I don’t understand why the spreads today on a number of stocks is very wide. I thought the spread increase was only supposed to affect CFD accounts. Can someone please clarify.
Case in point, TMDI & INOD
@Keng That’s not possible since we don’t markup the spread on Invest, it’s illegal. Whatever you see is the best raw exchange price out there.
It could be because today is extremely volatile with heavy panic.
hmmm…okay. I hope it won’t be the same case when markets stabilise
Could be. Let’s wait and see.
Its all to do with the stimulus
Hey David,
How do you campare and say that it’s the best exchange out there?
While using both T212 and IG, the differences on spreads between those 2 are big and also on IG the spreads tend to change almost every second (usually to lower levels) while on T212 stays stable on high levels and when we notice that spread might lower and place order, it gets again the higher spread.
Well not a genius on how this works, but maybe the relevant team should check the how frequent prices are updated so we don’t get caught on higher spreads…
The quotes shown and the placing of the orders are two separate things.
The quotes are via Bloomberg and the orders go through IB to the exchange.
The spread is the raw spread so is indicative for the ask and bid at that specific time. And even it showed 5 as the ask, and it was really around 3, you would only pay 3.
As for the consistency of the quotes they pull in via Bloomberg automatically.
These are much slower in updating in the app than directly looking at the order book say via WeBull but they are pretty good overall.
These are always indicative so you’ll get what it is at the time.
The main disappointment with the Bloomberg feed is AIM is truly awful, sometimes it’s weeks between quotes whilst checking on legacies like AJ Bell which also have a raw spread they are to the minute and consistent.
I’m hoping T212 like @David can provide an update about their work to improve them.
@David you can for the last couple of days it’s gone back to being ok. But you can will this screenshot the massive gaps between dates, where it was perfectly fine on other brokers.
Is it also illegal for OTC trades?
It’s illegal in the U.K. / EU for any trades.
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