OPTIONS TRADING...
Peter's last estimate for options trading was 3Q98:
exchange2000.com
I, for one, would rather he take his time and get it right than rush it here, only to have it be similar to the other guys out there. I find most options trading with deep discount brokers on the Web to be abysmal. I've had accounts with Ameritrade, NDB, and Discover/Lombard and I've regularly followed comments from others on the performance of their brokers, including Dreyfus, Regal, E-TRADE, etc...
The problem seems to be mostly in reporting, not necessarily execution. I typically have to wait easily more than 10 minutes for a report back on an options execution, even though I saw the trade go through within a minute or two. It's like trading blind.
I don't think there is an online broker today that has automated options routing, but I wouldn't be surprised to see DATEK do it, at least for RAES eligible orders. Perhaps there are a lot of technical hurdles to overcome here, perhaps not....I have no idea.
Disputes about customer service and other problems aside, DATEK is all about trying to give us little guys more power. Now that all NASDAQ stocks are traded with the new limit order rules, I can better the market with my DATEK account and see that bid or offer reflected in the real time bid or ask within a couple of seconds. I have used this to my advantage on countless occasions, even if just to get a market maker to move their offers. Hits on ISLD can be nearly instantaneous, although if the order has to be SOESed, it can be a bunch slower than other brokers. No other broker let's you tie your PC directly into the market for trading stock. Hopefully, DATEK will be the first to do so with options, too (at least for RAES orders).
Marc |
