers cost 0.70 per contract.
2. Meanwhile at the Canadian banks (TDW, Scotia iTrade, etc.) the cost is $9.99 + $1.25/contract.
3. And at Questrade the cost is $9.95 + $1 per contract.

For example, 5 US equity option contracts would cost.
1. Interactive Brokers (IB) = $ 3.50
2. Canadian Banks = $ 16.24
3. Questrade = $14.95

What about Virtual brokers or others?

Actually I'm thinking of going to a super discount broker with my "play money", any recommendations?

 

[metatheta]

Options at Interactive Brokers cost 0.70 per contract.

I find IB very inconsistent on their commissions.

Just today I bought a 2 lot vertical call spread and was charged 7 cents. The first spread was charged 64 cents then the second spread was rebated 57 cents. A total commission charge of 7 cents. I said WTF, I'll take it.

 

[Jungle]

If I recall questrade also doubled the interest rate on their margin a year ago to a now 6%, the fx rate has doubled or tripled in some accounts, they have and option now to use your tfsa as collateral for more leverage, they do charge ecn fees on larger lots so they are trying other things before raising the base commission up.

 

[Justin1980]

Thanks for all the input guys.
I do realize of course they're a business, offering an increased number of services etc, which demands increased dollars. I suppose my issue, however, was quite specifically their statement which provided the reasoning for the increased rates, which is "...keeping up with industry standards."

Myself personally; i chose them because i like $4.95 trades. And so if they keep up all around, that rate may also go up. But, i suppose such is life and if i don't like it, i can leave.

Thanks all.

 

[Fain]

oh, no. The full agent commish plus a per contract fee? read this & weep.

the TD is charging a flat $43 for assignments.

we hear that IB, at least in canadian accounts, charges nothing for assignments.

PS what is that dainty little ($1.95) doing there? is that the per contract charge at scotia? omg weep more tears. At td & bmo this is $1.25 which is already plenty steep enough imho.

(signed)
therevolutioniscoming

Canadian IB accounts can still charge exercise commission on USD assignment.

https://www.interactivebrokers.com/en/index.php?f=otherFees&p=exercise


Signed
The King of Prussia