TWS Users' Guide

August 2018

© 2018 Interactive Brokers LLC. All Rights Reserved

Any symbols displayed within these pages are for illustrative purposes only, and are not intended to portray
any recommendation.
Contents

Contents
Contents i

Get Started 1

Log In to TWS 2

Download Software 2

Switch between stable, Latest and Beta versions 3

Offline TWS 3

The Mosaic Interface 4

The Anchor Window 5

Layout Locked 6

Layout Unlocked 7

Mosaic Fonts 7

Create TWS Color Grouping 8

Add and Remove Fields 9

Use the Integrated Search Tool 10

The Order Entry Panel 11

The Orders Window 12

The Portfolio 13

Mosaic Market Scanners 15

Mosaic Charts 19

The Watchlist 21

TWS Guide i
Contents

Mosaic News Panel 22

Bloomberg TV News Feed 23

StockTwits News Feed 24

Today's Top Ten News 24

Company Specific News 25

Filtered News 26

Market Signals 27

IBKR Traders' Insight and IBKR Quant Blog 29

Social Sentiment 30

Portfolio or Watchlist News 30

Broad Tape News 31

Classic TWS 35

Add Market Data 35

Snapshot Quotes 37

Option Selector 38

Create an Order 39

Modify an Order 41

Using Mosaic 41

Using Advanced Order Entry 41

Transmit an Order 42

Cancel an Order 44

Add a Quote Monitor 46

TWS Guide ii
Contents

The Mosaic Interface 49

Trade in Mosaic 50

Strategy Builder 50

Advanced Orders Panel 54

Routing 55

Iceberg 56

Order Reference 56

All or None Attribute 56

Attach a Stop Loss 57

Attach a Bracket 58

Attach a Profit Taker 59

One Cancels Other 60

Attach Hedging Order 76

Check Margin 78

Pause Execution 78

Quotes and Data in Mosaic 79

Predefined Watchlists 80

Market Depth 80

Time & Sales Data 81

Price History Window 85

Option Chains 86

Option Selector 87

TWS Guide iii

Contents

The Quote Details Window 89

FX Matrix 90

SLB (Stock Loan Borrow) Rates 91

Technical Analytics 92

Portfolio Builder 93

Portfolio Performance Profile 96

To use the Performance Portfolio Profile 97

Predefined Mosaic Market Scanners 97

Mosaic Market Statistics 101

Advanced Market Scanner 103

Complex Orders and Trades Scanner 104

Mutual Fund/ETF Replicator 105

Options Analysis 107

Volatility Lab 107

Volatility Lab 107

Implied Volatility Tab 108

Historical Volatility Tab 110

Industry Comparison 111

Volatility Over Time 113

Volatility Skew 115

Probability LabSM (Patent Pending) 117

Option Strategy Lab 119

TWS Guide iv
Contents

Order Entry 121

Analyze Strategies in the Scanner 122

Analyze the Price Target 122

Compare Strategy Performance 123

Strategy Detail 124

Option Activity 125

Option Analytics 127

Option Analytics Greeks 130

Option Analytics P&L 131

Option Analytics 132

Strategy Performance Graph 135

Portfolio Analyst 137

Wall Street Horizon Data 137

The Toolbox 139

Information System 140

Event Calendars 140

Daily Lineup 141

Fundamentals 142

Analyst Ratings (Summary) 144

Ownership Tear Sheet 145

Analyst Research 147

Analyst Actions 147

TWS Guide v
Contents

Recent Publications 148

Trading Tools 151

BasketTrader 155

Transmit a Basket Order 156

Create a Basket File in TWS 157

Manually Create a Basket File 159

Basket Fields 161

BookTrader 165

Open BookTrader 166

Trade with BookTrader 167

BookTrader Quantity Multipliers 170

BookTrader Order Handling 171

BookTrader Hotkeys 174

BookTrader Colors 179

BookTrader Buttons 182

Order Type Select buttons 182

Basic Buttons panel 182

Deep Book buttons 183

ChartTrader 183

Open ChartTrader 184

Create and Transmit Chart Orders 185

ComboTrader 187

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About Combination Orders 187

Create a Combination Order 191

Guaranteed and Non-Guaranteed Combo Orders 195

Using the ComboTrader 195

Multiple combos 195

Strategy combo 196

Advanced Combo Routing 199

Advanced Combo Routing Fields (available based on selected Order Type): 201

Transmit a Combination Order 202

Notes on Combination Orders 203

EFPs 204

Relevant EFPs 204

Introduction 204

EFP Futures Spreads 206

FXTrader 207

The FXTrader Window 208

The FXTrader Trading Cell 209

Using the FXTrader 210

The Integrated Stock Window 212

Quote Panel 212

Book Data Panel 213

ISW Buttons Panel 215

TWS Guide vii

Contents

Order Entry Panel (OEP) 216

Auto Orders 218

ISW Order Entry Sub Panels 220

Market Depth 222

Market Depth Trader 222

NOTES 223

Market Depth Trader for Bonds 224

Market Depth Buttons Panel 225

Create an Order 226

Merger Arbitrage Window 228

OptionTrader 230

Using the OptionTrader 231

Loading Option Chains 233

OptionTrader Strategy Builder 234

The Button Panel 236

OptionTrader Statistics 237

OptionTrader 239

Settings 240

The Order Ticket 242

Basic 242

Advanced Combo Routing 248

Advanced Combo Routing Fields (available based on selected Order Type): 250

TWS Guide viii

Contents

Adjustable Orders 251

Scale Orders 254

Pegged Orders 258

Volatility Trading 259

Conditional 263

Miscellaneous 265

Pre-Borrow Shares for Shorting 270

About Pre-Borrows 270

Eligibility 270

The Pre-Borrow Market 270

Rates and Fees 270

Transaction Information 271

Create a Pre-Borrow Order 271

Short Sales on a Pre-Borrow 272

Pre-Borrow Returns 273

Order Quantity Calculator 274

Determine Order Quantity 274

Calculate Order Quantity 275

Rapid Order Entry 278

Enter Orders using Rapid Order Entry 278

Update Multiple Orders 280

Which orders 281

TWS Guide ix
Contents

Set Type and Time in Force 282

Set Price Parameters 282

Validation 282

Create "Instantaneous Transmit" Hot Key 282

Rebalance Your Portfolio 283

The Rebalance Window 284

Import and Export Positions to Rebalance 285

Rebalance for Advisors 289

SpreadTrader 291

Create Futures Spreads with SpreadTrader 291

EFP Futures Spreads 294

Create Option Spreads in SpreadTrader 296

TWS Blotter 298

Using the TWS Blotter 299

Understand the Blotter Interface 300

Manual Ticket Entry 302

Advisor Allocations 305

Receive Electronic Tickets 305

Use Color Grouping to Link Blotter Windows 308

Using the Tickets Panel 309

Using The Orders Panel 311

What is an Away Destination? 313

TWS Guide x
Contents

Manage Orders with TWS Algos and Tools 317

Reading the Trades Panel 318

Display Orders by Filter Criteria 318

Order Sharing Modes 320

Configure the Blotter Panels 322

Trade Volatility 325

Volatility Trading 325

Attach a Delta Hedge Order 328

Volatility Trading 330

Write and Roll Options 333

Write Options 333

Write/Roll Options: Option Chains 335

Rollover Options 336

Algorithmic Trading 339

Accumulate Distribute Algo 343

Get Started 343

Define the Algorithm 346

Basic Algorithm Example 349

Using Templates 350

Save Settings as a Template 350

Define Algo Conditions 350

Create Multiple Algo Orders 352

TWS Guide xi
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Transmit and Modify the Algo 353

Monitor the Order Progress 354

About IB Algos 354

About IB Algos 356

Adaptive Algo 357

Arrival Price 359

Close Price Strategy 360

Dark Ice 361

Percentage of Volume Strategy 362

Price Variant Percentage of Volume Strategy 364

Size Variant Percentage of Volume Strategy 365

Time Variant Percentage of Volume Strategy 366

TWAP 367

VWAP 368

Minimize Impact 370

Balance Impact and Risk 371

CSFB Algos 372

CSFB Auction 373

CSFB Blast 374

CSFB Close 375

CSFB Crossfinder+ 376

CSFB Float 378

TWS Guide xii

Contents

CSFB Float Guerrilla 381

CSFB Guerrilla 383

CSFB Price Inline 386

CSFB I Would 388

CSFB Lightpool 391

CSFB Pathfinder 392

CSFB Pre/Post 393

CSFB Reserve 394

CSFB Sniper 397

CSFB Tex 399

CSFB TWAP 401

CSFB Volume Inline 404

CSFB VWAP 406

Jefferies Algos 409

Jefferies Blitz 410

Jefferies DarkSeek 411

Jefferies Finale 414

Jefferies Multi Scale 416

Jefferies Opener 419

Jefferies Pairs - Net Returns 422

Jefferies Pairs - Ratio 423

Jefferies Pairs - Risk Arb 425

TWS Guide xiii

Contents

Jefferies Patience 427

Jefferies Portfolio 430

Jefferies Post 433

Jefferies Seek 435

Jefferies Strike 438

Jefferies Trader 441

Jefferies TWAP 443

Jefferies Volume Participation 447

Jefferies VWAP 450

Option Portfolio 453

Get Started 454

Define and Submit the Query 456

Constrain the Query Results 461

Evaluate the Solution 462

View What-if Risk in the IB Risk NavigatorSM 463

ScaleTrader 467

About ScaleTrader 468

ScaleTrader Summary and Status 469

Basic Scale Orders 470

Example 1: Basic Scale Order 473

Basic Scale with Profit Orders 474

Example 2: Scale order with Profit-Taking Orders 477

TWS Guide xiv

Contents

Scale Profit Orders with Initial Component 479

Example 3: Scale with Profit and Initial Component size 482

Scale Profit with Restore Size 484

Example 4: Scale order with Restore Size 487

Example 5: Restart ScaleTrader 489

Example 6: Restart ScaleTrader with Filled Initial Component Size 490

ScaleTrader for Pairs 491

Use the ScaleChart 493

View Scale Progress 495

Scale Order Examples 496

Combo Orders 497

ScaleTrader Summary 498

Order Types 503

Basic Order Types 506

Limit 507

Limit if Touched 508

Limit-On-Close 509

Market 510

Market if Touched 511

Market-On-Close 511

Market-to-Limit 512

Stop 513

TWS Guide xv
Contents

Stop Limit 514

VWAP 515

Advanced Order Types 515

Auto Trailing Stop 517

Bracket 518

Box Top 520

Conditional 520

Funari Orders 522

IBDARK Orders 523

Iceberg/Reserve 524

Limit + Market 525

Market with Protection 526

Minimum Quantity 526

NYSE Closing Auction D-Quote 527

Passive Relative 528

Pegged-to-Market 529

Pegged to Midpoint 530

Pegged to Stock 531

Pegged to Benchmark 533

Price Improvement Auction 534

Relative/Pegged-to-Primary 535

Relative + Market 537

TWS Guide xvi

Contents

Retail Price Improvement Orders (RPI) 538

Snap to Market 539

Snap to Midpoint 540

Snap to Primary 541

Stop Order with Protection 542

T + 1 Stock Settlement 543

Trailing Stop 544

Trailing Stop Limit 546

Trailing Market if Touched 547

Trailing Limit if Touched 548

Trailing Limit + Market 550

Trailing Relative + Market 551

Attached Orders 552

Attach a Beta Hedge Order 552

Attach a Delta Hedge Order 553

Attach an FX Order 555

Attach a Pair Trade 556

Auto Combo Limit Order 557

Auto Combo Market Order 558

Order Attributes 559

All or None (AON) 560

Block 561

TWS Guide xvii

Contents

Discretionary 561

From Mosaic: 562

From Classic TWS: 562

Hidden 563

One Cancels Other 564

One-Cancels-Other (OCO) 566

Sweep-to-Fill 567

Volatility Orders 568

Pegged-to-Primary Volatility Order 568

Pegged to Market Volatility Order 570

Pegged to Midpoint Volatility Order 571

Pegged to Surface Volatility Order 572

Volatility Trading 574

Times in Force 577

Times in Force for Orders 578

Regular Trading Hours 580

Good After Time 580

Fill or Kill 582

Auction 582

Market-on-Open 583

Limit-On-Open 584

Classic TWS Quote Monitor 587

TWS Guide xviii

Contents

Add a Quote Monitor 590

Edit a Quote Monitor 591

Close All Positions 594

Add and Remove Fields 595

Restore and Save Page Settings 596

Organize Data on a Page 597

Create a Group Header 597

Field Sorting 598

Create the Portfolio Window 599

Group By 601

View Margin Requirements for a Position 602

Use the Feature Search 603

Use Quick Data 605

Import Tickers from a File 606

Transfer Login Authentication 609

Enable Quick Stock Entry 609

Edit Dividend Schedule 611

Price and Size Wheels 613

The Price and Size Wands 614

Switch Exchange 616

Check Risk Pre-Order 617

View Futures Prices Term Structure 619

TWS Guide xix

Contents

Receive Delayed Market Data 620

Add Market Data using Class or Symbol 621

Market Data Fields 622

Market Data Fields 623

Contract Description 624

News 626

Position and P & L 627

Prices 628

High/Low/Volume/History 632

ETF Columns 637

Futures Columns 640

Options 640

Bond Columns 642

Greeks Columns 645

Auction 646

Dividend Columns 647

Fundamentals Popular 648

Fundamentals - Analyst Ratings 651

Fundamentals - Independent Ratings 652

Fundamentals Other 653

Graphic Prices 661

Wall Street Horizon Corporate Event Calendar 663

TWS Guide xx
Contents

Short Selling Fields 664

Technical Indicator Columns 666

Order Management Fields 668

Order Management Fields 669

Customized Layout 669

Mandatory Columns 671

Contract Descriptions 671

Time in Force Columns 672

Quantity Columns 673

Price-based Columns 673

Actions Columns 674

Adjustable Stop Columns 674

Volatility Columns 675

EFP Columns 675

Pegged to Stock Columns 676

Order Attributes Columns 676

Status Columns 678

Scale Order Columns 678

Trade Bonds 679

Trade US Corporate Bonds 679

Trade Treasuries 681

Trade US Municipal Bonds 682

TWS Guide xxi

Contents

Notes on Comparable Bonds 684

Trade Mutual Funds 685

Trade FX from the Trading Window 686

Realtime Activity Monitoring 691

The Account Window 692

The Account Window 693

Balances 697

Margin Requirements 700

Margin Warning 701

Available for Trading 703

Market Value - Real FX Position 706

FX Portfolio - Virtual FX Position 708

Portfolio 712

The Trade Log 717

The Trade Log 717

Introduction 717

Trades Summary 723

Single-Line Complex Positions 724

Profit and Loss 725

P&L Calculations 727

Check Margin Pre-Order 728

Performance Profile 729

TWS Guide xxii

Contents

Understanding System Colors 730

Text Colors 731

Background colors on a Market Data Line 732

Background colors on an Order Management Line 733

Order Status Colors 733

Alerts and Notifications 736

Set Price Alerts 737

Set Time Alerts 738

Set Margin Cushion Alerts 740

Set P&L Alerts 742

Set Trade Alerts 744

Set Percentage Change Alerts 746

Set Volume Alerts 747

Set up a Rebate Rate in Percent Alert 749

Create a Shortable Shares Alert 751

Assign Actions to Alerts 753

Set Price Movement Alarms 753

Set Volume Change-activated Alarm 755

Other Realtime Activity Tools 757

Pending Orders Page 757

Trader Dashboard 760

Bulletins and System Status 761

TWS Guide xxiii

Contents

Audit Trails 762

Best Price for Options using SmartRoutingSM 764

Price Risk Analytics 767

Risk Navigator 768

Understanding the Risk Navigator Interface 769

Open the Risk Navigator 770

Change Font Size 773

Risk Navigator Trader Personalities 774

Portfolio Relative P&L Graph 775

Risk Dashboard 779

Stock Yield On Demand 781

Create a Basket Hedge Order 782

Upload a Portfolio 785

Increase Memory Size for TWS 786

Find the tws.vmoptions File 787

Edit the tws.vmoptions File 788

Risk Navigator Products and Tabs 789

Equity Tab 789

Portfolio Report 790

Risk by Position Report 791

Risk by Underlying Report 792

Risk by Industry Report 793

TWS Guide xxiv

Contents

Risk by Country Report 794

Plot Data by Underlying 795

Measure by Underlying and Maturity 797

Measure by Price Change and Volatility Change 798

Portfolio Statistics Report 799

Value at Risk Report 800

P&L Pie Chart 802

Bond Tab 804

Risk by Position Report 804

Risk by Issuer 805

Risk by Industry Report 806

Risk by State Report 807

Risk by Country Report 808

Forex Tab 809

Portfolio Report 810

Risk by Position Report 811

Risk by Underlying Report 812

Plot Data by Underlying 813

Portfolio Statistics Report 815

P&L Pie Chart 816

Commodity Tab 818

Portfolio Report 818

TWS Guide xxv

Contents

Risk by Position Report 819

Risk by Underlying Report 820

Plot Data by Underlying 820

Portfolio Statistics Report 822

P&L Pie Chart 823

Money Market Tab 825

Portfolio Report 825

Risk by Position Report 826

Risk by Underlying Report 827

Plot Data by Underlying 827

Portfolio Statistics Report 829

P&L Pie Chart 830

Structured Products Tab 832

Portfolio Report 832

Risk by Position Report 833

Risk by Underlying Report 834

Risk by Industry Report 834

Portfolio Statistics Report 835

Volatility Products 836

Volatility Products Tab 837

Relationship between the Equity/Commodity tabs and the Volatility Products tab in Risk Nav-
igator: 841

TWS Guide xxvi

Contents

Aggregation of Volatility Products on the Volatility Products tab 841

Portfolio Report 842

Risk by Position Report 842

Risk by Underlying Report 843

Risk by Industry Report 844

Plot Data by Underlying 845

Portfolio Statistics Report 847

P&L Summary 848

On Demand VaR 849

Margin Sensitivity 851

Risk Navigator Reports 852

Risk Navigator Reports 852

Report Designer 853

Market Scenario Drill Through 854

Use the Industry Editor 855

Risk Navigator Menus 857

Risk Navigator Portfolio Menu 857

Risk Navigator Edit Menu 857

Risk Navigator Report Menu 859

Risk Navigator Dimensions Menu 860

Report Metrics 861

Risk Navigator View Menu 870

TWS Guide xxvii

Contents

Risk Navigator Settings Menu 871

Portfolio Beta Weighting 874

Beta Weighting in Risk Navigator 874

Reference Index for Beta Weighting 875

Edit Beta Values 876

Beta Calculation Method Editor 878

Beta Risk Fields 879

Beta Weighting in the Portfolio Relative P&L Graph 883

What-If Portfolios 886

Create a What-If Portfolio 886

Create Orders from a What If Portfolio 892

Handling Expired Positions 893

Custom Scenarios 893

Custom Scenario Examples 895

Risk Navigator Alarms 897

Risk Navigator Alarms 897

Option Portfolio Alarms in Risk Navigator 900

Option Analytics Window 901

Index Arbitrage Meter 905

Introduction 905

Implied Volatility Viewer 906

Open the Implied Volatility Viewer 906

TWS Guide xxviii

Contents

Use the Implied Volatility Viewer 907

Remote Server Mode 908

3D Volatility Surface Webtool 908

Local PC Mode 910

Options Implied Volatility Term Structure 912

Model Navigator 913

Using the Model Navigator 914

Contract Description Pane 917

Volatility Model Pane 918

Volatility Curve Table 920

Edit Interest Rates 921

Edit Dividends 922

Edit the Lending Yield 924

Edit the Volatility Profile 925

Model Price Color Key 929

Fundamental Analytics 933

Analyst Ratings (Summary) 933

Ownership Tear Sheet 934

Wall Street Horizon Data 936

Adding Fundamentals Fields to the Trading Window 939

Technical Analytics 943

Continuous Futures 949

TWS Guide xxix

Contents

To generate normalized historical data series for Continuous Futures 951

Mutual Fund/ETF Replicator 953

Time and Sales Data 954

Performance Profile 957

Virtual Securities 958

Price History 959

Market Scanners 960

Advanced Market Scanner 960

Market Scanner Types 962

US Corporate and Municipal Bond Scanners 971

Non-Subscribed Scanner Locations 975

After Hours Scanner Snapshot 976

TICK & TRIN Market Indicators 977

Charts 978

Create a Real-time Chart 979

Chart Parameters 980

Additional Data and Features 982

Highlight on Chart 984

Highlight on Y axis 985

Vertical Buffer 985

Chart Time Options 986

Thumbnail Charts 987

TWS Guide xxx

Contents

Time Period Charts 988

Automatic Charts 989

Chart Combos 990

Reposition Charts 991

Chart Multiple Assets 992

Charts - Estimated Price Range 995

Add New Chart to Existing Chart Window 997

Save a Chart Layout as a Template 999

Charting Expired Contracts 1000

Charts Toolbar 1002

Editing Charts 1008

Chart Display 1011

Move the Right Margin 1011

Add Alerts in Charts 1012

Chart Types & Tools 1014

Chart Arithmetic 1014

IChartTrader 1018

Create a Bar Chart 1020

Create a Line Chart 1021

Apply Fibonacci Trend Lines 1022

View MarketWatch Historical Charts 1023

Chart Indicators 1024

TWS Guide xxxi

Contents

Apply ADX/DMI Indicator 1029

Accelerator/Decelerator Indicator 1031

Apply an Accumulation/Distribution Line 1033

Apply an Accumulation Swing Index Study 1034

Adaptive Moving Average 1035

Arnaud Legoux Moving Average 1036

Apply an Aroon Oscillator Indicator 1037

1038

Apply an Aroon Up/Down Indicator 1038

Apply an Average True Range Indicator 1040

Awesome Oscillator 1041

Balance of Power Indicator 1043

Bill Williams Alligator 1044

Bill Williams Alligator Oscillator 1045

Apply Bollinger Band Indicator 1046

Bollinger Band Width Indicator 1048

Apply Chaikin Money Flow Oscillator 1049

Apply a Chaikin Oscillator 1050

Chaikin Volatility Indicator 1051

Chande Kroll Stop 1052

Chande Momentum Oscillator 1054

Choppiness Index 1055

TWS Guide xxxii

Contents

Chop Zone 1056

Connors RSI 1057

Coppock Curve 1058

Chande Volatility Index Dynamic Average (VIDYA) 1059

Apply a Commodity Channel Indicator (CCI) 1060

Detrended Price Oscillator 1061

Departure Chart 1062

Directional Movement Index 1063

Apply a Donchian Channels Indicator 1064

Apply a Donchian Channel Width Indicator 1066

Apply a Double Exponential Moving Average (DEMA) 1067

Ease of Movement Indicator 1068

Apply an Elder-Ray Indicator 1069

Apply Envelope Indicator 1071

SMI Ergodic Oscillator 1072

Apply Exponential Moving Average Indicator 1073

Fast Stochastic Oscillator 1074

Fisher Transform Indicator 1076

Force Index 1077

Apply High Low Bands 1078

Historical Volatility Ratio 1079

Hull Moving Average 1080

TWS Guide xxxiii

Contents

Ichimoku Cloud 1081

Intraday Intensity Index Indicator 1082

Intraday Intensity Percent 1083

Apply a Keltner Channel Indicator 1085

Klinger Volume Oscillator 1086

Apply a Know Sure Thing (KST) Indicator 1087

Lane's Stochastic Oscillator 1090

Least Squares Moving Average 1091

Linear Regression Curve 1092

Linear Regression Indicator 1093

Linear Regression Intercept 1095

Linear Regression R-Squared 1095

Linear Regression Slope 1096

Apply MACD Indicator 1097

Apply a Mass Index Indicator 1099

McGinley Dynamic 1100

Apply a Momentum Indicator 1101

Moving Average Crossover 1102

Apply a Moving Standard Deviation Indicator 1104

Apply a Negative Volume Index Indicator 1105

Net Volume Indicator 1107

Apply an On Balance Volume Indicator 1108

TWS Guide xxxiv

Contents

Apply Parabolic SAR Indicator 1109

Percentage Price Oscillator 1111

Percentage Volume Oscillator 1112

Percent B Indicator 1113

Performance Indicator 1114

Pivot Points 1116

Pivot Points High/Low 1117

Apply a Positive Volume Index (PVI) Indicator 1118

Price Oscillator 1120

Price Volume Trend Indicator 1121

Raff Channel Indicator 1121

Apply Rate of Change Indicator 1123

Relative Momentum Index 1124

Apply a Relative Strength Indicator 1125

Relative Vigor Index 1126

Relative Volatility Index 1127

Stochastic RSI Indicator 1128

Apply Simple Moving Average Indicator 1130

Slow Stochastic Oscillator 1131

Standard Deviation Channel 1132

Apply a Stochastic Oscillator Indicator 1133

Swing Index 1134

TWS Guide xxxv

Contents

Apply a Triangular Moving Average (TMA) Indicator 1135

Apply a Triple Exponential Moving Average (TEMA) Indicator 1137

TRIX Indicator 1138

True Strength Index 1139

Typical Price Indicator 1141

Apply an Ultimate Oscillator Indicator 1142

Variable Moving Average 1143

Vertical Horizontal Filter 1145

Volatility Stop 1146

Volume Exponential Moving Average 1147

Apply a Volume * Price Momentum Oscillator (PMO) Indicator 1148

Volume Oscillator 1150

Volume Rate of Change Indicator 1151

Volume Weighted Moving Average 1152

Vortex Indicator 1153

Wilder's Moving Average 1154

Apply a Williams Oscillator Indicator 1155

Weighted Close 1157

Apply Weighted Moving Average Indicator 1158

Zig Zag Indicator 1159

Bond Indicators 1160

Bond Search Query 1160

TWS Guide xxxvi

Contents

Using the Query Criteria 1161

Bond Search Scatter Plot 1164

Bond Details Table 1165

Export Bond Details to Risk Navigator 1166

Using Global Configuration 1169

General Configuration 1170

General 1171

P&L Time Zone 1172

Browser 1173

Language and Region 1173

Table editing 1173

Configure Auto Export 1173

HotKeys 1175

Configure Lock and Exit Parameters 1181

Exit Options 1182

Auto Logoff Timer 1182

Display TWSMessages 1183

Assign Sounds to Events 1184

Configure Volatility and Analytics Settings 1185

Volatility 1186

Analytics 1187

eSignal Market Data 1188

TWS Guide xxxvii

Contents

Connectivity 1189

Market Data 1189

Quick Stock/Bond Entry Exchange Configuration 1189

API Configuration 1191

API Settings 1191

General 1192

Trusted IP Addresses 1193

API Precautions 1193

Display Configuration 1195

Display Settings 1195

Display Settings 1196

Windows Handling 1197

Page Handling 1198

Tooltips 1198

Blink "Trades" toolbar icon after trades 1198

Options Colors 1199

Style Settings 1199

Ticker Row Settings 1200

Ticker Row Settings 1202

Home Exchange 1202

Fixed Income Minimum Size Increment 1202

Fixed Income Pricing 1203

TWS Guide xxxviii

Contents

Forex Size Display Settings 1203

Position and P&L Display Settings 1203

Complex (Multi-Leg) Positions 1204

Borrow/Loan Rate Format 1205

Volume Column Display Settings 1205

Market Data 1205

Date Formats Configuration 1206

Toolbar 1207

Configure Trading Tools 1209

Accumulate/Distribute 1209

BasketTrader 1211

BookTrader 1212

Components 1213

Price Ladder Status Column 1213

Price Ladder Order Control 1213

Re-center 1214

Hotkeys 1215

Buttons 1215

Quote Panel 1215

Order Columns 1216

Trade columns 1216

BookTrader Colors 1216

TWS Guide xxxix

Contents

BookTrader Sound Manager 1216

FXTrader 1216

Settings Page 1218

Components 1218

General 1218

Position Information and Cell Layout 1218

OptionTrader 1219

Settings 1220

Portfolio Window 1221

Settings 1221

Trade Columns 1222

Order Management 1222

Market Value 1222

Configure the Quote Monitor 1222

Create a Page Layout 1222

Apply a Page Layout 1223

Edit a Page Layout 1225

Display Market Data Columns 1227

Configure Columns 1229

Display Order Management Columns 1230

Rearrange Trading Page Columns 1232

Change Background and Text Colors 1233

TWS Guide xl
Contents

Modify Rapid Order Entry Settings 1234

1237

Configure Information Tools 1237

Configure Alerts 1237

Hotkeys 1239

Configure Alerts 1239

Hotkeys 1241

Configure Market Depth 1241

Settings 1242

Components 1242

Configure News Feeds 1243

Time & Sales 1245

Trader Dashboard 1245

Configure Charts 1247

Charts Settings 1247

Display 1248

Create multiple charts as 1250

Layout 1250

Highlight on ... 1251

What to show when switching contract 1252

Trendlines 1252

Tooltips 1253

TWS Guide xli

Contents

Graphical position indicator 1254

Order Display 1255

Miscellaneous 1255

Charts Toolbar 1258

Charts Colors 1258

Charts Quote Zone 1260

ChartTrader 1261

Orders 1262

Orders - Default Settings 1262

Configure SmartRouting 1265

Routing Configuration 1267

Seek Price Improvement 1267

Pre-Open Re-route 1267

SMART Stock Routing Algorithms 1268

SMART Option Routing Algorithms 1268

Configure IB Algo Favorites 1269

Order Presets 1269

About Order Presets 1270

The Hierarchy 1270

Create Order Presets 1273

Define Order Preset Values 1276

Primary Order Settings 1277

TWS Guide xlii

Contents

Scale and Adjusted Stop Fields 1280

Target Order (Profit-taker) Settings 1282

Attached Stop Order Settings 1283

Miscellaneous Defaults for Presets 1285

OCA Group Defaults 1288

Define Precautionary Settings 1289

Algorithm Settings 1291

Default Display Settings 1291

Using Presets from the Trading Window 1293

Modify the Stop Trigger Method 1295

Configure the Account Window 1298

Features 1299

Introduction 1299

Open the Feature Selector 1299

Enable Features through Menus 1301

Workspaces and Panels 1302

Introduction 1302

Menus 1305

Mosaic Menus 1305

Classic TWS Menus 1305

Simplified View for Classic TWS Menus 1305

Mosaic Menus 1306

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Mosaic File Menu 1307

Mosaic Account Menu 1308

Mosaic Help Menu 1311

Classic TWS Menus 1313

Classic TWS File Menu 1314

Classic TWS Edit Menu 1316

Classic TWS Trade Menu 1318

Classic TWS Account Menu 1320

Classic TWS Trading Tools Menu 1322

Classic TWS Analytical Tools Menu 1325

Classic TWS View Menu 1329

Classic TWS Help Menu 1330

Classic TWS Right-Click Menu from a Blank Line 1332

Classic TWS Right-Click Menu from a Market Data Line 1335

Classic TWS: Right-click on an Order Management Line 1339

Simplified View TWS Menus 1342

Simplified TWS: File Menu 1343

Simplified TWS: Trade Menu 1345

Simplified TWS: Account Menu 1347

Simplified TWS: Help Menu 1349

Exercise and Rollover 1353

Automatic Rollover of Expiring Futures Contracts 1353

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Option Exercise with Notifications 1354

Notification of Dividend-Related Early Exercise 1356

Display of Short Positions 1356

Exercise Options - Manual File 1356

Allocations and Transfers 1361

Soft Dollar Commission Tiers 1361

FTP File Instructions 1363

Sample Trade File 1364

Stocks 1364

Options 1364

OSI Details 1365

Futures, Future Options and Single Stock Futures (SSFs) 1365

HK Stocksfile 1367

NOTES: 1368

WinSCP – Store Session 1368

Give-up 1370

IBExecution Services 1370

IBExecution Services from an Order Line 1372

Configure a Default Give-Up 1373

Short Sale Confirmation 1375

Pre-Trade Allocations 1376

Create an Order for Multiple Clients 1377

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Allocating Shares 1378

Rebalance for Advisors 1379

Edit Inline Profile on Rebalance 1381

Create an Account Group for Share Allocation 1382

Create a Share Allocation Profile 1385

Import and Export Groups and Profiles 1387

Edit a Share Allocation Profile 1392

Set Default Allocations 1393

Default Clearing for Allocation Profiles 1394

Model Portfolios 1399

Set up a Model Structure 1400

Initial Funding and Populating 1401

Establish Target Percent Allocations 1401

Fund a Model 1403

Purchase Model Investments 1406

Models and Positions 1408

Invest in a Model 1410

Invest in Multiple Models 1410

Divest Funds from a Model 1413

Withdraw Cash from a Model 1415

Rebalance a Model 1416

Reallocate Client Funds Among Models 1418

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Monitor Model Activity 1420

Delete a Model 1421

Index 1424

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Chapter 3

Get Started
Log In to TWS 2

The Mosaic Interface 4

The Anchor Window 5

Mosaic Fonts 7

Create TWS Color Grouping 8

Add and Remove Fields 9

Use the Integrated Search Tool 10

The Order Entry Panel 11

The Orders Window 12

The Portfolio 13

Mosaic Market Scanners 15

Mosaic Charts 19

The Watchlist 21

Mosaic News Panel 22

Bloomberg TV News Feed 23

StockTwits News Feed 24

Today's Top Ten News 24

Company Specific News 25

Filtered News 26

Market Signals 27

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IBKR Traders' Insight and IBKR Quant Blog 29

Social Sentiment 30

Portfolio or Watchlist News 30

Broad Tape News 31

Log In to TWS
Before you can log into TWS, you need to download and install the TWS software. Downloads are
accessed using the Login button in the top right corner of the web site.

Download Software

From the TWS Software page, choose from any of the software versions in the top row. Simply click a
version to go to the Download page. Follow the simple instructions to install.

Once you install any version, you will have access to all of the other TWS versions when you log in. See
instructions below to switch between versions.

To log in to TWS

Double-click the Trader Workstation icon that was placed on your desktop during installation.

Enter your User Name and Password.

From the Trading Mode selector box, choose to log into Paper or Live TWS.

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Click the Login button at the bottom of the window.

Switch between stable, Latest and Beta versions

You can switch versions of the application between stable, Latest and Beta TWS without having to
download additional software.

In the bottom left corner of the Login box, click More options.

In the Version selector box, choose Stable, Latest or Beta.

Click the “Apply & Restart” button next to the Version selector.

Log in to the new version.

Offline TWS

To use a version that does not update automatically but requires manual updating for new features,
download the Offline TWS installer from the TWS Software page.

TWS Guide 3
Chapter 3

The Mosaic Interface

The Mosaic workspace provides comprehensive order entry and order management functionality that
includes charts, watchlists, quote details, market scanners, and your portfolio. It's completely customizable,
with a drag and snap functionality that lets you easily align new windows to the default workspace.

Find out more:

1. New Window drop-down menu

2. IBot
3. IB FYIs
4. Change font
5. Lock, unlock and edit layouts
6. Search
7. Windows linking
8. Order Entry
9. The Portfolio window
10. Watchlists
11. Quote Details
12. Charts
13. News
14. Orders and Trades
15. Layout Library

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The Anchor Window

The Anchor Window is the control center of the workspace.

Use the New Window drop down list to open more tools.
Access IBot, our automated response interface, to quickly complete a trading action, find information,
and more.
See recent orders and trades, and click the badge to go directly to the Orders and Trades Monitor.
Click the FYI button to see new notifications and to configure FYIs. The red badge tells you how many
new notifications are waiting.
Quickly adjust the font size across the entire interface.
Unlock the workspace to make changes like adding, removing and rearranging windows.
Use the Integrated Search Tool to find tickers from the contract database and to find tools within the
application.

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The Mosaic workspace is a grouped selection of tiles and tools that, by default, function as a unit within the
layout.

Windows within the workspace cannot be inadvertently closed or repositioned. You must unlock the
workspace to make changes.
When the workspace is re-sized all included windows will re-size and scale appropriately within the lay-
out.
Use the font size adjustor to make the font larger or smaller within the entire workspace.
Maximize windows inside the workspace by double-clicking the titlebar, with no need to unlock the inter-
face first. For example, you may want a better look at your chart. Double-click to see a large version,
then double-click again to put the chart back into its spot.

The Mosaic has two editing modes: Locked and Unlocked.

By default, the Mosaic workspace is in "locked" mode when you launch the tool. When the workspace is
locked, it acts as a single, grouped unit. You cannot add, remove, re-size or move any component
windows, but you can re-size the entire workspace, and each component within will be scaled accordingly.
Note that you can, however, modify windows grouping assignments. We lock the workspace by default to
avoid potential issues of inadvertently deleting and moving individual components.

If you want to rearrange the windows, add or remove windows, or re-size individual component windows,
click the Lock icon to unlock the workspace.

Layout Locked

When the Mosaic layout is locked, the workspace is outlined in black and the lock label indicates the status.
Keep the layout locked until you need to add, remove or resize individual windows.

To unlock the layout for editing

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Click the "lock" icon located to the left of the search field.

Layout Unlocked

When the Mosaic layout is unlocked, the workspace is outlined in green and the lock icon appears to be
open to indicate the status. When unlocked, windows within the workspace frame act as separate,
ungrouped windows, and you are able to remove them, re-size them, and add new windows to the layout
frame.

Be sure to always lock the workspace when you have finished editing to avoid unwanted changes or
deletions to the Mosaic. You will not be allowed to exit the application if the workspace is unlocked.

To lock the layout

Click the "lock" icon

Mosaic Fonts
Quickly make the Mosaic windows font larger or smaller.

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To adjust font size throughout Mosaic

From the Anchor window, click the Font Size Adjustment icon.

Click "Smaller" or "Larger" until the font size is correct. Notice that the font size changes in the Mosaic as
you click the button.

If "Adjust window & column widths" is checked, the Mosaic windows will size automatically to keep the
same font:window ratio. If unchecked, only font size will change.

Click Close when done.

Create TWS Color Grouping

Assign tools and tiles to a "color group" to link instrument selection actions. You assign a window to a group
using the colored links on the top right of a window's title bar. All windows with the same color link are part
of the same group. When you change focus on one of the group's "Source" windows, all destination
windows in the group reflect the change.

A window can be part of only one group at a time, but if you open multiple windows you can link each to a
different color group. For example, you could open three different ISW windows and assign a different
group to each, and then link these windows to three separate quote pages.

The window's designation is displayed in a mouse-over tooltip when you hover over the Group icon. A
window can be a:

Source - this is a controlling window and can only SEND instructions.

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Chapter 3

Destination - this is a receiving window, and can only RECEIVE instructions from a window with Source
privileges.

Source/Destination - this is a multi-tasking window which can both SEND instructions to and RECEIVE
instructions from other windows in the group.

Create a linked color group

1. Click the "chain link" icon in the top right of a window's title bar and select a colored number from the
dropdown list.
2. For windows that you want to include in this group, select the same group number/color from the
Group list.

Watch a short video to see how to group tiles and tools in the Mosaic!

Add and Remove Fields

You can quickly add and remove fields from most windows by holding your mouse over the field name to
invoke the insert/remove column commands.

To add or remove columns from a window

1. Hold your mouse over a field to invoke the quick insert/remove commands.
2. Click the “+” icon to insert a column to the left of the selected column. Pick from the drop-down pick-
list that appears when you click "Insert Column."
3. Click the “x” icon to remove the selected column from the window. You can re-add it at any time.

You can choose not to see these icons by deselecting the feature "Quickly insert/remove columns from
column headers" from the Display>Settings page in Global Configuration.

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Use the Integrated Search Tool

The Integrated Search Tool in the top right corner of the anchor window lets you search for tools and
features in the application as well as for contracts in our database to add to your trading pages. Check
"Application" and select from the list of findings to go directly to your destination. Check "Contracts" and
select to add an instrument directly to your trading page.

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Chapter 3

Search for a feature or instrument

1. Enter the name of the feature, instrument or type of instrument you are looking for.
2. Check Application, Contract or both.
3. Click the return that matches your search criteria.

When you use the The search will open and focus in on the feature, or begin adding the instrument to the
trading page.

The Order Entry Panel

Use the Order Entry panel to create and then Submit or Save an order. It's linked via windows color
grouping to other windows, which means that when you choose an instrument from another window in the
group, the Order Entry panel is "loaded" with that instrument and ready to submit an order. It's easy to
change the asset by selecting from the drop down list of previously used instruments, or typing in a new
one manually. To set up an option order, click the Option Chain button to easily pick an option contract.

Use the Advanced panel to include additional order attributes and to create OCO, profit-taking or hedging
orders.

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The Order Entry tile supports different modes, and you can modify the mode to fit your trading style. The
above image shows the panel in Interactive mode.

To change the Order Entry mode

Click the configuration wrench icon in the top right corner of the panel's title bar and select Settings.

Select the Order Entry tool style. Choose from:

Interactive: Enables the click-able "Position" and "Bid/Mid/Ask" ruler to fill in order parameters.
Simplified: Smaller display with fewer selections.
Rapid Transmit: Quickly submit the order by clicking the Sell or Buy button. This version does not
include a "Submit" button.

The Orders Window

The mosaic Orders panel is one of the tabs in the Activity Panel, and provides a running list of all live,
canceled and completed orders.

Click the display drop-down (ALL in the above image) to specify which order types to displayi n the Orders
window. Choose from:

ALL ORDERS
LIVE ORDERS

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Chapter 3

CANCELED ORDERS
COMPLETED ORDERS

The Portfolio
The mosaic Portfolio window, which is included in the grouping of Monitor Panel tabs along with the Mosaic
Market Scanners and the Watchlists, provides key account information.

The Portfolio window is a "source" for windows grouping, which means that when you select an asset all
linked windows will display that asset.

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Chapter 3

To open the Portfolio for the first time

TWS Guide 14
Chapter 3

From the Monitor panel, click "+" sign to add a new page.

From the drop down list, select Portfolio.

Once you add the Portfolio to your Monitor list, it will be available as a tab. If you can't see it displayed along
the top of the Monitor panel, hold your mouse over any tab to expand the tabset and see all available tabs.

Mosaic Market Scanners

Create, customize, edit and view Mosaic Market Scanners from within the Mosaic layout. You can create a
new custom scanner, or choose a Predefined Mosaic Market Scanner.

To create a Mosaic Market Scanner

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Chapter 3

From within Mosaic, click the "add new window" icon in the Monitor window and select Mosaic Market
Scanner.

Select Create new custom scan... and enter a title for the scan.

Define the scan "Universe" including the product(s), region(s), exchange(s), instrument type(s), indicies,
and optional industry filters. You can see the market scanner results in the scanner pane as you define the
universe.

Use the Fields section to add, remove, and manage each displayed value. Use Dual Sort on one field to
show the scanner sorted in both directions on the selected field. To change the order in which fields are
displayed in the scan, drag and drop fields into the desired order.

Each field provides a "Display" and "Sort" selection. Use these selectors to customize and organize scan
data.

"Display" Field Information

The Display selections let you specify how and if you want the values in the field displayed. Use the "Bar"
and "Gradient" graphical indicators to provide at-a-glance information on the on the tickers in your market

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Chapter 3

scan. Choose from the following:

Values - This selection will show the expected numerical value appropriate for the field. This is the
default display.
Gradient - The Gradient uses a filled, colored circle with different shades to provide information on the
field value. Red shades identify a downward move and green shows upward movement. Hold your
mouse over a gradient to see the color-shading key.
Bar - The Bar chart displays the field value graphically using a colored bar to indicate the direction and
degree of change. Red indicates negative and green indicates positive. The length of the bar indicates
the degree of change (the value). Bars that have values outside the hand-picked range will display a
very bright section at the end of the bar to signify values outside the range.
Line The Line chart displays the field value graphically using a colored line. You can elect to view up to
three fields that use the Line chart view. Mouse over the "Lines ?" display in the scanner to see the key
to the Line colors.
Values + Gradient - Displays two fields for a single value; one with the numerical value and one with
the gradient.
Values + Bar - Displays two fields for a single value; one with the numerical value and one with the bar
chart.
Values + Line - Displays two fields for a single value; one with the numerical value and one with the
line chart.
None - The value for the field will not display. You can use the combination of a "none" value with a sort
specification for a field to have the scanner search on and sort by a field without showing the field value,
for example, Market Cap. If you set the sort to descending, the scan will return tickers with the highest
market cap but will not show you the actual market cap.

"Sort" Field Information

The Sort field allows you to specify sort criteria AND determine the field on which the scan will be based.
You can only select sort criteria for ONE field. Sort selections include:

Unsorted - This means that the field values are not ordered and that this field does not drive the scan.
Low to High - This means that the fields values are sorted ascending from lowest to highest, and that
the scanner is driven by this field.

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Chapter 3

High to Low - This means that the fields values are sorted descending from highest to lowest, and that
the scanner is driven by this field.
Dual Sort - This selection splits the scanner into two columns, with one column showing values sorted
from Low to High, and the other showing values sorted

Click Done to complete the scan. Click Edit Scanner at the top right of the scan window to modify any
Mosaic Market Scanner at any time.

To open or edit an existing scanner

1. Hold your mouse over the tab set to show all available tabs.
2. Click a scanner tab on the Monitor window.

You can export the scan results to an Excel spreadsheet to allow you to use and manipulate the data.

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Chapter 3

To export scanner results

Complete defining the scanner criteria (or "Edit" the scanner).

At the bottom of the scanner edit window, click Export Results.

Enter a name for the file, and modify the Save in location if desired. Click Save.

The scan data is now saved in a .csv file. \

Mosaic Charts
Charts are part of the default Mosaic layout. Double-click inthe title bar to enlarge the chart size, and again
to reduce. Find out more about customizing charts, setting parameters, applying indicators and more.

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Chapter 3

Mosaic chart tips:

Click the current time period to view the drop-down list and change the display type, time period and
more.
To add studies and change parameters, use the Edit menu and select Studies or Chart Parameters.
To view the chart in full size, double-click the title bar (next to the View menu). Double-click again to
restore original size.
Instantly add a volume chart to the bottom by clicking the Volume icon on the bottom left.
Use the slider along the bottom of the chart to expand and reduce the time period.

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Chapter 3

The Watchlist
Watchlists hold double columns of tickers with the symbol, last price and change since the last trade.
Colored tick dots indicate whether the value has increased (green) or decreased (red). Use the right-click
menu from any ticker to access trading and analytical tools, and to edit the Watchlist.

Add tickers to a Watchlist by entering the underlying symbol and selecting the asset type.

To add a Watchlist in Mosaic

Click the new page icon to add a page.

From the tools list select Watchlist.

Click Rename Current Watchlist to name the Watchlist if desired. Otherwise Watchlists are named
Watchlist1, Watchlist2 etc.

Add tickers to the Watchlist.

To add a Watchlist in Classic TWS

From the Trading Tools menu select Watchlist.

Click Rename Current Watchlist to name the Watchlist if desired. Otherwise Watchlists are named
Watchlist1, Watchlist2 etc.

Add tickers to the Watchlist.

TWS Guide 21
Chapter 3

Mosaic News Panel

The News panel groups all of your news feeds into a single window. To include a feed in your News panel,
simply click and pick.

Many of the feeds require a paid subscription. If you are not subscribed, you will not see the selection in
your news list.

Bloomberg TV News Feed 23

StockTwits News Feed 24

Today's Top Ten News 24

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Chapter 3

Company Specific News 25

Filtered News 26

Market Signals 27

IBKR Traders' Insight and IBKR Quant Blog 29

Social Sentiment 30

Portfolio or Watchlist News 30

Broad Tape News 31

Bloomberg TV News Feed

Watch live TV from the Bloomberg TV news feed.

To watch Bloomberg TV

From within the Mosaic News panel, click the icon to add a page, located at the end of the current tabset.

Select Bloomberg TV from the drop down list of news feeds.

Click the “Play” icon to watch news.

Note: Use the “Expand” function or double-click the title bar to enlarge the Bloomberg TV viewing screen.

TWS Guide 23
Chapter 3

StockTwits News Feed

Add the StockTwits news feed to your Mosaic news panel to find out what real traders and investors are
saying. Real headlines in real language.

Add the StockTwits news feed

From within the Mosaic News panel, click the icon to add a page, located at the end of the current tabset.

Select StockTwits from the drop down list of news feeds to create the news feed tab.

Today's Top Ten News

View the top ten news stories from Dow Jones or the StreetInsider by adding Today's Top Ten to your
News panel.

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Chapter 3

Click a top news headline to view the full content.

Company Specific News

Displays real-time streaming news headlines for the selected company.

To view Company Specific News

TWS Guide 25
Chapter 3

From the Mosaic News panel, click the "+" sign and select Company Specific News.

From the Classic interface, use the Analytical Tools menu and select Company Specific News.

We include Sentiment and Confidence ranking data from Alexandria Contextual Text Analytics™ Engine
(ACTA™) which is shown in the Rank column. The column uses color along with a number to indicate a
positive, neutral or negative sentiment and the degree of confidence of the ranking.

Green indicates positive sentiment, and displays a number between 0 and 1, where "1" indicates the
highest confidence in the ranking.

Red indicates negative sentiment, and displays a number between -1 and 0, where "-1" indicates the
highest confidence in the ranking.

Additionally, many headlines now include the sentiment in the headline after the symbol, for example,
"12:13 SS XYZ Positive - Company XYZ Price Target Raised to $120."

Filtered News
View real-time streaming general news that you can filter by subject. Add Market Signals as part of your
integrated news headlines. Note that the Filtered News window cannot be part of a windows group.

To view Filtered News

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Chapter 3

From Mosaic - From the News panel, click the "+" sign and select Filtered News. Or, from the News
button, select Filtered News.
From Classic TWS - From the Analytical Tools menu select Filtered News.

Market Signals
IB's data servers continuously scan the markets for irregular price and volume actions and transmit these
notifications directly to your TWS in the form of Market Signal alerts. Available market signals include price
spikes, irregular volume spikes, new 52 week highs/lows, put/call ratio spikes, trading halts and more.

Market Signals can be integrated into the general news headlines in the Filtered News window, or viewed
as a separate feed in the Market Signals window. By default, the Market Signal alert "Gap On Open" is
active in the Filtered News window.

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Chapter 3

To add Market Signals to Filtered News

From the Filtered News title bar, click the Configure wrench icon.

Ensure that Filtered News is selected in the left pane.

In the right pane, select General News and click Configure Subject Filter next to IB Market Signals.

Select the signals to add using the checkboxes and apply.

To use the Market Signals window

From the News panel, click the "+" sign and select Market Signals.

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Chapter 3

From the Market Signals title bar, click the wrench-shaped Configure icon and then click Settings.

In the right pane of Global Configuration under Market Signals, click Configure Subject Filter.

Select the signals to add using the checkboxes, and apply.

IBKR Traders' Insight and IBKR Quant Blog

The IB Traders' Insight, designed to give traders an edge with daily global market commentary written by
traders and industry contributors, is available as a news feed in TWS. Additionally, you can view Traders'
Insight videos and content from the IBKR Quant Blog by selecting these features from the list of feeds.

To add Traders’ Insight, Traders' Insight Videos and IBKR Quant to News

From within the Mosaic News panel, click the icon to add a page, located at the end of the current tabset.

Select Traders’ Insight, Traders' Insight Videos, or IBKR Quant from the drop down list of news feeds.

TWS Guide 29
Chapter 3

Social Sentiment
Social Sentiment is included in the Filtered Feed. Social Sentiment news headlines are identified by the
prefix SS. You can also created a Social Sentiment news tab or floating window.

To view Social Sentiment

From Mosaic - From the News panel, click the "+" sign and select Social Sentiment. Or, from the
News button, select Social Sentiment to create a separate window.
From Classic TWS - From the Analytical Tools menu select Social Sentiment.

Portfolio or Watchlist News

Show news for:

Companies in your portfolio, plus news relating to competitors or those companies.

All companies listed in your Watchlists and in the Quote Monitor in TWS, plus news relating to com-
petitors of those companies.
A custom-defined list of companies.

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Chapter 3

To view Portfolio or Watchlist News

From Mosaic
1. From the News panel, click the "+" sign and select Portfolio or Watchlist News. Or, from the
News button, select Portfolio or Watchlist News to create a separate window.
2. In the settings dialog to indicate which tickers to use for headlines. Check one or multiple selec-
tions.
From Classic TWS
1. From the Analytical Tools menu select Portfolio or Watchlist News.
2. In the settings dialog to indicate which tickers to use for headlines. Check one or multiple selec-
tions.

Broad Tape News

Displays news from all subscribed news wires.

TWS Guide 31
Chapter 3

To view Broad Tape News

From Mosaic - From the News panel, click the "+" sign and select Broad Tape News. Or, from the
News button, select Broad Tape News to create a separate window.
From Classic TWS - From the Analytical Tools menu select Broad Tape News.

TWS Guide 32
TWS Guide
Chapter 4

Classic TWS
Add Market Data 35

Create an Order 39

Modify an Order 41

Transmit an Order 42

Cancel an Order 44

Add a Quote Monitor 46

Add Market Data

When you first open the Classic TWS interface, a sample Quote Monitor displays several sample lines of
data. Before you trade an asset, you’ll want to be able to see streaming data for the asset. A market data
line represents an individual ticker, and displays the product type, order destination, ask and bid prices, and
any other defining attributes. You can add a market data line by typing a symbol directly into the
Contract column of the Quote Monitor.

Enter security definitions by entering the exchange contract class or contract symbol in the Contract field.
Enter forex pairs using the syntax xxx.yyy in the Contract field.

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Chapter 4

To add market data to the Quote Monitor

1. Click in the Contract field in an empty row.

2. Enter an underlying symbol and press ENTER.
3. Select an asset type from the picklist on the trading screen.

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Chapter 4

If you choose Smart as the exchange (rather than selecting Directed and then picking a destination)
the market data is aggregated and the default order routing is Smart. From a display perspective,
ticker lines that use aggregated Smart data do not display Smart in the data line. TWSwill only show
the exchange if you elect to direct route. When you create an order, regardless of the market data
selection you can modify the order routing destination on a per-order basis using the
Destination field.

Snapshot Quotes

For NYSE, AMEX and NASDAQ listed US equity products, clients have the option to either:

a) Subscribe to streaming data - Elect to subscribe to streaming data for one, two or all three listing
exchanges at the monthly fee.

b) Use Snapshot quotes - View delayed market data, and only pay for the current NBBO when making a
trading decision.

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Chapter 4

Snapshots are typically used by traders who want to keep costs as low as possible and who only need to
know the NBBO (National Best Bid and Offer) for a specific moment to make their trading decisions.
Pricing for snapshot quotes is 0.01 USD (or the equivalent) capped at the price of the streaming
subscription.

Once the number of snapshot quotes per month equals the cost of a streaming service, clients will be
switched to the streaming quote service for the remainder of the calendar month. At the close of the month,
the streaming service will terminate and the snapshot counter will be reset. Each listing exchange is
capped independently.

If you use Snapshots, the system will react as if you are trading blind without a valid quote. It will limit the
'speed' tools you can use (like the sliding price ruler) and may require that you submit orders from the order
ticket.

Option Selector

4. In the Contract Selection box, select a contract(s) and click OK. For assets requiring right, expiry
and strike price, use the Selector box. In-the-money contracts are highlighted. Use the Smart drop-
down to choose a single exchange.

Notes about Market Data use

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A market data line is considered “active” when visible.

Each alarm that you set always uses one line of market data whether or not you are viewing the asset
that contains the alarm.
Market data requested through an API has top priority, followed by data requested by alarms, and
finally basic market data display. This means that if you are viewing a trading page that includes 100
lines of market data, and you also have price-activated alarms set for 6 other contracts, those 6 con-
tracts will receive market data, and your trading page will only show data for 94 contracts.
The option chains in the OptionTrader do not count against available market data lines.

For details on market data fees and allocation rules, see the Market Data and News Subscriptions
overview on the IB web site.

Note: If you add a market data line for a derivative instrument, will ask if you want the underlying
symbol added to the page. If you answer yes, it will be included above its derivative.

Create an Order
There are many ways to create an order in TWS. This topic shows you how to create and transmit an order
directly from a ticker line in the Quote Monitor.

TWS Guide 39
Chapter 4

To create and transmit an order from the Quote Monitor

1. Click the Ask or Bid in a market data line to create an order line directly below the selected ticker.
Click the Ask to create a Buy order.
Click the Bid to create a Sell order.
2. On the Order line, modify the order parameters including Time in Force, Action, Quantity, Price,
Order Type, or Destination, if needed.

Note: To trade more efficiently by using default values, create order Preset strategies using
the Order Presets in Global Configuration.

3. To transmit your order, click “Transmit” (or “T” if you have reduced the size of the Transmit field).

Show Orders

By default, a working order will display on any page that has the ticker. You can modify where you want
working orders to display using the Page settings.

TWS Guide 40
Chapter 4

4. Right click a tabbed title and select Settings.

Show only orders created on this page - Regardless of the tickers, only the orders you create from this
page will display on this page.
Show inactive orders only, move active orders to Pending page - Shows deactivated or non-trans-
mitted orders only. Working orders created from this page will only display on the Pending page.

Modify an Order
You can modify an order up until the time it fills. Until this occurs, the order remains visible and editable.

Using Mosaic

Working orders appear in the Orders panel, and can be edited by clicking the appropriate field.

Using Advanced Order Entry

The order line appears below the ticker on the page on which it was created, and on the Pending page. An
order is “working” if the order status is green.

VWAP orders are accepted immediately and cannot be modified.

TWS Guide 41
Chapter 4

To modify a working order

1. On an order line, click in the field you want to modify, and make your change.

Orders that have child orders associated with them, such as bracket or scale orders, cannot have the
order side flipped. Orders than can be flipped will note this using (Reverse) next to the opposite-side
action in the Action drop-down. When you flip the order side, a cancel request is sent for the original
order and both the original with the cancel request and the new reversed order are displayed.

2. Click Update in the Transmit column to transmit your modified order.

To undo changes before you transmit, right-click and choose Discard Modifications.

Note: You may receive a fill on the original order before your modified order has replaced it on the
exchange. Please see the Customer Agreement for specific details on modifying and canceling
orders.

Transmit an Order
Once you have verified the order parameters on an order management line, you are ready to transmit your
order.

TWS Guide 42
Chapter 4

To transmit an order

Click Transmit (or “T” if you have reduced the size of the field) in the Transmit field, or
Use the right-click menu on the order line and select Transmit.

When an order is accepted at the destination, it becomes a “working” order. All working orders appear on
the Pending page. A red tab title indicates that the page holds a working order.

TWS Guide 43
Chapter 4

To transmit multiple orders

From the Trade menu select Transmit, and then select:

Transmit Selected Orders to submit the orders you have selected on the current page
Transmit All Orders on Page to send all of the orders on the current page. The dollar value in par-
enthesis reflects the total value of all orders on the page.
Transmit All Orders to submit all orders in TWS.

Cancel an Order
For a working order, the Cancel command sends a cancellation request to the order destination. See the
Order Status Colors page for the meaning of status colors on an order management line.

For a non-transmitted order, use the right-click Discard command to delete the selected order(s) from
your trading screen.

TWS Guide 44
Chapter 4

You can cancel any working order up until the time it has been executed at an order destination. You can
also choose to cancel all orders on a page or all orders on your workstation.

To cancel a working order

1. From the Trade menu select Cancel, and then select:

Cancel Selected Orders to submit a cancel request for the order(s) you have selected on the cur-
rent page
Cancel All Orders on Page to cancel all working and non-submitted orders on the current page.
Cancel All Orders to submit a cancel request for all orders in TWS.

Or,

2. Click Cancel (or “C” if you have reduced the field size) in the Cancel field.

For information on the colors displayed in the Status field, see the Order Status Colorstopic.

Note: Your working order is not confirmed CANCELED until the status field turns red. Please see
the appropriate Customer Agreement for further information on order confirmation/cancellation.

TWS Guide 45
Chapter 4

Add a Quote Monitor

There is no limit to the number of Quote Monitors you can create in TWS. You can enter as many lines of
market data as you want, but at any one time you will only be able to see 100 active market data lines at a
time. For details, see Notes about Market Data use. Use the Quote Monitors to sort your assets by
instrument type, exchange, or your own trading system categories. You can navigate through the tabbed
pages without the mouse by using the Ctrl key along with the Page Up and Page Down keys.

To detach a page, simply click the tab and drag the page away from the tabset.
To create a new page, click the “+” sign and select Quote Monitor
To delete a page, click the X.
To rename a page, right-click the page title and select Rename Page.

You can also use a page-level feature called Quick Stock Entry, which will automatically complete a market
data line for a stock using the set of order destinations you set up.

To add a Portfolio Page

TWS Guide 46
Chapter 4

You can create a system-maintained Quote Monitor that includes a data line for each position in your
portfolio. Use the right-click menu from the “+” sign and select Portfolio Window. The portfolio page can
only be created once.

This creates a page with the same positions that are displayed in the Portfolio section of the Account
window. Each time you take a position, the Portfolio page is automatically updated to include market data
for the new position. When you zero out a position, the market data line remains on your Portfolio page.
You can remove zero position tickers from this and other pages using the right-click menu on a page and
selecting Clear Zero Position Rows.

TWS Guide 47
Chapter 5

The Mosaic Interface

The Mosaic workspace provides comprehensive order entry and order management functionality that
includes charts, watchlists, quote details, market scanners, and your portfolio. It's completely customizable,
with a drag and snap functionality that lets you easily align new windows to the default workspace.

Find out more:

1. New Window drop-down menu

2. IBot
3. IB FYIs
4. Change font
5. Lock, unlock and edit layouts
6. Search
7. Windows linking
8. Order Entry
9. The Portfolio window
10. Watchlists
11. Quote Details
12. Charts
13. News
14. Orders and Trades
15. Layout Library

TWS Guide 49
Chapter 5

Trade in Mosaic
The Mosaic trading tools make it easy to create, submit and modify orders.

Strategy Builder
Use the Strategy Builder section of the Option Chains to quickly build complex, multi-leg strategies directly
from the option chain display.

Use the traditional "Calls and Puts" layout to manually add legs to the Strategy Builder by clicking the
desired bid or ask price in the option chain.
Pick a named strategy from the Strategy Builder pick list to automatically create a strategy when you
pick the first leg.
Select a Spread Template to populate a simple grid interface. Easily compare similar spreads and then
click a tile to load the Strategy Builder with the desired spread.

TWS Guide 50
Chapter 5

Regardless of the method you use to create a strategy, you can modify legs, parameters or complete
strategies easily from within the Strategy Builder, and then trade the strategy, and/or add it to a Watchlist.

To open Strategy Builder

From within Mosaic, select an instrument and use the New Window drop-down to select Strategy
Builder. The Option Chain opens for the instrument with Strategy Builder turned on.
Or, from within the Option Chain window, toggle on Strategy Builder below the chains to the right.

To use Spread Templates

From the Option Chain "blade" (to the right of the symbol), click Calls and Puts, then select a Spread
Template (Horizontal, Vertical or Diagonal).

TWS Guide 51
Chapter 5

Within the grid interface, use scroll bars to compare spreads. Tiles cleanly display the expiration and strike,
bid and ask, delta, and gamma so you can compare spreads on price, spread width, and risk/return at a
glance.

Click a tile to load the selected spread into the Strategy Builder.

To modify a leg within the Strategy Builder, use the drop-down list from any parameter to select a new
one.
Remove a leg from the spread by clicking the red "x" to the left of any leg.
Click “Profile” to see the Performance Profile sidecar for the strategy.
Save the spread to a Watchlist to trade it later by clicking "Add to Watchlists."
Click "Clear All Legs" to start over.

To manually create a strategy leg-by-leg

TWS Guide 52
Chapter 5

1. Toggle the Strategy Builder on if it's not already enabled.

2. Add legs to the Strategy Builder from the CALLS (to the left of the strike) or PUTS (to the right of the
strike). Click a bid price to create a SELL leg or an ask price to create a BUY leg.

To modify a leg in the strategy from the option chain, click, hold and drag the leg in the option chain to a
new strike or side.
To modify a leg within the Strategy Builder, use the drop-down list from any parameter to select a new
one.
To modify the entire strategy, hold down the Shift key, then click and drag one of the legs to a new
strike or side. The remaining leg(s) will adjust automatically.
Remove a leg from the strategy by clicking the red "x" to the left of any leg.
Click “Profile” to see the Performance Profile sidecar for the strategy.
Save the spread to a Watchlist to trade it later by clicking "Add to Watchlists."
Click "Clear All Legs" to start over.

To create a named strategy

Use the "Strategies" pick list on the right side of the Strategy Builder to select a named complex strategy.

TWS Guide 53
Chapter 5

Hold your mouse cursor over the first leg. All potential legs of the strategy are highlighted.

Use the mouse scroll button to modify the spread between potential legs.

Click a bid price to make the first leg a SELL leg, or an ask price to make the first leg a BUY leg. The rest of
the strategy automatically populates the Strategy Builder.

To modify a leg in the strategy from the option chain, click, hold and drag the leg in the option chain to a
new strike or change from long to short by dragging the leg to the CALLS or PUTS side.
To modify a leg within the Strategy Builder, use the drop-down list from any parameter to select a new
one.
To modify the entire strategy, hold down the Shift key, then click and drag one of the legs to a new
strike or side. The remaining leg(s) will adjust automatically.
Remove a leg from the strategy by clicking the red "x" to the left of any leg.
Click “Profile” to see the Performance Profile sidecar for the strategy.
Save the spread to a Watchlist to trade it later by clicking "Add to Watchlists."
Click "Clear All Legs" to start over.

Once your strategy is complete, use the Order Entry panel to set order parameters, and click the Submit
button to transmit the order.

Advanced Orders Panel

Click the "advanced" icon from the Order setup line to use stop loss, profit taker and bracket orders, set up
Iceberg, One Cancels Other and hedge orders, and apply other advanced order attributes.

TWS Guide 54
Chapter 5

Routing
Iceberg Orders
Order Reference
All or None Attribute
Stop Loss
Bracket
Profit Taker
OCO (One Cancels Other)
Hedge Order
Check Margin
See Performance Profile

Use the Advanced Orders panel to:

What? How?

Routing Click SMART

and choose a
Select a new routing destination.
destination from

TWS Guide 55
Chapter 5

What? How?

the drop-down
list.

Back to top

Iceberg Click in the

Create an iceberg order, which displays only a user-specified order size to the
field and enter

market. a partial quant-

ity of the order.
This quantity
will be dis-
played to the
market.
Back to top

Order Reference Click in the

Add a reference number that helps you track the order through its lifecycle.
field to make it
editable then
enter a ref-
erence num-
ber.

Back to top

All or None Attribute Check to apply

Specify that either all of the order executes or none of it executes.

the "All or
None" attribute
to the order.

TWS Guide 56
Chapter 5

What? How?

Back to top

Attach a Stop Loss Click "Attach

Stop Loss/Profit
Attach a Stop Loss order to the original order.
Taker/Bracket."

Check the "Stop

Loss" box only.

In the STOP
field, modify the
stop type (stop,
stop limit or
trailing stop) as
Back to top
needed.

In the STP PRC

field enter the
stop price.

In the DAY field

modify the time in
force as needed.

Click "more" to
modify the
routing
destination
and/or add an
order reference.

TWS Guide 57
Chapter 5

What? How?

Attach a Bracket Click "Attach

Stop Loss/Profit
Attach a Bracket order to the original order. This brackets the order with two
Taker/Bracket."
opposite-side orders, and is designed to help limit loss and lock in a profit.
Check "Bracket."
The Profit Taker
and Stop Loss
boxes will be
checked
automatically.

Modify the child

orders.
Back to top
Profit Taker
Child

Specify Limit or
Relative as the
opposite-side
Profit Taker
order type.

Enter a limit
price. For a
relative order,
this is the price
cap.

For relative
orders, enter the
offset if desired.

Specify the time

and force and

TWS Guide 58
Chapter 5

What? How?

other parameters
as needed.

Stop Loss
Child

In the STOP
field, modify the
stop type (stop,
stop limit or
trailing stop) as
needed.

In the STP PRC

field enter the
stop price.

In the DAY field

modify the time in
force as needed.

Click "more" to
modify the
routing
destination
and/or add an
order reference.

Attach a Profit Taker Click "Attach

Stop Loss/Profit
Attach a profit taker child order to the original order. The profit taker is an
Taker/Bracket."
opposite-side limit or relative order.
Check the "Profit
Taker" box.

Specify Limit or

TWS Guide 59
Chapter 5

What? How?

Relative as the
opposite-side
Profit Taker
order type.

Enter a limit
price. For a
relative order,

Back to top this is the price

cap.

For relative
orders, enter the
offset if desired.

Specify the time

and force and
other parameters
as needed.

One Cancels Other Click "One

Cancels Other"
Include the order in a one-cancels-other order group.
to expand the
panel.

Change the
order side if
necessary. By
default, the order
side is the same
as that of the
original order.

Click "Contract"
and enter the

TWS Guide 60
Chapter 5

What? How?

Back to top underlying.

Specify the order

type, quantity,
price and time in
force.

To add more
orders to the
group, click +Add
Order and follow
steps 2 - 4 above.

If an order
completely fills,
other orders in
the group are
canceled. The
On Fill: box
instructs TWS
what to do if an
order in the
group is partially
filled. Use the
drop down
selector to
choose the
action:

TWS Guide 61
Chapter 5

What? How?

R-
a- e-
. d-
u-
c-
e

o-
t-
h-
e-
r

o-
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d-
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s
:

R-
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d-

TWS Guide 62
Chapter 5

What? How?

u-
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s

t-
h-
e

q-
u-
a-
n-
t-
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y

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f

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TWS Guide 63
Chapter 5

What? How?

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s

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t-
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TWS Guide 64
Chapter 5

What? How?

P-
l-
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TWS Guide 65
Chapter 5

What? How?

w-
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otection

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TWS Guide 66
Chapter 5

What? How?

r-
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TWS Guide 67
Chapter 5

What? How?

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n

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TWS Guide 68
Chapter 5

What? How?

R-
b- e-
. d-
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TWS Guide 69
Chapter 5

What? How?

p-
r-
otection
:

D-
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TWS Guide 70
Chapter 5

What? How?

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TWS Guide 71
Chapter 5

What? How?

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TWS Guide 72
Chapter 5

What? How?

f-
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)-
.

C-
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TWS Guide 73
Chapter 5

What? How?

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TWS Guide 74
Chapter 5

What? How?

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tection"

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tomatically

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TWS Guide 75
Chapter 5

What? How?

Attach Hedging Order Click "Hedge" to

expand the
Attach a hedging order to the parent order. Choose from Beta, FX, or Pair
panel.
Trade hedge. The hedging order will transmit when the parent order fills.
In the drop down
list, select the
hedge type and
check the box
next to the order
type field.

a. Beta
Hedge -
specify the
hedging
contract,
the order
Back to top
type (limit,
market or
relative),
the beta
(change
default
beta if
required),
and the
time in
force.
b. FX Order -
specify the

TWS Guide 76
Chapter 5

What? How?

forex pair,
the order
type (limit,
market or
relative),
and the
time in
force.
c. Pair Trade
- specify
the
hedging
contract,
the order
type (limit,
market rel-
ative, or
RPI (avail-
able if the
contract is
listed on
NYSE),
the offset
(required
for
RPI orde-
r), the ratio
(the ori-
ginal con-
tract is "1"
so if you

TWS Guide 77
Chapter 5

What? How?

enter "2"
the
hedging
order
quantity
will be
twice that
of the ori-
ginal
order, or
2:1) and
the time in
force.

Check Margin Click "Check

Check the margin requirements for the order before you submit it.
Margin."

Back to top

Pause Execution
When you pause a working order, a cancel request is submitted to the exchange and the order is put into
an inactive state but remains available on the Orders panel (Mosaic) or Quote Monitor (Classic) for you to
resubmit at any time.

TWS Guide 78
Chapter 5

To pause execution on an order

Right-click a working order and select Pause Execution.

Use the DTC time in force to deactivate a day order that has not executed by the close of the market.

Quotes and Data in Mosaic

Depth and breadth of quotes across our myriad Mosaic tools.

Predefined Watchlists 80

Market Depth 80

Time & Sales Data 81

Price History Window 85

Option Chains 86

Option Selector 87

The Quote Details Window 89

FX Matrix 90

TWS Guide 79
Chapter 5

SLB (Stock Loan Borrow) Rates 91

Predefined Watchlists
The Predefined Watchlists function lets you create a new ticker Watchlist that is populated from a user-
selected scanner. The list of tickers is automatically refreshed each time you log in.

Watch a short video to see how to create a Predefined Watchlist!

Market Depth
The Market Depth window is a minimized version of the full TWS Market Depth Trader. Note that when
you open the Market Depth from within the Mosaic, it is automatically linked to the primary Mosaic windows
group and is populated with that underlying. To unlink or link to other tools, use Windows Grouping.

TWS Guide 80
Chapter 5

To open the Market Depth

Mosaic: From the New Window drop down select Market Depth.
TWS: From the Trading Tools menu select Market Depth.

Market Depth lines are shaded by price group for easy distinction. It's easy to create an order at a specific
price level by simply clicking a price in the Bid (left) or Ask (right) column.

To create a Market Depth order

1. Click a Bid or Ask price. In the Order Entry window, the order line is populated with the default Bid or
Ask price.
2. Select Buy or Sell and modify the order parameters as desired.
3. Click Submit to transmit the order.

Time & Sales Data

You can elect to view the Time & Sales for any underlying.

TWS Guide 81
Chapter 5

To use Time & Sales

1. Open the Time & Sales window.

From Mosaic - From the New Window drop down select Time & Sales.
From Classic TWS - From the Analytical Tools menu select Time & Sales.

2. To change the underlying, select a new ticker in a grouped window, or enter the ticker symbol in the
entry field.

TWS Guide 82
Chapter 5

Select from chart

From the Time & Sales Search menu, choose Select from chart. The chart for the active underlying opens
with the cursor in "Time and Sales" mode.

Click on the time/date you want reflected in the Time & Sales window.

To search for a date and time from a chart, use the "Select from chart" from the Search button.

See Trade Conditions

TWS Guide 83
Chapter 5

In addition to using the mouse over feature, you can elect to add the Exchange and Conditions field to
the Time & Sales window to show trade conditions when available.

To configure the Time & Sales window or add/remove fields, access the Settings configuration page by
clicking the wrench icon.

TWS Guide 84
Chapter 5

Price History Window

The Price History shows the Open, High, Low, Close and Volume by date, with the first line corresponding
to today's date and using real-time market data. Use the scroll bars on the right side to scroll up and down
by date, and use the "Options" button at the bottom of the scroll bar to go to a specific date/time, export the
current table to Excel, and show splits/dividends by opening the Adjustments field.

TWS Guide 85
Chapter 5

Option Chains
The versatile Option Chains window lets you easily view and create options orders that you submit via the
Order Entry panel, and compare and create two-legged option spreads and multi-leg complex strategies
using the embedded Strategy Builder with a single click.

To create an options order

Open an Option Chain:

From the Mosaic New Window drop-down, select Option Chain from the Quote section, or
Select an instrument, and use the right-click menu to choose Trading Tools > Option Chain

Use settings along the top of the chain to view a different expiration date, include or exclude
weeklies/quarterlies, change the view (between Tabbed and List), change number of strikes, exchange
and trading class (as needed).

Click the Bid price (to create a Sell order) or the Ask price (to create a buy order) from the Calls or Puts side
of the Option Chain. The Mosaic Order Entry panel is populated with the selected options contract.

In the Order Entry panel, modify the option price, quantity and order type as needed and click Submit to
transmit the order.

TWS Guide 86
Chapter 5

Create complex multi-leg strategies using the Strategy Builder.

Option Selector
The contract selector for options, which is invoked when you add an option ticker to a page, has been
drastically redesigned. Add an underlying and select "Option" to open the Option Selector. Available
expiries are listed in a tabset across the top. By default the next four quarterly expirations are listed in a
white font. Click on the tab titled 'more' to the right to display all available expirations, and a final selection
box where weeklies and quarterly expirations are available. When selected, the next four weekly
expirations will populate the tabs in yellow. Deselect the weeklies/quarterly check box from the 'more' tab
to return to the regular quarterly expiration series.

TWS Guide 87
Chapter 5

The current underlying last price and change are in the top right corner and the available, selectable
options-per-expiry are listed vertically.
The IV reading for the selected weekly or monthly contract is displayed in the upper right.
Use the 'Smart' dropdown to select a specific exchange if needed.
In-the-money contracts are highlighted using a default grayscale. Lighter shades of gray relate to out-
of-the-money calls and puts while darker shades reflect closer to-the-money contracts.
Hovering over the strike price reveals a popup box detailing the Standard Deviation relating to the
required movement from the prevailing price of the underlying to reach the strike price. (Note that
Standard Deviations can also be plotted on IB interactive charts using the selection in the Chart Para-
meters box).
Strike price color-coding can be configured to fall colors (orange and brown) by clicking on the wrench
icon and changing from grayscale to fall.
Configure further according to sensitivity to stock price movement. Choose between 1, 2 and 3 Stand-
ard Deviations or 1.0, 1.5, 2.0, 2.5 and 3.0 SDs.
Click on any call or put to add it to a main TWS page. Each line added will be color-coded in either
green or pink to designate in-and out-of-the-money options, respectively.

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The Quote Details Window

The Mosaic Quote Details window provides quick-glance data on a specific underlying.

For more information on the Mosaic, see The Mosaic Interface topic.

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FX Matrix
The FX Matrix provides a convenient way to view FOREX pairs in bulk. The tool comes preloaded with a
set of currencies and the currency list is customizable. Currencies are listed down the left and across the
top; find the intersect of the desired currencies for the most current fx price.

To open the FX Matrix

From within Mosaic - From the New Window drop-down select FX Matrix.

From within Classic TWS - From the Trading Tools menu select FX Matrix.

To create orders using the FX Matrix

Click a box at the intersection of two currencies.

The FX order populates the Order Entry panel. Specify order parameters and click Submit.

For an all-in-one FX trading experience, use the FXTrader.

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SLB (Stock Loan Borrow) Rates

The SLB Rates window provides charted daily rate history and intraday time & sales of stock loan fees.

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Technical Analytics
Find market scanners, charts, labs and more in our robust offering of technical analytics.

Portfolio Builder 93

Portfolio Performance Profile 96

Predefined Mosaic Market Scanners 97

Mosaic Market Statistics 101

Advanced Market Scanner 103

Complex Orders and Trades Scanner 104

Mutual Fund/ETF Replicator 105

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Options Analysis 107

Implied Volatility Tab 108

Historical Volatility Tab 110

Industry Comparison 111

Portfolio Analyst 137

Wall Street Horizon Data 137

The Toolbox 139

Portfolio Builder
Use Portfolio Builder to create investment strategies based on fundamentals data and top-tier research,
back-test and adjust as needed and then invest in the strategy and tracks its performance within your
existing portfolio.

To open Portfolio Builder

From the Mosaic New Window dropdown, select Portfolio Builder.

Select a pre-defined strategy in the Portfolio Builder Library sidecar to get started, and then click the
Customize button to modify settings. Or click Create New Strategy and then click the Edit Rules button to
modify settings. In the sidecar setup page, define the Portfolio Builder specifications. Results are reflected
immediately in the main Portfolio Builder page as you create your portfolio strategy.

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Choose from pre-defined templates including:

Closely Held - The universe of equities for this strategy includes stocks that have strong balance sheets
(where Total Long Term Debt/Total Shareholder equity for most recent period is under 50) and high insider
ownership (over 20%), and is sorted based on equally-weighted ratings from all analysts. After sorting, the
10 highest-ranked of these stocks comprise the long portion of the portfolio, and the 10 lowest-ranked
comprise the short portion. The investment amount you allot to the strategy is allocated using a long/short
ratio of 130%/50%, and is set to rebalance monthly.

Growth - The universe of equities for this strategy includes stocks that are regarded as "Growth" stocks
(with an Earnings Per Share change over the last 12 months greater than 5%) at attractive valuations
(price-to-earnings ratio under 12), and is sorted based on equally-weighted ratings from all analysts. After
sorting, the 10 highest-ranked of these stocks comprise the long portion of the portfolio, and the 10 lowest-
ranked comprise the short portion. The investment amount you allot to the strategy is allocated using a
long/short ratio of 130%/50%, and is set to rebalance monthly.

High Yield - The universe of equities for this strategy includes stocks that are regarded as "High Yield"
(with a dividend yield over the last 12 months greater than 3%) at attractive valuations (price-to-earnings
ratio under 15), and is sorted based on equally-weighted ratings from all analysts. After sorting, the 10
highest-ranked of these stocks comprise the long portion of the portfolio, and the 10 lowest-ranked

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comprise the short portion. The investment amount you allot to the strategy is allocated using a long/short
ratio of 130%/50%, and is set to rebalance monthly.

Overvalued - The universe of equities for this strategy includes stocks that are regarded as "Highly
Valued" (with a price-to-earnings ratio greater than 10) with strong performance (a year-to-date change
greater than 10%), and is sorted by market capitalization. After sorting, the 10 lowest-ranked of these
stocks comprise the long portion of the portfolio, and the 10 highest-ranked comprise the short portion. The
investment amount you allot to the strategy is allocated using a long/short ratio of 130%/50%, and is set to
rebalance monthly.

Define investment amount, universe and more.

Investment Amount and Long/Short Leverage -Specify an investment amount that will be used to
calculate simulated historical performance, and then specify the percentage of that amount you want to
allocate to creating long (up to 500%) and short (up to 300%) positions. Select Filter by Industry to display
the Industry Filter. Specify industries to include in your hypothetical portfolio, and set limits on how much of
each industry to include as long and/or short positions. Optionally define restrictions on all or specific
stocks.

Universe - Define the universe of equities for the strategy to invest in by filtering by index and last price.
Use the Add Additional Filters drop down list to choose from a myriad of other filter criteria including
High/Low/Volume/History, Dividends, Fundamentals and Short Selling. Set a Minimum/Maximum range
for all filters, and view the filter and min/max range graphically in the filter's histogram chart.

Investment Strategy - Sort the stocks in your investment universe by Market Capitalization, Analyst
Ratings by top research providers, and more than 40 Other Criteria, four of which we select for you to get
you started. Specify how the strategy should determine the long and short positions to include (i.e. go long
in the top 10 ranked equities and short in the bottom 10), how positions should be sized and when to send a
rebalance notification.

Backtest Settings - Set the time period over which back testing results are displayed and the index
against which performance is charted. Elect to optimize the weight of positions based on highest return,
lowest variance or highest Sharpe ratio, and the weight of ranking providers.

See results displayed in the tool to the right of the sidecar as you make your selections. Use the toggle
switch next to the Simulated Historical Performance title to toggle the performance data display between

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percent of the initial investment and an absolute dollar value. Portfolio Builder scans are saved as individual
tabs in the Monitor panel and in the scan library. You can close the scan tabs, but will always be able to
open a saved scan at any time and recreate the tab from with the library. Edit the strategy at any time by
selecting Edit Strategy at the top of the scan. Once you're satisfied with your investment rules and
backtesting results, click the Invest button to create orders and invest in your custom portfolio. Once you've
invested, the purple "H" badge changes to a green "I" badge.

For more details about creating the ideal custom portfolio strategy, see the Portfolio Builder Feature in
Focus.

Portfolio Performance Profile

This what-if feature allows you to toggle the Mosaic Portfolio window into "what-if" mode and add or
remove hypothetical positions to and from your existing portfolio to see how these changes will affect key
portfolio metrics, including P&L, Delta and the Greeks and Value at Risk. If you like the performance results
from the hypothetical adding or removing of any positions, you can create and submit real orders to add
these positions to your actual portfolio.

To open the Performance Portfolio Profile

From the Monitor panel of the Mosaic, navigate to or open the Portfolio page.

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Click the Profile button at the top of the page to put the Portfolio into "what-if" mode.

To use the Performance Portfolio Profile

Use this what-if tool to hypothetically remove positions from your existing portfolio, add new positions, or
change the position quantity and see how key performance metrics are affected.

To hypothetically remove positions

Uncheck any of your actual positions to remove them from the risk calculations.

To hypothetically add new positions

Click the "Add Test Trade" button.

Add the contract like you're adding it to any TWS window.

Set the side and quantity. The hypothetical position is now established.

To add hypothetical positions to your actual portfolio

Click Create Orders under the Test Trades section. All of your test trades are set up as actual live orders.

Discard any orders that you don't want to transmit.

Modify order parameters for remaining orders.

Click Submit.

Predefined Mosaic Market Scanners

Delete this text and replace it with your own content.

To create a Predefined Scanner

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From within Mosaic, click the "+" sign on the Watchlist Plus window and select Mosaic Market Scanner.

In the Predefined Scans section of the Scanner Library, select a region and choose a predefined scan, or
use the Search field to find scans based on a keyword. Available scans are shown below:

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Stock Scanners
Future Scanners
Index Scanners
Option Scanners

US Europe Asia
US Movers Europe Movers Asia Movers
A dual-sorted scan that displays stocks with A dual-sorted scan that
A dual-sorted scan that
the greatest negative percent change (left displays stocks with the
displays stocks with the
side) and greatest positive percent change greatest negative percent
greatest negative percent
(right side).
change (left side) and change (left side) and
greatest positive percent greatest positive percent
change (right side). change (right side).
US Active Europe Active Asia Active
Displays stocks with the greatest daily volume, Displays stocks with the Displays stocks with the
today. greatest daily volume, today. greatest daily volume,

today.
US ROE
Scans for major US corporations with the
strongest return on equity over the past 12
months.
US FUT Movers Europe FUT Movers Asia FUT Movers
A dual-sorted scan that displays futures with A dual-sorted scan that A dual-sorted scan that
the greatest negative percent change (left displays futures with the displays futures with the
side) and greatest positive percent change greatest negative percent greatest negative percent
(right side). change (left side) and
change (left side) and
greatest positive percent
greatest positive percent
change (right side).
change (right side).

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US Europe Asia
US INDEX Movers Europe INDEX Movers Asia INDEX Movers
A dual-sorted scan that displays indexes with A dual-sorted scan that A dual-sorted scan that
the greatest negative percent change (left displays indexes with the displays indexes with the
side) and greatest positive percent change greatest negative percent greatest negative percent
(right side).
change (left side) and change (left side) and
greatest positive percent greatest positive percent
change (right side). change (right side).
Dividend Yield
Lists equities with the richest dividend yields.
Imbalance
A dual-sorted scan that lists the largest
auction imbalances to buy and sell. Only
displays values during NYSE and NASDAQ
auctions.
Reg Imbalance
A dual-sort scan listing the largest ratio of
Regulatory Imbalance to Average Daily
Volume. Only displays values during NYSE
closing auctions.
Russia ET
Displays the set of US ETFs whose holdings
focus solely on Russian equities.
P/C Volume
A dual-sorted scan that displays equities with
the highest and lowest put/call ratios.
IV/HV
A dual-sorted scan that identifies equities
whose options currently have the highest and
lowest implied volatilities vs. their historical 30-
day volatilities.

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US Europe Asia
Alternative Energy
Displays the list of US publicly traded
corporations in the alternative energy industry.
Option Volume
Displays equities with the highest option
volume today.
IPO Stocks IPO Stocks IPO Stocks
Displays equities sorted by their IPO date. Displays equities sorted Displays equities sorted
by their IPO date. by their IPO date.
Complex Orders and Trades
Returns all complex strategies on a spe-
cific underlying that have a native
bid/ask quote or that have traded today.
To find the strategy that has traded the
most today, sort the results by Volume
(click on the Volume column to sort).

Mosaic Market Statistics

Market Statistics are sorted by exchange and display:

Advancing, declining and unchanged issues

Up, down, unchanged and total volume
TRIN and TICK indicators

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To run Market Statistics

From the Mosaic Monitor panel, click the "+" sign to add a window.

Select Market Statistics. A new tab named "Market Statistics" is created.

Advanced Market Scanner

The Advanced Market Scanners quickly scan of relevant markets and return the top contracts based on the
instrument, parameter and filtering criteria you define. In addition, you can transmit orders directly from a
scanner, and save a scan as a template for later use.

To create an Advanced Market Scanner

From Mosaic - From the New Window drop down select Advanced Market Scanner.
From Classic TWS - From the Analytical Tools menu select Advanced Market Scanner. Use the
icons to the far right of the command to open the scanner as a new window (recommended) or as a
new tab.

Define Scan Criteria

1. Select an instrument type from the Instrument list. Note that the scan title changes with each selec-
tion to reflect the criterion you select.
2. Instruments are defined by region. “Global” scanners can scan an instrument across global markets.

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3. Choose the location/exchange whose data will be included in the market scan. The valid locations
change in response to the instrument you selected in Step 1.
4. Use the Filter fields to narrow the contracts that will be returned in your query by characteristic. For
example, you may only want to see the Top% US Stock Gainers within a certain P/E range, or with a
capitalization above 2,000,000.
5. Choose a Scanner parameter, such as Top% Gainers, Hot Contracts by Price or Top Option Implied
Volatility in the Parameter field.
6. Click Search to return the top contracts that meet your search criteria. Data is updated every 60
seconds.

Most scans return the top 50 contracts by default. You can specify the maximum number of returns using
the Max results field.

To save a scanner template

1. After you have defined the scan criteria, click the "Save" disk icon to the right of the Max Results
field.
2. Select Save Template.
3. Enter a descriptive file name and click Save.

To use a saved scanner template

1. From within a Market Scanner page, click the "Save" disk icon to the right of the Max Results field.
2. Select Load Template.
3. Select the scanner file you want to use and click Open.

Complex Orders and Trades Scanner

You can create this scanner individually, or as a tab in the Predefined Mosaic Market Scanners . The
Complex Orders and Trades scan returns all complex combination strategies on a specific underlying that
have a a native bid/ask quote or that have traded today. To find the strategy that has traded the most today,
sort the results by Volume (click on the Volume column to sort).

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To open the Complex Orders and Trades scanner

From Mosaic - From the New Window drop down select Complex Orders and Trades Scanner.
From Classic TWS - From the Analytical Tools menu, select Complex Orders and Trades Scanner.

Mutual Fund/ETF Replicator

The Mutual Fund/ETF Replicator finds a single or compound ETF whose performance parallels that of a
user-specified Mutual Fund or ETF, but whose fees are generally lower. Once you enter the contract or
symbol and the investment amount, the replicator scans the market and returns the top single and
compound ETFs in the recommended quantity (based on the investment amount) whose performance

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most closely follows that of your submitted asset. The Performance Analysis and Return Comparison
panels display performance correlation characteristics including the correlation, tracking error and a
comparison of management fees.

Use the Mutual Fund/ETF Replicator

Open the Mutual Fund/ETF Replicator.

From Mosaic - From the New Window drop down select Mutual Fund/ETF Replicator.
From Classic TWS - From the Analytical Tools menu select Mutual Fund/ETF Replicator.

Enter the fund or ETF symbol, or click Browse Mutual Funds to search by fund family.

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Modify the investment amount, if desired.

View comparison between returned ETF(s) and the original entered contract.

This comparison is intended for information purposes only, and does not constitute a recommendation or
solicitation to buy or sell securities. There is no guarantee that any correlation displayed within this tool will
continue into the future, or that the displayed ETFs will have a similar investment return into the future as
the entered fund or ETF. Customers are solely responsible for their own trading decisions.

Options Analysis
Use or options labs to create the best strategies for your portfolio.

Volatility Lab

Comprehensive toolkit of volatility tools the provide a snapshot of past and future readings for vol on a
stock, its industry peers and soem measure of the broad market.

Volatility Lab

A comprehensive toolkit of volatility tools providing a snapshot of past and future readings for: volatility on a
stock, its industry peers and some measure of the broad market.The Volatility Lab comprises three tabbed
workspace snapshots for Implied Volatility, Historical Volatility and Industry Comparison.

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To open the Volatility Lab

From within Mosaic, use the New Window drop down.

From within TWS, use the Trading Tools window.

Implied Volatility Tab

The Volatility Lab opens to the Implied Volatility layout by default. Move between layouts (Implied Volatility,
Historical Volatility, Industry Comparison) using the tabset along the bottom frame. The Implied Volatility
layout comprises five windows:

Implied Volatility Window

This displays the measure of anticipated volatility of the stock using the prevailing option premium. The plot
allows the user to display the IV reading for as many or as few of the available last trading days. Each is
color-coded with the reading for implied volatility measured on the right axis and the stock price is traced
using the grey line. This look-back view of IV can be plotted for 1 week, one, two and six months, one year
or a custom period. The user may be able to immediately tell from the readings whether or not implied
volatility is relatively high in any given month, possibly caused by expected earnings announcements or
uncertainty over possible changes to dividend payments.

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Volatility Profile Window

Shows the Historical and Implied readings of volatility side-by-side, over time. Either measure can be
removed from the screen by clicking on the checkbox. Compare actual stock volatility to the forward
measure apparent through option premium, and gauge how far the two measures deviate over time in
response to market shocks, or as the underlying share prices track higher or lower. The window allows the
user to look back over a one-year period. Use the Configure Wrench icon to change modes. In the Volatility
Profile window the default view compares historic and implied readings of volatility but the alternate mode,
Volatility Profile Comparison, shows the readings of implied volatility on industry comparable stocks.

Multi-Expiry Skew

Displays the “volatility smile” created by the premium paid for options at selected expirations. Because an
option’s premium is significantly comprised of the reading of implied volatility, an option trader is concerned
by the respective cost of calls and puts at strike prices above and below the prevailing price of the
underlying shares. When investors are more willing to pay higher premiums for in-the-money calls or out-
the-money puts, the volatility curve may show a skew to price points below the prevailing share price.
Conversely if options are priced higher for out-of-the-money calls and in-the-money puts, the volatility
curve might be skewed higher to points above the prevailing share price. Use the Configure Wrench icon to
change between Multi-expiry Skew, Time Lapse Skew (described in #4 below) and Skew Comparison
(which allows the user to view the skew on a specified expiration date for the ticker and its industry
comparables, any of which can be unchecked above the plot. Because we could be viewing stocks or an
index with hugely different prices, the x-axis defaults to Moneyness rather than any individual share price).

You change the display for Multi-expiry and Time Lapse skews to compare Moneyness or Strike.
Moneyness is the position of the strike to the underlying, while the Strike option will display the actual set of
available strike prices on the x-axis. Use the Custom Calendar drop-down menu in the upper right of the
screen to drive the same view to any available prior date. The user can then compare how long a particular
condition may have been in place. Note also that the display can be changed between Moneyness and
Strike using the Configure Wrench icon.

Time lapse Skew

An option trader may be interested in knowing how such a price skew has evolved. By using the Time

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Lapse Skew panel, the user can plot the current volatility skew for a selected expiration and compare to
any prior period reading of one day, one, two and three weeks and one month ago. This allows investors to
identify changing conditions in the option market or perhaps to identify a catalyst that caused skew to occur
or disappear.

Open Interest

view current or historic open interest for available contract months and strikes. Choose any available expiry
and view the combined put and call reading of open interest. The plot can be restricted to specific strikes or
will default to open interest across all strikes. Open interest measures investor enthusiasm for a particular
stock and also identifies strikes where most or least liquidity might be available. Note also that in the upper
right corner there is a calendar drop-down menu that allows the user to view open interest on chosen
months or strikes from prior dates. Just pick the time period and select that date.

Use the Configure Wrench icon to change modes between Open Interest and Option Volume. The Chart
allows the user to determine whether to see volume or open interest for Puts and Calls combined in one
chart (Puts + Calls) or broken out into bull and bear contracts in two charts (Puts & Calls). Use the calendar
dropdown to review activity or positioning from any prior calendar date.

Historical Volatility Tab

This tab comprises the Historical Volatility window, along with the Volatility Profile and Time Lapse Skew,
both of which are described above (#2 and #4).

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Historical Volatility

This plot defaults to the 30-day reading of both implied and historical volatility plotted against the share
price over a custom period. By clicking on the plus arrow the user can select from an array of calculations to
view historical volatilities. Investors may want to see how high and for how long volatility measures rise or
fall when they suffer significant swings driven by aberrations to the trend for the underlying share price. The
grey line in the background plots the reading for the underlying share price.

Industry Comparison
The five-window Industry Comparison workspace provides comparison of a stock’s volatility
measures against those of comparable companies in the same industry group.

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Custom Comps

The company is grouped in the upper pane along with its competitors with a share price and volatility
comparison. Check related companies to see their data reflected across all windows.

Implied Volatility Comparison

The measure of volatility for each of the selected companies appears below in the Implied Volatility
Comparison window along with the share price of the company under analysis, which is plotted as a gray
line in the background. Click the "+" sign to add competitors or the comparison to the S&P 500 index. Note
also that you can add a company that is not considered a competitor by TWS by entering its ticker symbol
into either of the Custom input fields. This feature allows you to compare the implied volatility display on an
industry against that of a stock in another field. The default time frame for this chart is two-months. Use the
Time Period drop-down menu to choose from the available time frames to tailor the view. Use the
Configure Wrench icon to change modes.

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Underlying Price

In addition to displaying volatility comparisons, this tab allows the user to compare the share price
performance of the chosen underlying with its peer group, the S&P 500 index, and other custom-defined
companies. Any tickers you may have entered in the Volatility Comparison plot will show up here, but these
can be removed by deselecting them above the chart. Note also that the time period is configurable by
selecting the drop-down menu in the upper right of the chart.

Skew Comparison

This plot is discussed above.

Volatility Profile Comparison

This plot is discussed above.

Volatility Over Time

Implied Volatility Window

This displays the measure of anticipated volatility of the stock using the prevailing option premium. The plot
allows the user to display the IV reading for as many or as few of the available last trading days. Each is
color-coded with the reading for implied volatility measured on the right axis and the stock price is traced
using the grey line. This look-back view of IV can be plotted for 1 week, one, two and six months, one year
or a custom period. The user may be able to immediately tell from the readings whether or not implied
volatility is relatively high in any given month, possibly caused by expected earnings announcements or
uncertainty over possible changes to dividend payments.

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Historical Volatility
This plot defaults to the 30-day reading of both implied and historical volatility plotted against the share
price over a custom period. By clicking on the plus arrow the user can select from an array of calculations to
view historical volatilities. Investors may want to see how high and for how long volatility measures rise or
fall when they suffer significant swings driven by aberrations to the trend for the underlying share price. The
grey line in the background plots the reading for the underlying share price.

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See the complete Volatility Lab.

Volatility Skew

Multi-Expiry Skew
Displays the “volatility smile” created by the premium paid for options at selected expirations. Because an
option’s premium is significantly comprised of the reading of implied volatility, an option trader is concerned
by the respective cost of calls and puts at strike prices above and below the prevailing price of the
underlying shares. When investors are more willing to pay higher premiums for in-the-money calls or out-
the-money puts, the volatility curve may show a skew to price points below the prevailing share price.
Conversely if options are priced higher for out-of-the-money calls and in-the-money puts, the volatility
curve might be skewed higher to points above the prevailing share price. Use the Configure Wrench icon to
change between Multi-expiry Skew, Time Lapse Skew (described in #4 below) and Skew Comparison
(which allows the user to view the skew on a specified expiration date for the ticker and its industry
comparables, any of which can be unchecked above the plot. Because we could be viewing stocks or an
index with hugely different prices, the x-axis defaults to Moneyness rather than any individual share price).

You change the display for Multi-expiry and Time Lapse skews to compare Moneyness or Strike.
Moneyness is the position of the strike to the underlying, while the Strike option will display the actual set of
available strike prices on the x-axis. Use the Custom Calendar drop-down menu in the upper right of the
screen to drive the same view to any available prior date. The user can then compare how long a particular
condition may have been in place. Note also that the display can be changed between Moneyness and
Strike using the Configure Wrench icon.

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Time lapse Skew

An option trader may be interested in knowing how such a price skew has evolved. By using the Time
Lapse Skew panel, the user can plot the current volatility skew for a selected expiration and compare to
any prior period reading of one day, one, two and three weeks and one month ago. This allows investors to
identify changing conditions in the option market or perhaps to identify a catalyst that caused skew to occur
or disappear.

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See the complete Volatility Lab.

Probability LabSM (Patent Pending)

Use the Probability Lab to customize the Probability Distribution based on your price or volatility forecast
for the underlying ticker. Analyze and trade any of the option combinations suggested from your probability
distribution.

To open the Probability Lab

From within Mosaic, use the New Window drop down.

From within TWS, use the Trading Tools window.

To use the Probability Lab

Enter a ticker and select a last trading day. The market defined Probability Distribution (PD) is built.

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In the Probability Distribution Builder, grab the red bar in any price interval and pull it up if you believe
there is a higher probability of the stock price ending up in that price interval at the expiration date specified.
Pull it down if you believe there is a lesser probability of the stock price ending up in that interval at the
expiration date specified.

All probabilities must add up to 1.00 so you will see the other levels adjust when you make changes in any
price interval.

You can also adjust the probability using the up/down arrow icons near the values, or by dragging the hand
icon to the left or right within the distribution graph.

When you are satisfied with your custom PD, specify desired parameters, select the minimum number of
legs you want in your option strategy and click Build Strategy.

a. Roll Existing Positions - When applicable, allows you to select existing positions in the
underlying to include in the strategy. The Strategy Builder will attempt to create a
strategy that gets you out of the selected position. Only positions that expire before the
selected last trading day will be displayed, and only two positions can be rolled. If the
user-defined max number of legs below is too small, it will be adjusted. Cannot be used
in conjunction with Incorporate Existing Positions feature.
b. Incorporate Existing Positions - Check to have your existing positions in the under-
lying included in the computation used to build a strategy. Once you have built the
strategies, you can view the data for the strategies both with and without the selected
existing positions being included by checking/unchecking the "Existing Positions" feature
in the blade of the Strategy Scanner. Cannot be used in conjunction with Roll Existing
Positions feature.
c. Delta Neutral - Check to only build strategies that are delta neutral.

d. Include Stock Leg - Check to have the underlying stock included as a leg in the
returned strategies.

The Strategy Scanner (in the panel below the PD Builder) will display three potential combination option
strategies that complement your customized PD. For each strategy (and based on your custom PD) the
selector displays the Expected Profit, Sharpe ratio (which shows the ratio of expected profit to variability of
outcome), net debit or credit, percent likelihood of profit, max potential profit and loss and the associated
probabilities, and the margin requirement if you were to trade the strategy.

To create an order, in the Strategy Scanner select the strategy. To view color-coded representations in
the Strategy Performance Detail graph, check the strategy.

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a. Probability Basis - Choose the probability basis for calculations using the drop down
selector.
b. Existing Positions - If you have elected to Include Existing Positions when building
strategies, you now have the option to view data (including P&L in the performance
details graph and data point in the strategy scanner) both including and excluding your
existing positions in the underlying using the Existing Positions checkbox that will display
next to the Probability Basis drop down list. Check to include; uncheck to exclude.

In the Strategy Adjustment/Order Entry panel, adjust any parts of the strategy by clicking in a field in the
leg you want to modify. For any leg, you can modify the action, ratio, last trading day, strike or type.

Once the legs are defined, use the Order Entry line to modify any order parameters. Use the advanced
order area to create a hedging stock order and to attach order attributes including iceberg and all or none.

When the order is ready to be sent, click Submit.

Use the Strategy Performance Detail graph to see the predicted profit or loss that would result from the
selected trade if your forecast is accurate, along with the associated probability that corresponds to each
price point. Use the drop down list to select Delta, Gamma, Vega, Theta or Rho for display.

Option Strategy Lab

Enter your price or volatility forecasts for an underlying and the Option Strategy Lab will return a list of
single and complex option strategies that will potentially profit based on the forecast.

To open the Option Strategy Lab

From within Mosaic, use the New Window drop-down and select Option Analysis and then Option
Strategy Lab.
From within Classic TWS, use the Trading Tools menu and select Option Strategy Lab.

When you first open the Option Strategy Lab, the Strategy Scanner opens to allow you to enter your
forecast data.

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To populate the Option Strategy Lab

In the Strategy Scanner, enter the underlying.

Define your forecast, including:

The range, between now and a selected last trading day.

Price or Volatility as the forecast driver.
The predicted action of the price or volatility. Choose from:
Drop
Rise
Be rangebound
Move at least
The increment and unit (choose from value or percentage)

If desired, filter your results by Premium, Delta, Strike or Last Trading Day. You can select multiple filters
and define multiple values within each filter.

Click Done to populate the lab.

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Order Entry

The strategy selected in the scanner populates the Order Entry panel. Each time you select a new strategy
the Order Entry panel is repopulated.

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Modify order parameters in the Order Entry section at the bottom of the panel, and click Submit to trade the
strategy. Before you submit the order, you can analyze the forecast-based strategy using the charts and
graphs.

Analyze Strategies in the Scanner

Based on your forecast, the scanner returns a list of options or complex option strategies that will
potentially be profitable if your forecast is correct. Some fields in the scanner include:

Expected Profit

Sharpe Ratio - the measure of excess return (the risk premium) per unit of deviation for the strategy.

Return/Risk Ratio - the ratio of the max potential gain to the max potential loss.

Probability of Profit - the market implied probability of any gain.

Maximum Potential Gain

Maximum Potential Gain as a Percentage of your Investment

Maximum Potential Loss

Maximum Potential Loss as a Percentage of your Investment

Break Even Point - the underlying price(s) required for a strategy to break even.

Hold your mouse over a value in any field to see the definition. Add more fields by clicking the Configure
wrench icon and then selecting Configure Columns.

Analyze the Price Target

The Price Target chart shows the current underlying price highlighted in yellow, and the target price based
on your forecast in red.

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The blue shaded area represents the estimated price range to one standard deviation. Drag the dotted line
to change the expiration date.

Compare Strategy Performance

Each strategy checked in the scanner is represented in the comparison chart.

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By default the chart is set to today's date, but you can choose the last trading day you specified in your
forecast or any date between today and the last trading day.

Strategy Detail

The Performance Details charts provide a close-up look at the option or strategy selected in the scanner.
Use the selector to change the comparison category.

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The last trading day is driven by the date in your forecast, and can be changed by changing the date in the
Performance Comparison, or by dragging the date line in the Price Target chart.

Option Activity

Open Interest and Option Volume

view current or historic open interest for available contract months and strikes. Choose any available expiry
and view the combined put and call reading of open interest. The plot can be restricted to specific strikes or
will default to open interest across all strikes. Open interest measures investor enthusiasm for a particular
stock and also identifies strikes where most or least liquidity might be available. Note also that in the upper
right corner there is a calendar drop-down menu that allows the user to view open interest on chosen
months or strikes from prior dates. Just pick the time period and select that date.

To view Open Interest/Option Volume

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From the New Window dropdown, select Option Analysis then select Option Activity and then Open
Interest/Option Volume by Strike.

Use the Configure Wrench icon to change modes between Open Interest and Option Volume. The Chart
allows the user to determine whether to see volume or open interest for Puts and Calls combined in one
chart (Puts + Calls) or broken out into bull and bear contracts in two charts (Puts & Calls). Use the calendar
dropdown to review activity or positioning from any prior calendar date.

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Option Analytics

The Option Analytics window displays values that reflect the rate of change of an option's price with
respect to a unit change in each of a number of risk dimensions.

The contract price plots display the static set of contract prices determined during the price scan. Each
point associates an underlying price on the horizontal axis with the corresponding contract price on the
vertical axis. Note that the contract price is expressed as the price per underlying unit (just as it is
represented on an order line or in the execution window). The top plot displays calls, the bottom plot
displays puts, for whichever option(s) your have highlighted in the list.

Move your mouse over the curves to highlight the current value. Also, note that the current underlying price
is highlighted on the bottom axis, and the close price is marked by a light gray vertical line.

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Use the Plus sign to specify the close value. Use the Vol+15%, Vol-15% and Time-1d raise the implied
volatility by 15% in relative change*, reduce the implied volatility by 15% in relative change*, and reduce the
time to expiry by one calendar day. Use the Date Scenario section to create dynamic curve scenarios.

To view the Option Analytics window

From Mosaic - Use the New Window drop down and select Option Analysis > Interactive Analytics >
Option Analytics.
From Classic TWS - Use the Analytical Tools menu and select Option Analysis > Interactive Ana-
lytics >Option Analytics from the Technical section.

*For an example of a relative percent change, if the current implied volatility of an option is 10%, a 15%
relative change would result in an implied volatility of 11.5%, calculated as follows:

10% * (1 + 0.15) = 11.5%.

Additionally you can open just the option Greeks or just the Put & Call P&L by selecting:

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Option Analysis > Interactive Analytics > Greeks

Option Analysis > Interactive Analytics >Put+Call P&L

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Option Analytics Greeks

You can elect to open only the Greeks section of the Option Analytics window.

To open the Greeks

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From Mosaic - From the New Window drop down select Option Analysis > Interactive Analytics >
Greeks.
From Classic TWS - From the Analytical Tools menu, select Option Analysis > Interactive Analytics >
Greeks.

Option Analytics P&L

You can elect to open only the P&L section of the Option Analytics window.

To open the Option P&L

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From Mosaic - From the New Window drop down select Option Analysis > Interactive Analytics > Put
+ Call P&L.
From Classic TWS - From the Analytical Tools menu, select Option Analysis > Interactive Analytics >
Put + Call P&L.

Option Analytics

The Option Analytics window displays values that reflect the rate of change of an option's price with
respect to a unit change in each of a number of risk dimensions.

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The contract price plots display the static set of contract prices determined during the price scan. Each
point associates an underlying price on the horizontal axis with the corresponding contract price on the
vertical axis. Note that the contract price is expressed as the price per underlying unit (just as it is
represented on an order line or in the execution window). The top plot displays calls, the bottom plot
displays puts, for whichever option(s) your have highlighted in the list.

Move your mouse over the curves to highlight the current value. Also, note that the current underlying price
is highlighted on the bottom axis, and the close price is marked by a light gray vertical line.

Use the Plus sign to specify the close value. Use the Vol+15%, Vol-15% and Time-1d raise the implied
volatility by 15% in relative change*, reduce the implied volatility by 15% in relative change*, and reduce the
time to expiry by one calendar day. Use the Date Scenario section to create dynamic curve scenarios.

To view the Option Analytics window

From Mosaic - Use the New Window drop down and select Option Analysis > Interactive Analytics >
Option Analytics.
From Classic TWS - Use the Analytical Tools menu and select Option Analysis > Interactive Ana-
lytics >Option Analytics from the Technical section.

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*For an example of a relative percent change, if the current implied volatility of an option is 10%, a 15%
relative change would result in an implied volatility of 11.5%, calculated as follows:

10% * (1 + 0.15) = 11.5%.

Additionally you can open just the option Greeks or just the Put & Call P&L by selecting:

Option Analysis > Interactive Analytics > Greeks

Option Analysis > Interactive Analytics >Put+Call P&L

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Strategy Performance Graph

Displays the P&L (or any of the Greeks) as a function of the underlying price. The graph is displayed as part
of the Performance Profile, and can also be opened as its own window.

To open the Strategy Performance Graph

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From Mosaic - From the New Window drop down list select Option Analysis and then Strategy Per-
formance Graph.
From Classic TWS - From the Analytical Tools menu, select Option Analysis and then Strategy Per-
formance Graph.

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Portfolio Analyst
PortfolioAnalyst allows you to evaluate the performance of your IB portfolio by creating and saving reports
based on a set of measurement criteria and optionally comparing their data to selected industry
benchmarks. Once you create and save reports, you can run, edit or delete them.

Portfolio Analyst is part of Account Management. For details, please see the Portfolio Analyst section of the
Account Management.

Wall Street Horizon Data

Subscribe to Wall Street Horizon to see ticker-specific events calendars and industry-related events for
thousands of companies worldwide. The Events Calendars display dates for earnings announcements,
shareholder meetings, investor conferences and other events, and provides links to Seeking Alpha
transcripts whenever available.

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To access the WSH Corporate Events Calendar

From Mosaic - From the New Window drop down select WSH Corporate Events Calendar.
From Classic TWS - From the Analytical Tools menu select WSH Corporate Events
Calendar.Then select My Portfolio to see events for companies in your portfolio, or Selected company
to see events for the company selected in the Quote Monitor. See below for detailed instructions on
company-specific display.

If you don't see this command listed in the Fundamentals section of the Analytical Tools men, use the
Expand arrow at the bottom of the list to display hidden menu items.

Select a future event in either table and click Set Alert to create a message or order action alert.

Click the blue hypertext to access a transcript.

You can also view the Events Calendar for one or multiple tickers.

To view Events for specific tickers

1. Start in the Classic TWS interface.

2. From a Quote Monitor, select a ticker or select multiple tickers by holding down the Ctrl key and click-
ing the market data lines.
3. From the WSH Corporate Events Calendar menu command choose Selected company.

You can also view recent events for your portfolio, which comprises all of your current positions.

To view a Portfolio Events Calendar

1. From the Analytical Tools menu, select Event Calendar and then My Portfolio.

Note: If you have a large portfolio, it may take several minutes for all of the data to load. You may
want to consider viewing events for a subset of tickers using the procedure above.

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Recent events are listed in the Events table, sorted by date.

Click the Underlying field heading to re-sort the table by underlying. Click any other field to re-sort by
that field.
Hold your mouse over the Earnings Call Information icon to see dates for upcoming Earnings calls.
Select a line and click the Company Fundamentals button to open that tool for a single underlying.

The Toolbox
The Mosaic Toolbox includes a predefined list of quick links to useful tools that use windows grouping to
link them to the primary Mosaic group. Click an item to open the tool populated with the currently selected
underlying.

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To display the toolbox

From Mosaic - From the New Window drop down select Toolbox.
From Classic TWS - From the Analytical Tools menu in the Technical section select Toolbox.

Information System
News and fundamentals abound throughout the Information System.

Event Calendars 140

Fundamentals 142

Analyst Ratings (Summary) 144

Ownership Tear Sheet 145

Analyst Research 147

Event Calendars
Find economic events, earnings, dividends and splits and more in our Event Calendars.

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Daily Lineup

Designed to be viewed first thing in the morning, the Daily Lineup provides a birds-eye view of upcoming
market events. IBIS subscribers will see the Daily Lineup when they first log in, and can view the summary
at any time during the day by selecting Daily Lineup from the New Window > Information System menu.

The Daily Lineup updates in realtime throughout the day. Thumbnail charts in the World Markets change
based on the selected contract. In the News sections, click a headline to view the full story.

To view Daily Lineup

From Mosaic - From the New Window drop down select Daily Lineup.
From Classic TWS - From the Analytical Tools menu select Daily Lineup.

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Fundamentals
Customers who subscribe to Wall Street Horizon have access to comprehensive high-quality financial
information on thousands of companies, in the form of company and portfolio events.

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To access Company Fundamentals

1. Select an underlying symbol.

2. Use the right-click menu to select Analytical Tools, and then select Company Fundamentals.
3. Use the drop-down list in the title bar to change windows. Availability is based on your subscriptions.
Choose from the company Summary, Financial Summary, WSH Corporate Event Calendar,
Dividend Calendar, Analyst Recommendations, Financial Ratios, Financial Statements, Analyst
Forecasts, Similar Products, SEC Filings, and Insider Trading.

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Analyst Ratings (Summary)

Our sell-side Analyst Rating Summary tear sheet provides summary rating and price target statistics, along
with upgrade/downgrade history and TipRanks fundamental analysis. The Summary tab graphs mean
ratings history, price target history and rating distribution over time. The Coverage tab displays TipRanks
Analyst Consensus and its breakdown, the Analyst Price Target, and a list of analysts.

To view Analyst Ratings (Summary)

From within Mosaic, use the New Window drop down to select Fundamentals then Analyst Ratings
(Summary).

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Ownership Tear Sheet

Detailed insider and institutional ownership statistics and graphs to incorporate into your investment
strategies. The Insider and Institutional Ownership tear sheet provides detailed institutional and insider
ownership rosters with a graph of ownership percentage over time, and an insider trade log.

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To view Ownership Tear Sheet

From within Mosaic, use the New Window drop down to select Fundamentals then Ownership).

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Analyst Research
Research and analysis from top providers.

Analyst Actions

The top panel summarizes upgrade/downgrade activity for companies including those in your watchlist and
portfolio and competitors of those companies. The lower panel provides upgrade/downgrade details.
Yellow tick dot identifies Watchlist or portfolio companies; blue tick dot identifies category competitors.

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To open the Analyst Actions window

From Mosaic - From the New Window drop down select Analyst Research and then Analyst
Actions.
From Classic TWS - From the Analytical Tools menu, select Analyst Research and then Analyst
Actions.

Recent Publications

Recent headlines from all or any of your subscribed publications are listed.

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To open Recent Publications

From Mosaic - From the New Window drop down select Analyst Research and then Recent Public-
ations.
From Classic TWS - From the Analytical Tools menu select Analyst Research and then Recent
Publications.

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Trading Tools
TWS provides a comprehensive collection of specialized trading tools that function separately as stand-
alone windows, and in conjunction with other TWS tools. Our expanding family of order management
applications include:

BasketTrader 155

Transmit a Basket Order 156

Create a Basket File in TWS 157

Manually Create a Basket File 159

Basket Fields 161

BookTrader 165

Open BookTrader 166

Trade with BookTrader 167

BookTrader Quantity Multipliers 170

BookTrader Order Handling 171

BookTrader Hotkeys 174

BookTrader Colors 179

BookTrader Buttons 182

ChartTrader 183

Open ChartTrader 184

Create and Transmit Chart Orders 185

ComboTrader 187

About Combination Orders 187

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Create a Combination Order 191

Using the ComboTrader 195

Advanced Combo Routing 199

Transmit a Combination Order 202

Notes on Combination Orders 203

EFPs 204

Relevant EFPs 204

EFP Futures Spreads 206

FXTrader 207

The FXTrader Window 208

The FXTrader Trading Cell 209

Using the FXTrader 210

The Integrated Stock Window 212

Quote Panel 212

Book Data Panel 213

ISW Buttons Panel 215

Order Entry Panel (OEP) 216

Auto Orders 218

ISW Order Entry Sub Panels 220

Market Depth 222

Market Depth Trader 222

Market Depth Trader for Bonds 224

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Market Depth Buttons Panel 225

Create an Order 226

Merger Arbitrage Window 228

OptionTrader 230

Using the OptionTrader 231

Loading Option Chains 233

OptionTrader Strategy Builder 234

The Button Panel 236

OptionTrader Statistics 237

OptionTrader 239

The Order Ticket 242

Basic 242

Advanced Combo Routing 248

Adjustable Orders 251

Scale Orders 254

Pegged Orders 258

Volatility Trading 259

Conditional 263

Miscellaneous 265

Pre-Borrow Shares for Shorting 270

About Pre-Borrows 270

Create a Pre-Borrow Order 271

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Pre-Borrow Returns 273

Order Quantity Calculator 274

Determine Order Quantity 274

Calculate Order Quantity 275

Rapid Order Entry 278

Enter Orders using Rapid Order Entry 278

Update Multiple Orders 280

Create "Instantaneous Transmit" Hot Key 282

Rebalance Your Portfolio 283

The Rebalance Window 284

Import and Export Positions to Rebalance 285

Rebalance for Advisors 289

SpreadTrader 291

Create Futures Spreads with SpreadTrader 291

EFP Futures Spreads 294

Create Option Spreads in SpreadTrader 296

TWS Blotter 298

Using the TWS Blotter 299

Understand the Blotter Interface 300

Manual Ticket Entry 302

Advisor Allocations 305

Receive Electronic Tickets 305

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Use Color Grouping to Link Blotter Windows 308

Using the Tickets Panel 309

Using The Orders Panel 311

What is an Away Destination? 313

Manage Orders with TWS Algos and Tools 317

Reading the Trades Panel 318

Display Orders by Filter Criteria 318

Order Sharing Modes 320

Configure the Blotter Panels 322

Trade Volatility 325

Volatility Trading 325

Attach a Delta Hedge Order 328

Volatility Trading 330

Write and Roll Options 333

Write Options 333

Write/Roll Options: Option Chains 335

Rollover Options 336

BasketTrader
Use the BasketTrader to manage groups of orders on multiple products, and to easily create an order
group modeled on a popular index.

Transmit a Basket Order 156

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Create a Basket File in TWS 157

Manually Create a Basket File 159

Basket Fields 161

Transmit a Basket Order

Before you can select and transmit a basket order, you must create and save the basket file.

You can modify a basket order before you transmit by adding or removing instruments, changing the
multiplier, reversing the order sides, and electing to convert limit orders to market, relative, or RPI orders.

You can modify the basket quantity in the Execute Basket section. By default, the quantity is 100%.

Change the percentage. This will be applied to each order in the basket. For example, if you change
the quantity to 50%, the total quantity for each instrument is reduced by half.
Set a dollar amount. Switch the Quantity unit to "USD" and enter a value. By default, the system will
divide the number of instruments in the basket by the dollar value and allocate the same amount to
each, so a basket of 20 instruments with a quantity of 15,000 USD would allot 750 USD to determine
the number of shares to transact, regardless of the current price of the instrument. To modify this
default, check "Use per-contract quantity percentage," and in the "%" field for each individual instru-
ment, specify the percent to allot to that instrument. The total must equal 100%. If you do not see the
"%" field, add it by holding your mouse over an existing field and selecting "Insert Column." From the
Basket category select "%".

Note that the system cannot guarantee the basket quantity when it is other than 100% due to exchange
required order size rounding. This means that the value of the basket could be significantly higher than
expected.

When you transmit a basket order, each order in the basket is cleared individually. If your account does not
meet margin requirements, it is possible that only a portion of the basket order will fill.

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Create a Basket File in TWS

TWS will automatically create a basket file from a group of non-transmitted orders on a trading page. When
you want to trade or manage baskets, open the basket file from the BasketTrader. You can create a basket
file manually and import it into BasketTrader.

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Note: TWScreates a basket file from orders on a single trading page. You can easily combine
orders from multiple files into one using MS Excel.

To automatically create a basket file

From within the Classic TWS interface:

1. Create orders to include in the basket file.

Click the Ask Price on a market data line to create a BUY order.
Click the Bid Price on a market data line to create a SELL order.
2. Modify order parameters and define order attributes.
3. On the Trade menu, select Save Orders as Basket.

If Save Orders as Basket is not visible, click the Hidden Features arrow at the bottom of the menu to display
the command.

4. In the dialog box, review or rename the file and use a .csv extension (i.e. stocks.csv) and click OK.

The system uses the Trading page name as the default basket name.

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5. Cancel the orders you created. Use the Trade menu and select Cancel then Cancel All Orders on
Page.

The BasketTrader supports Bracket orders, but baskets that include brackets will have the Reverse and
Cancel and Reverse features disabled. Remember to create the bracket order(s) on the Quote Monitor
and then save the brackets as a basket file. You cannot create bracket orders within the BasketTrader
itself.

Manually Create a Basket File

A valid basket file will have a clean relationship between the header row and order rows. The header fields
can occur in any order as long as the values in the order rows correspond to the Header field.

Format the basket file as shown below, where the top row is the Header row, and subsequent rows are
order rows. The Header Row includes field titles for each order value. The Order Row includes order
values that correspond with the appropriate Header Row field title for that order type.

Field 1 Field 2 Field 3 Field 4 Field 5 Field 6 Field 7 Field 8

value value value value value value

value value value value value value value

value value value value value value value value

For example:

Notes about creating basket files:

For derivatives, if you use the format YYYYMM, we understand you are using the last trading day. If
you use the format YYYYMM we understand you are identifying the contract month. Both formats are
accepted in column E LastTradingDayorContractMonth.

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Valid Header Row fields include all TWS fields. For a starter list of some basic fields, see the Basket
Fields topic.
Child values in the order row fields must match the fields in the parent Header Row in content. For
example, if your Header Row field is Symbol and you enter the value STK in that field of the order row,
your file will not be readable.
Basket files created in a text editor must be saved as a .csv (preferred) or .bsk file.

Although not recommended for new files, the .bsk file extension is still supported in the new basket layout.

For basket files created in a text editor, do not leave a space between a value and its comma, or TWS
will not be able to read the file.
If you create your basket file in Excel, enter only one value (or no value) per cell and DO NOT use com-
mas.
Save your Excel basket file as a .csv file.
Fields in the Header Row need not be in any specific order as long as they have a corresponding cor-
rect value in the order row field.
If the order does not require a field value, that field can be left blank.

The major differences between the original and improved basket file formats include:

Old Basket File New Basket File

Old version supported only limited New version supports all TWS fields.
number of pre-defined fields.

Old version required you to enter New version does not require any specific order
order values in a specific sequence. sequence for fields.

Old version required only order New version requires a header row with order-
values (since the "header" fields specific field titles. Use multiple header rows in a
were hard-coded into TWS). single basket for order types that require
different field values.

Old version required blank New version requires an exact one-to-one

placeholders for values that were relationship between a header field and an order
not required. value; you cannot leave an order field blank if

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there is a header field defined.

Old version was saved as .bsk New version uses .csv (generic) file extension.
(TWS-specific) file.

Basket Fields
The table below lists many of the fields and values you can specify in your basket order. BasketTrader
recognizes all fields supported in TWS.

Some Basket File Header Fields/Order Values

Header Field Order Values

Symbol e.g. IBM, AMZN

SecType The security type including stk, opt, fut, fop, war, cash,
fund, efp, bag*

*Use the bag security type for spreads and combination

orders.

Last Trading Day YYYYMM

e.g. 201510 (for last trading day in Oct. 2015 )

Strike e.g. 42.5 or 37.0

Right P or C

Currency e.g. USD

Exchange Any valid destination, e.g. Smart, or NYSE or PHLX or

VWAP or IBEFP.

Note: To clarify any ambiguity for Smart routed contracts,

include the primary exchange along with Smart for the
destination, for example: Smart/NYSE.

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For Jefferies and CSFB algos, enter JEFFALGO or

CSFBALGO as the Exchange and use the Algo Strategy
field to enter the algo, i.e. VWAP or seek.

Header Field Order Values

Action BUY or SELL

Quantity e.g. 100 or 1

OrderType As defined in TWS Type field, e.g. LMT, REL, VWAP, STP
LMT.

LmtPrice e.g. 96.47 or 96

For EFPs, use a decimal number for the raw price, or a

percent value followed by A or C to designate Annualized
or Compounded rate, for example 5.200%A.

AuxPrice e.g. .05 or 1.25 or 2

PercentOffset Any decimal value between 0 and 1, e.g. .05

BasketTag Any unique string of alpha or numeric characters used to

identify the basket order. This tag appears in the Order
Reference field of the Trade report.

Time in Force Fields

Header Field Order Values

TimeInForce e.g. day, gtc, gtd, ioc, fok, opg, auc

GoodTilDate YYYYMMDD hh:mm:ss [zzz] where zzz is an optional time

zone. If you do not designate a time zone, TWS uses the
time zone from which the order originated.

GoodAfter YYYYMMDD hh:mm:ss [zzz] where zzz is an optional time

zone. If you do not designate a time zone, TWS uses the
time zone from which the order originated.

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Advisor Fields

Header Field Order Values

Account Existing account number.

Group Existing Account Group name.

Method Allocation Method, valid if a Group is named.

•  PctChange

•  AvailableEquity

•  NetLiq

•  EqualQuantity

•  PctOfPortfolio

Percent Use if Method = PctChange.

Profile Existing Allocation Profile name.

Non-Cleared Fields

Header Field Order Values

Account Account number.

OpenClose e.g. open, close

ShortLocation MPID of third party

ShortSale -1 (cust. has shares)

-2 (shares are with 3rd party)

Clearing Identify your clearing choice.

ClearingAccount Identity of the true beneficiary of the order.

Volatility Fields

Header Field Order Values

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ReferencePriceType A (average of best bid/ask) or B (NBB when buying a call

or selling a put; NBO when selling a call or buying a put)

HedgeOrderType Lmt, Mkt or Rel

HedgeAuxPrice Use to set the price if HedgeOrderType is used.

StockRangeLower Low stock price of the range used to cancel the order if the
underlying price falls below.

StockRangeUpper High stock price of the range used to cancel the order if the
underlying price goes above.

ContinuousUpdate True. If you don't want to use continuous update do not

include the field in the header row.

Miscellaneous Fields

Header Field Order Values

Algo Strategy Vwap, Twap, etc.

To use Jefferies or CSFB algo, you must enter the

appropriate Exchange.

Algo maxPctVol Max percent of volume for option algo.

Algo riskAversion Get done, Aggressive, Neutral, Passive

Algo True or False

forceCompletion

Algo NoTakeLiq True or False. Do not take liquidity. Valid for IB Algos

Algo True or False. Let the IB Algo run past the close.
AllowPastEndTime

Algo Speedup True or False. Algo will speed up when market price
approaches the limit price.

DiscretionaryAmt Price off the limit price to create Discretionary order.

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DisplaySize Defines the quantity of the order to be made public, creates

an Iceberg order.

OutsideRth True to allow order to trigger or fill outside regular trading

hours.

BlockOrder True

SweepToFill True

Hidden True

AllOrNone True

Minimum Quantity Number for minimum acceptable fill quantity for order to
execute.

OcaGroup Value that identifies the order as part of a group.

BookTrader
Create an order at any price, including the best bid and ask, with a single click in the BookTrader price
ladder.

To use the BookTrader to manage blotter orders, right-click a blotter ticket and select Trading Tools and
then select BookTrader.

Open BookTrader 166

Trade with BookTrader 167

BookTrader Quantity Multipliers 170

BookTrader Order Handling 171

BookTrader Hotkeys 174

BookTrader Colors 179

BookTrader Buttons 182

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Open BookTrader
Create an order at any price, including the best bid and ask, with a single click in the BookTrader price
ladder. BookTrader displays as a separate window for whichever contract you select. It shows a series of
prices above and below the best bid and ask in the price ladder.

To open BookTrader

1. Select a contract on the trading page.

2. Right click and select Trading Tools, then select BookTrader.

Orders transmitted from BookTrader are displayed on the Pending page and in the Orders panel of the
BookTrader.

NOTES:

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The number of deep book data windows that you can display at one time (including BookTrader, ISW
and Market Depth) is equal to 1 for every 100 allowed lines of market data, with a minimum of three
and a maximum of 30. Market data allowance is based on commissions, available equity and other cri-
teria. So a client with the minimum allowance of 100 lines of market data will be able to open 3 deep
book windows. A client with an allowance of 500 lines of market data will be able to open 5 unique deep
book windows.
For details on how market data allowances are calculated, see the Market Data and News overview
page on the IB website.
When subscription deep book data is at its window limit, additional windows will display aggregated top
level data, and the Deep Button panel will be hidden.
By default, BookTrader uses specific colors to convey information. You can customize these colors by
clicking the Configure button on the toolbar, and then selecting BookTrader Colors.
The current Cumulative Bid and Ask sizes are displayed at the top of the Bid Size and Ask Size
columns. To turn this feature off, use the Configure > Settings page.
When the inside market (or last trade price) moves outside the display area, the ladder will auto-
matically re-center on the inside market (or last trade price). When the user is scrolling the ladder using
either the Up/Down arrow keys or the scrollbars, and the inside market (or last trade price) falls outside
of the display area, auto-recentering will occur five seconds after the user has completed scrolling. This
five-second time period is counted down visually using an optional animated progress bar which is con-
figurable in the Re-center panel of the BookTrader Settings page.
By default, clicking in any size field initiates an order. If the order hasn't filled and you click another size,
the current unexecuted order is canceled and replaced with the new order. You can modify the way
multiple same-side orders are handled from the Settings page in BookTrader configuration.
You can open a blank BookTrader window by clicking the BookTrader icon on the trading toolbar. Use
the Underlying field to initiate contract selection.

Trade with BookTrader

To trade with BookTrader, click the Bid Size or Ask Size at a certain price level in the price ladder. The first
time you submit an order, you will be asked to confirm the order parameters. In this box you have the option
not to show the confirmation box again, and if you elect this option your orders will transmit instantaneously
from that point forward.

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Default mouse actions are described below. You can modify the default settings that control how orders
are handled using the Settings page in BookTrader configuration.

By default, the option to Use context cursors in armed mode is activated on the BookTrader Settings
configuration page. This feature displays helpful order-related information when you hold your cursor over
the Bid Size or Ask Size field in the price ladder.

To create a SELL Limit order in BookTrader

In the price ladder, click the Ask Size at the desired price level.

A limit order is created at the selected price level. You can manage the transmitted order from the Orders
panel at the top of the price ladder.

To create a BUY Limit order in BookTrader

In the price ladder, click the Bid Size at the desired price level.

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A limit order is created at the selected price level. You can manage the transmitted order from the Orders
panel at the top of the price ladder.

Use the BookTrader Quantity Multiples to create a series of quick-click buttons at different size multiples of
the default order quantity.

BookTrader Default Click Actions

The bullets below define the mouse click actions based on where you click:

Click on any Bid size to create a Buy Limit order at the selected price.

Click on any Ask size to create a Sell Limit order at the selected price.

Right-click on any Bid size to create a Buy Stop order.

Right-click on any Ask size to create a Sell Stop order.

Hold the Alt key and click on any Bid or Ask size to create a Bracket order.

Note: Note: The default click actions do not apply IF you have selected one of the BookTrader
Order Type Select buttons.

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For details on all system-configured BookTrader shortcuts, open the BookTrader Hotkeys window in
Global Configuration.

Default order information comes from the active order presets for the contract or instrument. For
information on using presets, see the Configure Order Defaults and Presets topic.

BookTrader Quantity Multipliers

To help speed order placement, you can define size multipliers in the order Preset that will create multiples
of the default order size and display them as quick-click order buttons in the BookTrader price ladder.

To set up BookTrader multipliers, use the Timing and Size section of the Order Presets. You can quickly
access this page by clicking the Configure wrench at the bottom right of the BookTrader Configure menu.

Activate the feature within BookTrader by selecting Display size multiple in Price Ladder from the
BookTrader Configure menu.

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The size multiple creates and submits instantaneous orders in the amounts specified x lot size. In the above
image for a stock, clicking the "6" multiple will create an order for 600 shares (6 x 100).

BookTrader Order Handling

Use the Configure>Settings area in BookTrader to change the way orders are handled and how the
order status is displayed. For details see the Configure BookTrader topic.

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When you select Show separate status column for each order in the Price Ladder Status Column area
of the Settings configuration page, BookTrader works in Advanced Mode. This enables several key
features:

First, it allows you to control BookTrader using only your keyboard. The mouse will still work to nav-
igate, but for users who don't want to take the time to move from the keyboard to the mouse and back
again, advanced mode gives you 100% keyboard control.
Second, when you create an order, a new Order column is created in which all parts of the order (par-
ent and child orders) are visible and can be modified. The new Order column appears to the right of the
price column for SELL orders (which you initiate by clicking in the Ask Size field) and to the left of the
price column for BUY orders (which you initiate by clicking in the Bid Size field).
Third, the order type select buttons become available for activation.

Note: You can click in the Order column to create child orders that belong to the parent order in the
Order column.
For example, if you create a buy Limit order, and then select the Target Limit order type button,
when you click at a different price level in the Order column (rather than in the Size column) the
target limit order is created as a child of the original limit order. If you click the Ask Size or Bid Size
column, a new Order column is created with another order.

Each new Order column may contain up to 4 elements:

The parent order (LMT)

The stop order (STP)
The stop limit (SLMT)
The target limit order (TLMT) - this is the limit order created as part of a bracket order, or a stand-alone
opposite-side limit order.

There are three ways to modify the price of an order; via the keyboard, by dragging with the mouse, or by
using the mouse click.

To modify order price via the keyboard

1. Tab through the application until you are in the Price Ladder.
2. Use the up/down arrows to highlight the order line in the price ladder.

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3. Use the left/right arrow keys to navigate to the order you want to modify.
4. Depress the Shift key to grab the order, and use the up/down arrow keys to move the order to a new
price level.
5. Release the Shift key to transmit the new order.

To move parent and child orders together, for example a bracket or stop limit order, depress and hold the
Alt key instead of the Shift key.

To modify order price by dragging with the mouse

1. Hold the mouse over the order until it becomes a two-headed arrow.
2. Click the order or suborder and drag it to a new price level.
3. Release the mouse key to create the order.

To move parent and child orders together, for example a bracket or stop limit order, press and hold the Alt
key while you click and drag.

To modify order price with a mouse click

1. Click the order and press and hold the Shift key.

2. Click in the desired price level and release the Shift key to create the order.

To move parent and child orders together, for example a bracket or stop limit order, press and hold the Alt
key instead of the Shift key in 1) above.

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The size of the order can be modified in the Order Confirmation box, or by clicking in the row header and
entering a new quantity as shown above.

Suborders can be canceled by right clicking on them (default) or using a hotkey. The bracket can be can
canceled by clicking the C on the row header.

BookTrader Hotkeys
This topic discusses the hotkeys that are specific to BookTrader or that have customizable options specific
to BookTrader.

For information on hotkeys that appear in the BookTrader hotkeys box but are available to all TWS
windows, see the general Hotkeys topic.

Hotkey Action Description

BookTrader

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Cancel Sub This hotkey will cancel an order in the Price Ladder.
Order

Decrease Set a left or right mouse-click event for a specific field that will decrease
BookTrader the order size of any BookTrader order by whatever number of ticks
Order Size you define.

Increase Set a left or right mouse-click event for a specific field that will increase
BookTrader the order size of any BookTrader order by whatever number of ticks
Order Size you define.

Re-center Set a hotkey to recenter the focus to either the last traded price, or the
midpoint bid/ask price. Set the re-center focus using the Settings page
in the BookTrader configuration area.

Create Orders

Add Auto Attaches an opposite-side stop order to the selected order.

Stop Order

Add Trailing Attaches an opposite-side trailing stop order to the selected order.
Stop Order

Attach Attaches a pair of orders (a limit and a stop order) to bracket the
Bracket selected order.
Orders

Buy Creates a buy order for the selected asset.

Buy or Sell Create a hotkey to buy or sell a specific product with it's own default
Specific order type, limit price, stop offset, time in force. etc. Use the Customize
Product tab of the Configure Hotkey box to set product-specific details.

If you select BookTrader Price for any of the price configurations, you
will only be able to set a mouse-click shortcut since using the
BookTrader Price requires you to click on a price in the price ladder.

Close Position Creates an opposite-side order to close out the position on the selected
contract.

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Reverse Creates an opposite-side order to reverse the position on the selected

Position contract. By default you need to transmit the order manually, but you
can elected to have this hotkey transmit reverse position orders
instantaneously by checking the feature in the Customize area of the
Configure Hotkey box.

Sell Creates a sell order for the selected asset.

Modify/Transmit Orders

Change Order Changes the order type of the selected order to a market order.
to Market

Decrease Decreases the order price or order quantity by a specified value.

Price or Size

Increase Price Increases the order price or order quantity by a specified value.
or Size

Modify Order Displays the Type dropdown list to let you select a different order type
Type for the active order.

Modify Time- Displays the Time in Force dropdown list to let you select a different
in-Force Time in Force for the active order.

Order Ticket Opens the Order Ticket. If you've highlighted a ticker, the order ticket
will be populated with that product.

Transmit Transmits the selected order.

Order

Update Limit Updates the limit price of the active, unexecuted order to reflect the
Prices price/offset you define on the Customize page of the Configure
Hotkey box.

Cancel Orders

Cancel All Cancels all orders on all pages in TWS.

Orders

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Cancel Cancels all orders associated with a specific asset.

Contract's
Orders

Cleanup Removes orders from the page. Use the customize area of the
orders configure Hotkey box to define whether to remove cancelled, filled
and/or untransmitted (including deactivated) orders from either the
active pages or all pages.

Deactivate A deactivated order is cancelled but remains on the page ready to be

transmitted.

Delete This hotkey can be configured to either delete rows, or delete and
Rows/Cancel cancel orders.
Orders

Tools

Add to Used to add a contract to the Rebalance window. This hotkey does not
Rebalance open, close or adjust any positions.
Window

Arbitrage Opens the Arbitrage Meter for the active index market data line.
Meter

Integrated Opens the ISW.

Stock Window

Show Opens the FX Trader module.

FXTrader

Show Market Opens the Market Depth module.

Depth

Show Opens the OptionTrader.

OptionTrader

Show Opens the portfolio Rebalance window.

Rebalance

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Window

Show Opens the SpreadTrader.

SpreadTrader

Realtime Activity Monitoring

Alarms Opens the Alarm Settings box for the active contract.

View Alerts Opens the Alerts window where you can view, edit or create an alert.

Analysis

Model Opens the Model Navigator window.

Navigator

Show Opens a Reuters Fundamentals page for the contract.

Fundamentals

Show IB Risk Opens the IB Risk NavigatorSM, our real-time price/risk analytics tool.
NavigatorSM

Show Option Opens the Option Analytics with focus on the selected options contract.
Analytics

Show real- When you have a contract selected, this opens the New Chart window
time charts where you can set parameters for the active contract to create a real-
time chart.

Miscellaneous

Clear Log Clears the Log panel.

Configure Opens the Presets configuration page for the active strategy.
Order Presets

Help Chat Opens the customer service Chat area of the Account Management
screen.

Minimize all Minimizes all open windows and puts them on the bottom of the status
windows bar.

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Msg Center Opens the customer service message center.

Request Logs you into the Customer Service area of the Account Management
Trade screen.
Cancellation

Search TWS Displays the Search field which you can use to find contract and
application information.

Show Displays the Description box for the selected contract.

Description

Show Details Displays contract details for the selected contract.

Show For the selected contract, displays the Earnings estimate.

Earnings
Estimate

Show For the selected contract, shows the account number and the current
Positions position.

View Account Opens the Account window.

View Trades Opens the Trades window.

BookTrader Colors
BookTrader displays a lot of information in a small space using colors and numbers.

Market Data Colors

The market data colors display after BookTrader is armed but before any order is transmitted.

The Bid Size column shows marketable bid prices in yellow. Values in this column represent the size
of an order at the specific price, and help show market depth.
The Ask Size column shows marketable ask prices in green. When a size appears in an ask size field,
this indicates the current best ask.
The Status field remains gray until you submit an order.

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Price Field - Background Colors

The current best bid price is shown by a Yellow background, with the size next to it in the Bid Size
field.
The current best ask price is shown by a Green background, with the size next to it in the Ask Size
field
The Last transaction is highlighted by a Slate Blue background.
The High price is highlighted by a Bright Blue background.
The Low price is highlight by a Red background.

The Average Cost (including commissions) is indicated by a highlight across the entire row. You'll
only see this if you hold a position in the active contract.

BookTrader Colors

Column Possible Color Notes

Name

Status Once you transmit an order, the status colors change. See
Order Status Colors table below.

Bid Size Indicates the size of the current best bid.

Indicates that a limit order has been transmitted (by clicking in

the field).

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Indicates a stop order has been transmitted (by right-clicking in

the field).

Price No color One in a range of prices displayed for the contract.

The current best bid price.

The current best ask price.

The price at which the last order executed, and the size of the
order.

The current high price.

The current low price.

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Ask Size Indicates the size of the current best ask.

Indicates that a limit order has been transmitted (by clicking in

the field).

Indicates a stop order has been transmitted (by right-clicking in

the field).

BookTrader Buttons
Order Type Select buttons

When you configure the Price Ladder Status Column to Show separate status column for each
order from the Settings configuration page, the Order type select buttons function becomes available.

These buttons override the default mouse click functions of BookTrader to create only the order type
selected. For example, if you click the LMT order type select button, any mouse click you perform in the
price ladder, even a right-click, creates a limit order.

To release the order type function and return to the default click actions, click None.

Basic Buttons panel

The BookTrader toolbar also includes a basic buttons panel.

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Cancel All - cancels all orders on the active BookTrader.

Clear Log - clears all order information from the white log area just above the buttons.
Re-center- click to keep the best bid/ask price or last traded price always visible in the center of the
BookTrader screen. Use the Configure menu to elect to have the ladder recenter around the midpoint
of the bid/ask, or the last price.
Configure- opens the Configuration dialog box.
Hotkey Details - displays a list of all current hotkeys for BookTrader.
Default size - displays the default order size based on the Preset for the instrument, and allows you to
change the default order size for BookTrader orders without re-configuring the Preset.

Deep Book buttons

Use the Deep Book Buttons to filter out market data from the price ladder. De-select a button to filter out
that data.

The Others button includes data from exchanges that don’t offer deep data; Level I data from deep
exchanges you have elected to filter out, and Level I data for exchanges that offer deep data but to which
you do not subscribe. Hold your mouse over the button to see the exchange’s data included.

ChartTrader
Use the ChartTrader to create and send orders directly from within any real-time chart.

To use the ChartTrader to manage blotter orders, right-click a blotter ticket and select Trading Tools and
then select ChartTrader.

Open ChartTrader 184

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Create and Transmit Chart Orders 185

Open ChartTrader
You can trade directly from a real-time chart using ChartTrader, which you display from the ChartTrader
menu from within a chart. Send instantaneous orders by clicking directly in the chart, or create and modify
an order from the Quote panel.

To open ChartTrader

1. First open a real-time chart by selecting a contract on the trading screen and using the right-click
menu to select Charts, then New Chart.

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2. From the View menu, select ChartTrader.

3. The ChartTrader is activated and displays the Orders, Log, Trades and Portfolio panels.

Create and Transmit Chart Orders

ChartTrader is designed to instantaneously transmit orders created with a single click within the chart.
Order parameters are picked up from the active order preset. Button actions and order defaults can be set
from the Chart configuration page

Instantaneously transmit an order

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1. Open the chart Configuration page, and choose Buttons.

2. Select a button and click Edit.
3. Check the red Transmit order instantaneously checkbox and click OK.
4. On the button panel, click the button you set up for instantaneous transmit to arm your cursor.

Any buttons set for instantaneous transmit will have an asterisk (*) next to their name.

5. Move your cursor into the chart and position the broken blue (for Buy) or red (for Sell) line at the
order price you want. Note that your exact price is displayed along the price axis.
6. Click to transmit an order. Your order appears in the Quote panel, and the broken line becomes
solid.

You can also create orders that do not transmit instantaneously.

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Create a Non-Instantaneous Order

From the Quote panel, click Bid (sell) or Ask (buy) to create an order in the Orders panel.

Note that you can also configure the ChartTrader buttons to create a modifiable order by unchecking the
red Transmit order instantaneously checkbox on the button configuration page.

ComboTrader
Create combination orders that include options, stock and futures legs. Note that only US option-stock and
option-option combo orders are guaranteed by IB to fill.

About Combination Orders 187

Create a Combination Order 191

Using the ComboTrader 195

Advanced Combo Routing 199

Transmit a Combination Order 202

Notes on Combination Orders 203

About Combination Orders

Create combination orders that include options, stock and futures legs (stock legs can be included if the
order is routed through SmartRouting). Although a combination/spread order is constructed of separate
legs, it is executed as a single transaction if it is routed directly to an exchange. For combination orders that
are SmartRouted, each leg may be executed separately to ensure best execution. You can also create a
futures EFP (Exchange of Futures for Physical) spread.

For details on using the VOL order type for combination orders, see the list of criteria in the Volatility
Trading topic.

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You can create a unique combination by manually defining an order leg by leg on the Pair of Leg-by-Leg
tab, or create an order or group of orders with a named strategy using a template, on either the Multiple or
Strategy tab. You can find a template to construct the following named combination strategies:

Box - An order to simultaneously purchase and sell two synthetics in identical numbers at different
strike prices.
For example: Buy 1 April02 95 call, Sell 1 April02 95 put, Sell 1 April02 100 call, Buy 1 April02 100 put.
Butterfly - An order to simultaneously purchase an option with one strike price, purchase an option
with a second strike price, and sell two options with a third strike price that is midway between the

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prices of the first two options. The ratio for a butterfly is always 1 x 2 x 1.
For example: Buy 10 March02 95 calls, Sell 20 March02 100 calls, Buy 10 March02 105 calls.
Buy Write - An order to simultaneously purchase (sell) a stock and sell (purchase) a call option of the
same underlying.
Purchase a Buy Write: Sell 1 XYZ April06 95 call, Buy 100 shares XYZ
Sell a Buy Write: Buy 1 XYZ April06 95 call, Sell 100 shares XYZ
Calendar spread - An order to simultaneously purchase and sell options with different expiration
dates, where both have the same underlying, right (call or put) and strike price. This spread is some-
times referred to as a time spread. A calendar spread whose options have different expiration dates
and different strike prices is sometimes referred to as a diagonal spread.
For example: Buy 1 June15 100 call, Sell 1 March15 100 call.
Collar - An order to simultaneously buy (or sell) a put option and sell (or purchase) a call option in
identical numbers where both have the same underlying and expiration date, but the call generally has
a higher strike price, and buy (or sell) the underlying stock.
Purchase a collar: Sell 1 XYZ APR 17 '14 190 CALL, Buy 1 XYZ APR 17 '14 185 PUT, Buy 100 share
of XYX
Sell a collar: Buy 1 XYZ APR 17 '14 190 CALL, Sell 1 XYZ APR 17 '14 185 PUT, Sell 100 share of
XYX
Conversion - An order to simultaneously sell (or purchase) a call option and purchase (or sell) a put
option in identical numbers where both have the same underlying, expiration date and strike price, and
purchase stock of the same underlying.
Purchase a conversion: Sell 1 XYZ April04 75 call, Buy 1 XYZ April04 75 put, Buy 100 shares XYZ
Sell a conversion: Buy 1 XYZ April04 75 call, Sell 1 XYZ April04 75 put, Sell 100 shares XYZ
Delta Neutral - An order to simultaneously buy (or sell) options contracts and sell (or buy) a delta
amount of the underlying. The quoted price is calculated as follows: effectiveOptionPrice = optionPrice
+ delta x (inputStockPrice - stockPrice).
Diagonal spread - An order to simultaneously purchase and sell options with different expiration
dates and different strike prices, where both have the same underlying and right (call or put).
For example: Buy 1 June03 100 call, Sell 1 Sept03 105 call.
Iron Condor - An order to simultaneously purchase an out-of-the-money put bull spread, and sell an
out-of-the-money call bear spread, where all legs have the same expiry.
Purchase an iron condor: Buy 1 XYX JAN08 25.0 PUT, Sell 1 XYZ JAN08 27.5 PUT, Sell 1 JAN08

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30.0 Call, Buy 1 JAN08 32.5 Call.

Sell an iron condor: Sell 1 XYX JAN08 25.0 PUT, Buy 1 XYZ JAN08 27.5 PUT, Buy 1 JAN08 30.0
Call, Sell 1 JAN08 32.5 Call.
Reversal- An order to simultaneously purchase (or sell) a call option and sell (or purchase) a put
option in identical numbers where both have the same underlying, expiration date and strike price, and
sell stock of the same underlying.
Purchase a reversal: Buy 1 XYZ April04 75 call, Sell 1 XYZ April04 75 put, Sell 100 shares XYZ
Sell a reversal: Sell 1 XYZ April04 75 call, Buy 1 XYZ April04 75 put, Buy 100 shares XYZ
Risk Reversal- An order to simultaneously purchase (or sell) a put option and sell (or purchase) a call
option in identical numbers where both have the same underlying and expiration date, but the call gen-
erally has a higher strike price.
Purchase a risk reversal: Buy 1 XYZ April04 75 put, Sell 1 XYZ April04 95 call
Sell a risk reversal: Sell 1 XYZ April04 75 put, Buy 1 XYZ April04 95 call
SSF/OPT - An order to simultaneously buy (or sell) one contract of a single stock future (SSF) and buy
(or sell) a stock option of the same underlying.
For example: Sell 1 Oct06 60.0 call, Sell 1 Aug06 SSF.
Straddle - An order to simultaneously purchase (or sell) a call and a put in identical numbers, where
both have the same underlying, expiration date and strike price.
For example: Sell 1 Dec02 90 call, Sell 1 Dec02 90 put.
Strangle - An order to simultaneously purchase a call and a put with different strike prices, where both
have the same underlying and expiration date. In the case where both the call and the put are out of the
money, this order is referred to as an inside strangle.
For example: Buy 1 June02 95 put, Buy 1 June02 105 call.
Stk/Opt - An order to simultaneously purchase (or sell) one stock contract and purchase (or sell) one
options contract.
For example: Sell 1 Jan07 55.0 put, Sell 100 shares of the underlying.
Synthetic - An order to simultaneously purchase a call and sell a put in identical numbers (or sell a call
and purchase a put in identical numbers), where both have the same underlying, expiration date and
strike price.
Purchase a synthetic: Buy 1 April02 100 call, Sell 1 April02 100 put.
Sell a synthetic: Sell 1 April02 100 call, Buy 1 April02 100 put.

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Synthetic Put - An order to simultaneously purchase (or sell) a call option and sell (or purchase) stock
where both have the same underlying.
Purchase a synthetic put: Buy 1 XYZ April03 75 call, Sell 100 shares XYZ
Sell a synthetic put: Sell 1 XYZ April03 75 call, Buy 100 shares XYZ.
Synthetic Call - An order to simultaneously purchase (or sell) a put option and purchase (or sell) stock
where both have the same underlying.
Purchase a synthetic call: Buy 1 XYZ April03 75 put, Buy 100 shares XYZ
Sell a synthetic put: Sell 1 XYZ April03 75 put, Sell 100 shares XYZ.
Vertical spread - An order to simultaneously purchase and sell options at different strike prices,
where both have the same underlying, right (call or put) and expiration date. This spread is sometimes
referred to as a price spread.
Call vertical spread example: Buy 1 June02 100 call, Sell 1 June02 105 call.
Put vertical spread example: Buy 1 March02 105 put, Sell 1 March02 95 put

For more information on combination orders and margin requirements for combination orders, see U.S.
Equity Options Margin Requirements on the IB website.

Create a Combination Order

You can create any kind of combination spread order using the Combination Composition box,
including multiple leg combos, futures spreads and EFPs, and inter-market Smart combos.

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To create a combo order

1. Enter an underlying on a blank line and select Combinations, then choose from the available combo
selection types, including Smart option combos, Futures Spreads and EFPs.

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2. From the Pair or Leg-by-Leg tab, define each leg.

3. After you have added all desired legs click OK, and the spread appears as a market data line on your
quote monitor.

The implied price is calculated based on the underlying price of each leg, and changes with variations in the
price of each underlying. Based on the implied price, SmartRouting will route each leg of the order
separately to get the best price.

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Note: To see individual leg prices for a combination or spread order, open the Execution reports
window by clicking the Trades icon on the Trading Toolbar. Double-click the desired combination
execution report line in the Execution window (or right-click on the line and select Show Legs) to
open the Execution Window for Legs.

To create an EFP combo

1. Enter an underlying on a blank line and select Combinations, then select EFPs.
2. Click the Single tab at the top of Combo Selection box.

3. Choose Futures as the leg type, and Future EFP as the strategy.
4. Select the last trading day on the futures leg and click OK.

Note: EFP combos created using the template are Smart-routed.

To create a combination strategy

1. Right-click on a blank line and select Generic Combo, or create a market data line with the instru-
ment type Comb.
2. In the Leg Query section, enter the underlying symbol for the first leg of the order.

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3. Use the Combo Template tab to select a strategy.

4. Select data for all legs of the order and click OK. The combination order strategy appears on your
trading screen as a market data line.

Guaranteed and Non-Guaranteed Combo Orders

IB supports both guaranteed (where executions are guaranteed to be delivered simultaneously for each
leg and in proportion to the leg ratio) and non-guaranteed combo orders. To understand the differences
between guaranteed and non-guaranteed combination orders, please see the knowledgebase article.

Notes on using Futures legs

Intermarket combos that contain futures legs are supported for contracts on the following exchanges:
Globex, One Chicago, CFE, EurexUS.
Only US contracts are supported for Smart combos.

Using the ComboTrader

ComboTrader provides three tabbed interfaces to help you create multi-legged spreads for futures and
options.

Multiple combos

Use the Multiple tab to create a group of individual combination orders on the same underlying at the
same time. For certain strategies including Diagonals, boxes, Strangles, Risk Reversals, and Vertical
Spreads you can filter by Point Spread.

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Strategy combo

Use the Strategy tab to select a recognized combination order and define the necessary parameters. Note
that for exchanges that list both American and European style options, a Trading Class field presents a
dropdown list of available classes.

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Field Description
Name

Underlying Enter the underlying symbol.

Type Select the instrument type for the strategy. Choose Options or Futures.

Strategy Combination strategies are listed based on the Leg Type you selected. For
descriptions of all combination strategies, see the Combination Orders topic.
Use the Help button for strategy descriptions.

Multiplier Select the contract multiplier.

Worksheet Select Sell Combo or Buy Combo in the graph drop-down to see what the
combination order looks like.

The worksheet categories display drop-down list boxes each time you need
to make a selection. Move through the worksheet and select choices as

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needed.

Reset Click Reset to start over, either by selecting another strategy or editing the
legs of the chosen strategy.

Request Check to create a market data line for each leg of the order, to be displayed
market on the trading screen.
data for
legs

Pair or Leg-by-Leg Combo

Use the Pair or Leg-by-Leg tab to create the combination one leg at a time.

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Advanced Combo Routing

Advanced combo routing (defined from the Basic tab of the Order Ticket) lets you control how each leg of
a complex combination order is handled. Define advanced combo routing for both guaranteed and non-
guaranteed combination orders routed to Smart. Selections displayed are based on the combo
composition and order type.

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To use advanced combo routing

1. Create the Smart combination strategy.

2. From the combo line on the Quote Monitor, click the Bid or Ask price to create a (sell or buy) order.
3. Right-click the order line and select Modify then select Order Ticket.

Based on the combo composition and the Order Type, the Advanced Combo Routing selections are
displayed. You can monitor the progress of the combo order by holding your mouse over the Status field of
the order line.

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Advanced Combo Routing Fields (available based on selected Order Type):

Field Name Description

Order Type Choose from the basic order types as well
as: Relative + Market, Limit + Market, Trail-
ing Relative + Market and Trailing Limit +
Market.
Select leg to fill first For orders that are being legged-in, the chance
exists that only the first leg of the combo will fill
and you will be left with one unexecuted leg. Use
this field to specify which leg is submitted and
potentially filled first. Use the dropdown list to pick.
Maximum leg-in combo size: The order is submitted in pieces, or seg-
ments. This is the maximum size of each
segment.
Do not start next leg-in if Specify whether or not the system should
previous leg-in did not finish: attempt to fill the next segment before the
current segment fills.
Convert second leg order to These settings allow you to specify when (if
market order if... ever) the second leg should be changed to
a market order to fill right away, in cases
where the first leg fills and the second leg
does not and ends up sitting as a non-mar-
ketable limit order at the exchange,
...or if the price backs off by... Provides a way to specify a stop-loss to fill
the unexecuted leg of a combo by changing
the leg to a market order if the price backs
off by the specified amount.
Discretionary Amt In cases where one leg fills and the other
doesn't, the discretionary amount indicates

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Field Name Description

how much you are willing to pay to fill the
combo.

Transmit a Combination Order

To create a combination order

Before you transmit a combination order, carefully review your order parameters on the order
management line, or from the Order Ticket window by clicking Accept.

1. From the market data line, click the "Ask" or "Bid" price for the combination order you want to create.

Click the Ask Price to create a Buy order.

Click the Bid Price to create a Sell order.

2. On the Order Management line, modify order parameters, if needed.

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Note on Pricing: If you buy a spread and you owe cash (debit spread), enter a positive limit price. If
you buy a spread and you receive cash (a credit spread), you must enter a negative limit price.
Conversely, if you sell a spread and receive cash, enter a positive limit price. If you sell a spread and
owe cash, you must enter a negative limit price.
For example, an April 20 xyz call shows a BID price of 6.60 and an ASK price of 6.70. An April 30
xyz call shows a BID price of 0.15 and an ASK price of 0.20.

If you buy a "debit" call vertical spread with the following legs:
Buy 1 OPT APR02 20.0 CALL (6.70)
Sell 1 OPT APR02 30.0 CAL L (0.15)
For this transaction you pay: 6.55 (a debit transaction)

If you buy a "credit" call vertical spread with the following legs:
Sell 1 OPT APR02 20.0 CALL (6.60)
Buy 1 OPT APR02 30.0 CALL (0.20)
For this transaction you receive 6.40 (a credit transaction; enter a negative limit price).

3. Transmit the order.

Notes on Combination Orders

This page contains notes and tips on creating and transmitting combination orders.

Use SmartRouting to execute legs separately to ensure you get the best price on all legs of your order.
Some exchanges that currently support native combination orders (which means they execute the legs
together as one transaction) include:
ISE
ONE
DTB (Euro)
Note on pricing: If you buy a spread and you owe cash (debit spread), enter a positive limit price. If
you buy a spread and you receive cash (a credit spread), you must enter a negative limit price.
Conversely, if you sell a spread and receive cash, enter a positive limit price. If you sell a spread and
owe cash, you must enter a negative limit price.

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For example, an April 20.0 xyz call shows a BID price of 6.60 and an ASK price of 6.70. An April 30 xyz call
shows a BID price of 0.15 and an ASK price of 0.20.

If you buy a "debit" call vertical spread with the following legs:
Buy 1 OPT APR02 20.0 CALL (6.70),
Sell 1 OPT APR02 30.0 CALL (0.15)
For this transaction you pay: 6.55 (a debit transaction)

If you invert the legs and buy a "credit" call vertical spread with the following legs:
Sell 1 OPT APR02 20.0 CALL (6.60)
Buy 1 OPT APR02 30.0 CALL (0.20)
For this transaction you receive 6.40 (a credit transaction, enter a negative price)

Before you transmit a combination order, carefully review the order parameters from the Order Man-
agement line.

EFPs
Enter Exchange for Physical (EFP) spreads.

Relevant EFPs 204

EFP Futures Spreads 206

Relevant EFPs
Introduction

Using an Exchange of Futures for Physical (EFP), which allows the swap of a long or short stock position
for a Single Stock Future (SSF) could help to reduce your trading costs. The Relevant EFPs Market
Scanner scans the US market and returns all EFPs relevant to you based on the stock and single stock
futures positions you currently hold. You can access this tool from the toolbar, or by selecting US EFPs as
the Instrument and Relevant EFPs as the Parameter in the Market Scanner page.

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For more details on how using EFPs could reduce your trading costs, see the EFPs Product Highlights.

To view Relevant EFPs

1. On the trading toolbar, click the Relevant EFPs icon.

The Relevant EFPs scanner page opens with all fields populated with the correct EFP selection.

2. Click Search if no values have been returned.

Note that this page is for display only. To trade one of these EFPs, click and hold, then drag it onto your
trading page, or right-click and select Edit then select Copy. Open a trading page and use the right-click
menu to select Edit then select Paste.

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EFP Futures Spreads

An EFP (Exchange for Physical) is a combination order to sell/buy stock and buy/sell an SSF (single stock
future).

To create an EFP in SpreadTrader

1. From the Trading Tools menu select SpreadTrader.

2. Enter a symbol in the underlying field and hit Enter.

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3. Select EFPs for xxx and then select the routing destination, either SMART, IBEFP or ONE.

The spread matrix at the bottom of the window is populated with a list of all single stock futures legs
on the left, and the stock across the top.

4. Click a bid or ask price at the intersection of two legs to create the EFP spread.
5. To transmit the order, click the "T" in the Status field of the Orders panel.

Note: Please note that smart-routed EFPs are not guaranteed.

FXTrader
Designed specifically for Forex traders, the customizable FXTrader window displays quote pairs with the
emphasis on the key price component.

The FXTrader Window 208

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The FXTrader Trading Cell 209

Using the FXTrader 210

The FXTrader Window

FXTrader displays a 3x3 grid of "trading cells" designed to complement the way an FXTrader operates,
with the standard elements of our order management modules (Orders, Log, Execution and Portfolio
pages) provided at the top. The page is completely customizable, allowing you to increase or decrease the
number of cells in the grid, invert a quote, change colors, and modify the way price and size is shown.

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To configure the FX Trader, click the Configure icon in the toolbar or in any trading cell.

For details on the many levels of configuration you can set for the FXTrader, see the FX Trader
Configuration topic.

The FXTrader Trading Cell

The trading cell in FXTrader includes many helpful features, including color coding to distinguish between
upward and downward price and size movement; a cancel icon to cancel all orders for the currency pair,
quick access to the FX Trader configuration windows, quick-click to view inverted quotes, a message line
to describe order details, a book icon with mouse-over information that displays when there is a price
improvement opportunity for small orders, optional display of position and P&L information, and access to
right-click TWS features from the Contract Label area.

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To open the FX Trader

1. Click the FXTrader icon on the Trading toolbar.

2. FXTrader displays populated with the most common FX pairs.

Using the FXTrader

When you select a trading cell, that currency pair populates the Quote Panel at the top of the window. You
can create an order using the traditional TWS method of clicking the Bid or Ask from the Quote Panel. You
can also create an order from within the trading cell.

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To create an order from the trading cell

1. Click the Bid to create an order to sell the base (and buy the quote). Click the Ask to create an order
to buy the base (and sell the quote).

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The Integrated Stock Window

Trade, see charts, market data and deep data all from a single integrated window.

Quote Panel 212

Book Data Panel 213

ISW Buttons Panel 215

Order Entry Panel (OEP) 216

Auto Orders 218

ISW Order Entry Sub Panels 220

Quote Panel
The Quote Panel displays market data for the selected stock symbol. By default, the Quote Panel uses the
single-row view. You can use the toggle button to switch from single-row view to ticker view.

To hide the Quote panel, on the View menu uncheck Quote Panel.

Use the Switch View icon in the top left corner of the panel to toggle between single-row view and
ticker view.

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To add a symbol to the Quote Panel

1. Enter a symbol in the Underlying field and hit Enter.

2. Select a stock from the contract list.

Book Data Panel

The Book Data Panel displays both Level I and Level II subscription and non-subscription quotes on either
side of a real-time, configurable chart. Click a button to add data from a market center the book data panel.

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To add data, click a market center button. Bids are displayed to the left of the chart, asks to the right.
See your own order highlighted in the depth by checking Show pending orders in the book on the ISW
Configuration Settings page.

When you click a bid/ask price from the Book Data components, the price data is reflected in the Order
Entry Panel order line, from which you transmit orders.

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Modify the chart parameters using the Chart menu. Select Chart Parameters to change the time
period, bar intervals and other data options.
If you elect to display the Others button, click it to include Level I data from market centers that don’t
offer Level II data, market centers to which you don’t hold Level II subscriptions, and subscribed
exchanges whose buttons are not currently selected. Show or hide the “Others” button from the Deep
Book Buttons section of the Settings page.
The number of deep book data windows that you can display at one time (including BookTrader, ISW
and Market Depth) is equal to 1 for every 100 allowed lines of market data, with a minimum of three
and a maximum of 30. Market data allowance is based on commissions, available equity and other cri-
teria. So a client with the minimum allowance of 100 lines of market data will be able to open 3 deep
book windows. A client with an allowance of 500 lines of market data will be able to open 5 unique deep
book windows . For details on how market data allowances are calculated, see the Market Data and
News overview page on the IB website.
When subscription deep book data is at its window limit, additional windows will display aggregated top
level data, and the Deep Button panel will be hidden.

ISW Buttons Panel

The ISW includes three Button panels which you can hide or display using the View menu. The Left panel
creates new order in the order line of the OEP, the Right panel provides single-click access to other TWS
order tools, and the lower panel is used to modify orders, both new and working, in the order line. All
buttons are configurable and can be armed for Instantaneous Transmit by clicking the Armed checkbox
and agreeing with the warning disclosure.

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Note: Buttons names include an asterisk (*) when they are set to Instantaneously Transmit the
order when clicked. To remove this attribute, de-select the Armed checkbox in the button panel.

Order Entry Panel (OEP)

Enter orders by clicking a price level in the Level II panels then using the BUY or SELL buttons to transmit.
Use the Order Entry Panel to:

Create and submit basic orders;

Modify a working order;

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Apply order attributes such as hidden, discretionary, OCA;

Create and submit advanced orders such as algo, scale, adjustable and bracket.

To create an order in ISW

1. Click a price level in one of the Level II components.

2. Edit the order parameters using the dropdown boxes and text entry fields below the order line.
3. Click the BUY or SELL button to transmit the order.

To modify a working order

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1. Select the order you want to modify using the dropdown list on the order line.

2. Modify order parameters using the dropdown lists and text entry fields or the bump Buttons.
3. Click Rep to cancel and replace the current working order with the modified order.

Auto Orders
Use the Auto order in the Type field to have TWS select the order type based on the price values you enter.
This feature is a short-cut to save you the step of having to choose the order type first and then define the
price criteria.

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By default, the (Auto) order appears in the Type field. Click to view the current list of supported auto order
types from which TWS will choose. The chosen order type will display in the order description line. It is
important to note the following:

Only the order types listed under the (Auto) entry are eligible to be selected as an Auto order. All other
order types must be selected manually from the Type dropdown list.
The Auto order appears in the Type field only for NEW orders. Working orders will display the actual
order type in the Type field.

The Auto order type selection is made according to the rules as illustrated in the image below.

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ISW Order Entry Sub Panels

Use the sub-panels to create advanced orders and apply order attributes. Use the Destination list to select
an algo exchange and define an algo order.

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To use the sub-panels

1. Click the sub-panels drop down to display the list of available attributes and advanced order types.

Note that this menu is context-sensitive, so that only the order types that are valid for the order parameters
you have defined will be shown. For example, if your order type is Stop, the Scale sub-panel will not be
shown in the dropdown list for that order since the Scale attributes can only be applied to Limit and Relative
orders.

2. Check the order attributes you want to apply to open the sub-panel(s) for that order type.
3. Enter values for the selected order type.

To enter an algo order

1. From the DEST drop-down list, select an algo destination under the Algorithms section.
2. In the new algo-specific panel, enter algo parameters.

See the TWS Users’ Guide topics for details on setting up algo orders:

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IBAlgos
CSFB Algos

Jefferies Algos

Market Depth
View the alternative bids and offers away from the inside quote to help you better gauge market liquidity.
When using the Market Depth Trader for bonds, see the best bid and offer from away platforms (using
Total Price) along with the best bid and ask from the IB book.

To use Market Depth to manage blotter orders, right-click a blotter ticket and select Trading Tools and
then select Market Depth.

Market Depth Trader 222

Market Depth Trader for Bonds 224

Market Depth Buttons Panel 225

Create an Order 226

Market Depth Trader

The aggregated Market Depth window displays the alternative bids and offers away from the inside quote
to allow you to better gauge market liquidity. Create an order by clicking a price level in the Bid or Ask
column. Transmit orders from the Orders panel.

Add or remove Level II data using the Deep Book Buttons. The Others buttons displays Level I data from
exchanges that don’t offer deep data, for which you don’t have market data permissions, or for those to
which you subscribe but haven’t selected.

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NOTES

The number of deep book data windows that you can display at one time (including BookTrader, ISW
and Market Depth) is equal to 1 for every 100 allowed lines of market data, with a minimum of three
and a maximum of 60. Market data allowance is based on commissions, available equity and other cri-
teria. So a client with the minimum allowance of 100 lines of market data will be able to open 3 deep
book windows. A client with an allowance of 500 lines of market data will be able to open 5 unique deep
book windows . For details on how market data allowances are calculated, see the Market Data and

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News overview page on the IB website.

When subscription deep book data is at its window limit, additional windows will display aggregated top
level data, and the Deep Button panel will be hidden.
We cannot guarantee that every price quoted for a particular security/commodity will be displayed in
the Market Depth window.
Cumulative size represents the total contract size available at a particular price or better. In the image
above, the cumulative size available on the bid at $12.03 is 106.
Average Price is the average execution price received when transacting the cumulative contract size.
You receive multiple executions as your order goes through the order book. Executions will appear in
the Trades panel.

Use the Market Depth Trader for bond trading to view the minimum trade size for net bond prices and
calculate net bond prices based on your desired size.

Market Depth Trader for Bonds

Use the Market Depth trader to see the minimum trade size for net bond prices and calculate net bond
prices based on your desired size.

To take advantage of the Minimum Trade Size data and Quantity calculator, you need to configure bond
pricing to use Net pricing mode. The Market Depth Trader shows the Minimum Trade Size available for a
given price level and side in the market data. It also displays a Quantity field above the aggregated market

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depth data. Enter a quantity at which you would like to see the net prices calculated. This information may
help you to control execution costs by showing the market data in net price terms at the size you would like
to trade.

To open Market Depth Trader

From the Trading Tools menu, select Market Depth Trader.

Market Depth Buttons Panel

The buttons panel provides action buttons that allow you to:

Close Position - select an underlying in the quote panel, and click Close Position to have an opposite
side closing order automatically created in the Orders panel. Transmit the order or modify any order
parameters and then transmit.
Reverse Position - create an opposite side order with sufficient quantity to reverse your position from
long to short or short to long.
View Account - opens the Account Information window.

You can set the buttons to transmit the order instantaneously by arming the button panel. Buttons with
instantaneous transmit on will display an asterisk in their title.

To activate Instantaneous Transmit

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1. Check the Armed checkbox on the top right corner of the Buttons panel.
2. Read and agree to the disclosure message.

The asterisk in the button title indicates that these action buttons will instantaneously transmit an order
when used.

Create an Order
Create orders from the Market Depth window by clicking the bid/ask at a specified price level. Be sure to
confirm the order size before transmitting a Market Depth order.

The order size is based on default settings associated with the contract’s Preset. If the preset uses the Use
cumulative size for Market Depth, the order size equals the cumulative size on that line x default order size.
For example, if the default order size is 100 and you click the ISE $12.03 price level (below), the order size
will be 10,600. If you click the same price level at the ARCA line, the order size will be 6,300. If the above
box is not checked, the order size will be the default order size. You can modify the order size before
transmitting the order.

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To create an order from Market Depth

1. Click on a price level in the Bid column for a Sell order, in the Ask column for a Buy order.
2. The order displays in the Orders panel. Modify parameters if necessary and transmit by clicking the
“T” in the status column.
3. To transmit your order, click the "T" in the Status field of the order line.

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Merger Arbitrage Window

Use the Merger Arbitrage window to create a combination order for an anticipated merger between two
companies.

To create a Merger Arb combo

1. From the Trading Tools menu, select Merger Arbitrage.

2. Enter contract conversion information in the Contract Selection area.
3. In the Order Selection area, enter the desired profit as an absolute amount or a percent of the last
price of the stock of the company being acquired (the acquiree).

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Pink fields are required.

4. Click Create Order to create a combination order line on the trading screen. You can also choose to
manage your order from within one of our advanced algo trading tools, Accumulate Distribute or the
ScaleTrader.

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The Scale market and order display feature scales the market data to display the price of the combination
per share of acquiree, and the order price will also be entered and displayed in these units. This is checked
by default. Note that if the calculated size of the acquiree is one, this checkbox has no effect.

The combo order as entered above, and then opened in Accumulate/Distribute looks like this:

The remainder of the Accumulate Distribute window allows you to specify detailed and sophisticated order
management criteria to help ensure that you receive the best price without being noticed.

OptionTrader
This configurable standalone screen shows market data for the underlying, lets you set up option chains
based on the underlying, gives you access to your options orders, executions and portfolio information,
drives the data for the Model Navigator and Options Analytics windows, and lets you create combination
Spread orders.

Using the OptionTrader 231

Loading Option Chains 233

OptionTrader Strategy Builder 234

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The Button Panel 236

OptionTrader Statistics 237

OptionTrader 239

Using the OptionTrader

OptionTrader is a robust trading tool that lets you view and trade options on an underlying. Display option
chains on the underlying based on the criteria you define, including strike, expiry and exchange, and view
the Greeks for each option. Use the Strategy Builder to create multi-leg combination orders by clicking
displayed option chains.

To open OptionTrader

By default, the OptionTrader tool (and all other tools that allow windows grouping) is linked to Group 4 (the
green chain link icon). When you open the tool, it will default to the selected underlying that is currently
active in that group.

From within Mosaic, use the New Window dropdown to select More Advanced Tools at the bottom
of the list, then OptionTrader.
From with Classic TWS, use the Trading Tools menu and select OptionTrader.

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The OptionTrader opens displaying the linked/selected underlying. The toolbar,statistics panel and
buttons panel can be hidden using the toggle buttons in the top right corner. Panels can also be
contracted/expanded using the down/up arrows. The different sections are identified in the image above
which corresponds to the following list:

1. The toolbar. Hide by clicking the "T" in the toggle set.

2. The toggle set. Display and hide features by clicking the buttons. "T" controls the toolbar. "B" controls
the Buttons panel, and "S" controls the Statistics panel.
3. The Quote Panel which shows the underlying asset. You can create orders on the underlying by
clicking the Bid (sell) or Ask from the Quote Panel. New orders will be displayed in the Orders tab of
the Trading panel.
4.  The Statistics panel, which displays option-related statistical data.
5. The Buttons panel, which holds custom action buttons that you can use to initiate common actions.
Once you arm the panel, any button that you had defined for instantaneous transmit in the button
panel will be identified by an asterisk (*) next to the button name.
6. The Trading Panel which includes tabbed pages for orders, activity log, filled trades for the day on
that underlying, the Portfolio for the underlying, and the Strategy Builder.
7. The Strategy Builder, which lets you create multi-leg complex spread orders without leaving the
OptionTrader.

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8. Option chains for the underlying. These can be loaded using Tabbed View (shown) or List View,
which shows all Last Trading Days in a list rather than as tabbed section.
9. Load My Chains will load option chains for positions in your portfolio.

For information on loading option chains and configuring buttons and panels, see the TWS Users' Guide
topics.

Loading Option Chains

You can see option chains in the OptionTrader, or download chains on their own using the Option Chain
tool.

To load Option Chains

Mosaic: Use the New Window drop down and select Option Chain.
Classic: From the Trading Tools menu select Option Chain from the Options Focus category.

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Open Strategy Builder to easily create a multi-leg complex spread.

OptionTrader Strategy Builder

Use the Strategy Builder tab within OptionTrader to define and submit complex multi-leg orders that use
stock and option legs, based on the current OptionTrader underlying.

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To create a combo order

Select Strategy Builder from the Trading tabset.

Add legs by clicking the desired option in the Option Chains area.

Click on the right "Call" side to add calls. Click on the left "Put" side to add puts.

Click the Bid price to add a Sell leg; click the Ask price to add a Buy leg.

You can quickly modify the Action, Last Trading Day, Strike or Put/Call designation using the drop-down
arrow in the Combo window.

Use the optional feature buttons as needed:

Use "Add Stock" to add a stock leg.

Use "Make Delta Neutral" to add a stock leg with the delta quantity based on the system generated
delta.
Use "Add to Quote Panel" to set up the quote line for transmission at a later time.
Use "Transmit" to submit the combo order using the order parameters shown.

To make the combo delta neutral

Click Make Delta Neutral at the top of the Strategy Builder window.

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The stock leg is added at the bottom of the window, and the hedging quantity is generated automatically
using the system calculated delta. If you modify the delta the stock leg quantity will change, and if you
modify the stock leg quantity the delta value will update.

Modify the prices if needed. The Net Option Price is the limit price for the combo's option legs only. The
Stock Price is displayed separately.

Choose to Transmit the delta neutral combo, or add the combo line to the Quote Panel.

The Button Panel

Many of the trading tools provide a configurable Buttons panel that you can elect to hide or display, and
which lets you create new and edit buttons that perform the defined trading action with a single click.

To configure the buttons panel

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1. From within the current tool, click the configure wrench to open Global Configuration for the tool.
2. Select Buttons in the left pane.

The existing buttons and their actions are displayed at the top of the page.

3. Click Newto create a new button/action, or select a button and click Editto modify an existing button.
4. Use the Button Appearance section to change the label, the text color and the background color.
5. Select an action to associate with the button using the Select Action dropdown.
6. Fine-tune the action by entering data in the Customize Action area. For example, for the action
Increase price or size, you can specify the price or size field to which the button applies, and set the
interval by which to increase the field value.

Note: NOTE: If you check the instantaneous transmit feature, the button will display an asterisk
next to its name in the Buttons panel.

OptionTrader Statistics
An optional Statistics panel displays option-related statistical data for contracts with a stock underlying.
You can elect to display the following statistics:

Field Description
Name

Bid Exch Identifies the exchange(s) that are posting the best bid price on the options contract.

Model The option model price is calculated using the underlying price, the interest rate,
dividends and other data using the Model Navigator.

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Ask Exch Identifies the exchange(s) posting the best ask price on the options contract.

Historical Displays the 30-day historical volatility for an option. Right-click the field header to
Vol toggle between Daily or Annual,

Opt A prediction of how volatile an underlying will be in the future. The IB 30-day volatility
Implied is the at-market volatility estimated for a maturity thirty calendar days forward of the
Vol current trading day, and is based on option prices from two consecutive expiration
months.

Opt Charts the total number of options that were not closed.
Open
Interest

Opt The total number of contracts traded over a specified time period.
Volume

Vol Change in volatility from the previous day's close.

Change

Opt Change in option volume from the previous day's close.

Volume
Change

Put/Call Put option volume for the day divided by call option volume for the day.
Volume

Call/Put Call option volume for the day divided by put option volume for the day.
Volume

Put/Call Put option open interest for the day divided by call option open interest for the day.
Open
Interest

Call/Put Call option open interest for the day divided by put option open interest for the day.
Open
Interest

Open Change in open interest from the previous day's close.

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Interest
Change

To display the OptionTrader Statistics panel

Click the "s" icons in the toggle panel located in the top right corner of the OptionTrader.

OptionTrader
Use the OptionTrader configuration page to define basic settings, order presets, hotkeys, buttons and to
control the visibility of column fields.

To define OptionTrader configuration settings

1. Click the Configure wrench from any window.

2. Click OptionTrader in the left pane and then click Settings.
3. Use the right pane to set these parameters:

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Settings

Components

Display menu - Check to see the OptionTrader menu.

Display or hide toolbar - Check to see the Option Trader toolbar.
Display Quote panel - check to display the Quote Panel, which displays a single line of market data
for the asset. You can create an order from the Quote panel by click the bid or ask price.
Display user-configurable buttons - hide or display buttons you create using the Buttons panel.

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Display or hide Statistics - a configurable, optional panel that shows option-related data and stat-
istics.

Miscellaneous

Jump to order- automatically puts the cursor on the newly created order in the Orders panel.
Allow multiple untransmitted orders - if checked, you can create more than one order in the
Underlying panel. Otherwise, only one untransmitted order is allowed.
Show all orders - check to view all orders for the underlying.
Show option prices in volatility - check to view volatility instead of dollar prices.
Show last trading day headers - check to sort option chains using a single header for the Last Trad-
ing Day followed by a list of strike prices. This helps save room in the option chain Description column.
Link option chains to windows groups - If checked, the Mosaic Option Chains window (not full
OptionTrader) will be linked to the windows group allowing selected option chain contracts to act as the
source and change focus in all grouped windows.
Auto refresh chains after updating filters - If checked, option chains update immediately when any
filter criteria (strike, right etc) are changed. If unchecked, you must manually update chains using the
Load Chains button.
Order Ref - A user-defined reference name to help identify where the order originated.
Order Presets - OptionTrader-specific default order settings. The OptionTrader preset is linked to the
selected Order Ref. above. Create a preset for both Stock and Options with the same title and link to
the Order Ref by selecting it or by creating a new preset. These presets will control the default order
parameters for any stock and options orders created from the OptionTrader. If you do not create a
stock preset for the OptionTrader, the default stock preset will be used for stock orders created in the
OptionTrader.

Auto-Loading

OptionTrader automatically loads option chains based on the criteria you set in this area.

Assume underlying is a SMART stock - Uses Smart instead of a specific exchange.

Quick stock entry - Check to auto load stock and bring up the exchange dialog immediately when you
enter an underlying.
Load the closest N strikes to the money - Choose a number to limit how many options load in the
chain.

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Load the nearest N expiries - Only shows you those options with the N closest expiries.
Load specific months - Specify the exact months' options you want to see.
Auto-resize columns on load - When checked, data columns will resize appropriately to accom-
modate revised data.

The Order Ticket

To use the Order Ticket to manage blotter orders, right-click a blotter ticket and select Trading Tools and
then select Order.

The Order Ticket is available as an alternative form of order entry for users who prefer to set all order
attributes from a single tabbed window.

Basic 242

Advanced Combo Routing 248

Adjustable Orders 251

Scale Orders 254

Pegged Orders 258

Volatility Trading 259

Conditional 263

Miscellaneous 265

Basic
The Basic tab includes the basic order and time in force information, all based on the financial instrument
shown in the Quote Panel. The fields are context-sensitive, which means that only valid selections will be
active. For example, if the ticket specifies a LIMIT order, the order type field will be inactive and LIMIT will
be shown. if you select TRAIL LIMIT as the order type, the Stop Price, Trailing amount and Lmt Offset
fields become active. In addition, selections you make on this page affect the composition of the tabset. For

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example, if you select a stop or trailing order type, the Adjust tab becomes available; if you choose VOL as
the order type, the Volatility tab is displayed, etc.

For combo orders, the Basic tab also includes Advanced Combo Routing.

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To remove tabs and view all fields on a single large page, select theComprehensive view.

Field Description Notes

Action Choose Buy or Sell.

Quantity

Quantity Specify the number of units in the

order.

Display size Enter a display size to create an

Iceberg order.

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Min. Quantity Enter the minimum quantity that For options routed through
must be available for the order to Smart.
execute.

Order Description

Order Type Select an order type. Valid order

types are determined by the
underlying, exchange and
security type selected.

Limit Price Enter the limit price if the order

type requires it.

Aux. Price For Stop and Stop limit orders,

this is the Stop election price.

For Options relative to stock

orders, this is the starting price.

For trailing stop orders, this is the

trailing amount.

Trailing amount The amount used along with the

market price to calculate the initial
stop price.

Percent Offset For Relative orders, sets the

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offset amount based on a

percentage of the bid price for
Buy orders or the Ask price for sell
orders.

Discretionary The amount off the limit price at Enter an amount to create a
Amount which the order is still eligible to Discretionary order.
execute.

Destination Specifies the order destination. To create CSFB or Jefferies

algo, select CSFBALGO or
JEFFALGO from this list.

Field Description Notes

Time in Force The time period during which your Only valid Times in Force
order will remain active. Choose are displayed per order,
from the selections presented, based on the product, order
including: type and destination.

•  DAY (day order),

•  GTC (order remains active

until it is cancelled)

•  OPG (market or limit at the

open order)

•  IOC (immediate or cancel)

•  GTD (order remains working

until the date/time specified in the
End Time field below.)

•  DTC (day 'till cancelled, is

cancelled at the end of day like a
day order, but remains on your
trading screen deactivated to let

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you resubmit easily).

Start Time Set the start time (and date) for

the order.

End Time Set the end time and date for the Only valid for GTD times in
order. force.

Trading Hour Attributes

The next three settings allow you to specify the hours during which orders are eligible to
execute. By default, orders are set to trade during Regular Trading Hours only.

Note: Elections to trade outside regular trading hours may not be available
for particular products that are not listed on an exchange. Clients are solely
responsible for ensuring that these parameter are valid for the product(s)
involved.

Allow this order to Check this box if you want to allow You can also set this feature
be filled outside of orders to trigger or fill outside of from the TIF dropdown on
regular trading regular hours. an order line in the trading
hours. window.

Valid for US stocks listed on

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major exchanges. Not

available for IOC, OPG
(MOO and LOO), FOK,
MOC or LOC orders.

Allow order to be Check to allow orders to Can be applied to orders set

routed and participate in the pre-open for Regular Trading Hours
executed during session from 4:00 - 9:30 am. only.
pre-open session.

Ignore opening Check to ignore the opening Can be applied to orders set
auction. auction which takes place at the for Regular Trading Hours
open. only.

This attribute cannot be

used if you have configured
Smart Routing to participate
in Pre-open Re-route.

VWAP Time Modify the VWAP cut-off time if VWAP orders are
desired by clicking the automatically routed and
Calendar selection tool. accepted immediately after
Otherwise, the Soonest cut-off being transmitted. VWAP
time is used. orders cannot be cancelled.

Advanced Combo Routing

Advanced combo routing (defined from the Basic tab of the Order Ticket) lets you control how each leg of
a complex combination order is handled. Define advanced combo routing for both guaranteed and non-
guaranteed combination orders routed to Smart. Selections displayed are based on the combo
composition and order type.

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To use advanced combo routing

1. Create the Smart combination strategy.

2. From the combo line on the Quote Monitor, click the Bid or Ask price to create a (sell or buy) order.
3. Right-click the order line and select Modify then select Order Ticket.

Based on the combo composition and the Order Type, the Advanced Combo Routing selections are
displayed. You can monitor the progress of the combo order by holding your mouse over the Status field of
the order line.

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Advanced Combo Routing Fields (available based on selected Order Type):

Field Name Description

Order Type Choose from the basic order types as well
as: Relative + Market, Limit + Market, Trail-
ing Relative + Market and Trailing Limit +
Market.
Select leg to fill first For orders that are being legged-in, the chance
exists that only the first leg of the combo will fill
and you will be left with one unexecuted leg. Use
this field to specify which leg is submitted and
potentially filled first. Use the dropdown list to pick.
Maximum leg-in combo size: The order is submitted in pieces, or seg-
ments. This is the maximum size of each
segment.
Do not start next leg-in if Specify whether or not the system should
previous leg-in did not finish: attempt to fill the next segment before the
current segment fills.
Convert second leg order to These settings allow you to specify when (if
market order if... ever) the second leg should be changed to
a market order to fill right away, in cases
where the first leg fills and the second leg
does not and ends up sitting as a non-mar-
ketable limit order at the exchange,
...or if the price backs off by... Provides a way to specify a stop-loss to fill
the unexecuted leg of a combo by changing
the leg to a market order if the price backs
off by the specified amount.
Discretionary Amt In cases where one leg fills and the other
doesn't, the discretionary amount indicates

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Field Name Description

how much you are willing to pay to fill the
combo.

Adjustable Orders
Use the Adjust tab to define a one-time adjustment to a stop, stop limit, trailing stop or trailing stop limit
order. This tab will only become active if one of those orders types is selected.

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To remove tabs and view all fields on a single large page, select the Comprehensive view.

Field Description Notes

Adjust to When you select an The following example continues to unfold for each
Order adjusted order type, the field.
Type stop order you're
You buy 100 shares of XYZ for $31.00/share, and
adjusting will not trigger
submit a sell stop order with a trigger price of $30.00.

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when the stop price is hit. This means that if the price hits $30.00, TWS will
Instead, it will be changed send a sell market order to the exchange.
to this order type, and use
Now let's modify this scenario. In addition to the
the other parameters
above Stop order, you decide to create an adjustable
below.
Stop Limit order to help lock in a profit if the stock
Select one of the stop price begins to rise. Now imagine the price starts
order types. When your going up. When it hits the trigger price (see next field
current stop price is below) TWS will cancel the Stop order and create a
penetrated, it will change new Stop Limit order with the characteristics you set
to this order type and use in the following fields.
the instructions you set in
the following fields.

Trigger This price will trigger the Set the adjustable trigger price to $34.00
Price adjusted order you
defined in the Adjusted
Order Type.

Adjusted When the trigger price is Set the adjusted Stop Price to $33.50. When the
Stop hit, the adjusted stop stock rises above the $34.00 trigger price you set
Price price is implemented for above, you original Stop order is cancelled and
the new order. replaced with a Stop Limit order with a stop trigger
price of $33.50.

Adjusted Used for Stop Limit and Set the Stop Limit to $33.00 to ensure your order will
Stop Trailing Stop Limit orders. not execute below this price.
Limit This value will be the limit
Price price of the order if it is
triggered and submitted.

Adjusted Used for Trailing Stop If you had a trailing stop order with a trailing amount of
Trailing and Trailing Stop Limit $1.00, you could set the adjusted trailing amount to
Amount orders. This value will $.50. If the adjustment trigger is hit, the trailing
replace the original amount is modified.

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trailing amount if the

adjusted order is
triggered.

Scale Orders
Scale orders are designed to help prevent larger sized trades from being subject to increasingly
deteriorating prices by scaling your order into smaller, incrementally priced components based on user-
specified price and size instructions. In addition to scaling your order, you can also define a profit
offset amount which instructs the system to automatically submit opposite-side profit taking orders against
the individual components of the original order.

Use the ScaleTrader tool to set all scale parameters.

Click Open ScaleTrader from the Scale tab to set all scale parameters.

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Set time in force parameters for the Scale order. See the Basic page for details.

See the ScaleTrader topic for details on creating a scale order.

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Pegged Orders
Select from the available fields to create an order. The fields are context-sensitive, which means that only
valid selections will be active. For example, if you are creating any kind of order other than a Pegged to
Stock options order routed through BOX, this page will be inactive.

Field Description Notes

Stock Ref Enter a stock price. If you do not enter

Price a value, the
midpoint of the

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NBBO at the time

of the order is
used.

Underlying Define the lower portion of the stock range

Range outside of which your order will be cancelled.
(Lower)

Underlying Define the higher portion of the stock range

Range outside of which your order will be cancelled.
(Higher)

Delta Enter a value (which will be used as a percent,

ie. ".5" equal 50%) that will be multiplied by the
change in the underlying stock price. The
product is added to the starting price to
determine the option price.

Volatility Trading
The VOL order type allows you to trade volatility, and provides ways to dynamically manage your options
orders.

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To trade Volatility

1. From the Trading Tools menu, select Volatility Trader. The fields used to define and dynamically
manage volatility orders are on the new page.
2. Create market data lines. Note that Bid and Ask price fields display in volatility rather than as a dollar
amount. Market data for stock tickers will still display the bid and ask price.
3. Select Annual or Daily volatility using the Volatility Type dropdown list.
4. Create an order by clicking the Ask volatility for a Buy order, or the Bid volatility for a Sell order. The
order type defaults to VOL.

Note: You can use the VOL order type for equity options, index options and combination
orders. Hold your cursor over the option's volatility to see the option price, based on that
volatility.

Please note the following requirements for transmitting a VOL combination order:

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Combo VOL orders must be Smart-routed.

All legs must be on the same underlying, and each leg must independently be eligible to use the
VOL order type. For example, a BuyWrite order could not be sent as a VOL order since its stock
leg would not allow this order type.
All VOL orders must be DAY orders.

You can elect to price a Smart-routed Index Option order using reverse futures premium
calculations by selecting a futures contract from the Reference Contract field.

If you have changed the reference contract in the Model Navigator, VolatilityTrader will used the
new contract as the default reference contract.

5. To have the workstation calculate a limit price for the option or combination order based on your
volatility input, enter a value in the Order Volatility field. The value shown in the Imp Vol field is cal-
culated via the Model Navigator.

6. To transmit the order, click the "T" in the Transmit field, or the Transmit icon on the trading toolbar.

Field Description

Volatility If desired, enter a volatility to use in calculating a limit price for the option. If blank,
the calculation will use the volatility derived via Option Analytics.

Volatility Select from Daily or Annual volatility.

Type

Hedge Select an order type. The application will send an order against the executed
Order Type option trade to maintain a delta neutral position. Use the Hedge Aux. Price field to
set a price for orders that require one. Note that for index options, you will need to
select a futures contract for use in a hedge delta trade.

Alternately, you can use the right-click menu to attach a Delta Hedge order and set
the hedging attributes from the new order line.

Please note that if you select Continuous Update, the system will use the delta
associated with the parent order, which is calculated from the user-defined Implied

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Volatility specified at the time of the most recent order modification or price update,
instead of using the current delta of the option based on market data at the time of
trade.

For a Limit delta hedge order, a snapshot of the stock bid/ask price is taken at the
time the parent order fills, and the best available price is used as the limit price
(best ask for a buy and best bid for a sell).

Hedge Aux. Used in conjunction with the Hedge Order Type field. If you have selected an order
Price type that requires you to define a price, for example a relative order, use this field
to set the price.

Continuous Check this selection to continuously update the price of the order if the price of the
Update underlying instrument changes significantly. Note that you can only check
Continuous Update for three active orders at a time.

You will be subject to cancellation fees for order modifications that are made by
the system when you have the Continuous Update mode enabled.

Reference Elect to use the NBB (bid) when buying a call or selling a put; the NBO (ask) when
Price Type selling a call or buying a put; or the average of the best Bid and Ask. This price is
also used to compute the limit price sent to an exchange (whether or not
Continuous Update is selected), and for stock range price monitoring.

Stock Price Undrl. Range (Low) - enter a low end acceptable stock price relative to the
Monitoring selected option order. If the price of the underlying instrument falls BELOW the
lower stock range price, the option order will be cancelled. Merely touching the
price does not cancel the order.

Undrl. Range (High) - enter a high end acceptable stock price relative to the
selected option order. If the price of the underlying instrument rises ABOVE the
upper stock range price, the option order will be cancelled. Merely touching the
watermark does not cancel the order.

Reference Used for smart-routed Index Option volatility orders. This field allows you to select
Contract the futures contract to use for calculating the implied volatility. To activate this
feature, use the Volatility and Analytics page in Global Configuration and

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selectPrice index options relative to futures contract.

For a more detailed description of Trailing Stop orders visit the Order Types information page.

Conditional
A conditional order is an order that will automatically be submitted or cancelled ONLY IF specified criteria
for one or more defined contracts are met. You can use stocks, options, futures or security indexes to
trigger a conditional order.

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To create a conditional order

1. Select an order line.

2. From the right-click menu, select Modify and then select Condition.
3. From the Conditional tab on the order ticket click Add Condition.
4. Enter contract information for the contingent asset in the Conditional Order box.
5. Enter the trigger information for the contingent asset:

Select the trigger method.

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Select whether the price of the contingent asset should be less than or equal to (<=) or
greater than or equal to (>=) the trigger price.
Enter the trigger price.

If you select the double bid/ask trigger method, the greater than or equal to operator (>=) will
use the BID price and the less than or equal to operator (<=) will use the ASK price.

6. Click OK. The condition appears in the Current Conditions list.

To set multiple conditions, use the Add Condition button and click AND or OR in the Current
Conditions area.

Field/Button Description

Add Condition Invokes the Conditional Order entry box.

Delete Deletes the selected condition.

Modify Opens the Conditional Order entry box for the selected
condition to allow you to make changes.

Allow condition Lets the selected condition activate the order if it is satisfied
to be satisfied... outside of regular trading hours.

Action to take... If selected conditional order is satisfied, you can elect to have
the primary order submitted OR cancelled.

Miscellaneous
Use the Miscellaneous order fields to apply individual order attributes and set specific rules for OCA
groups.

All fields are not always visible. Only fields that apply to the current order will be shown.

Note: OCA group names must be unique to ensure proper handling of OCA orders. Once you use
a name, you cannot use it again even after the order fills or is canceled.

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Note:

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Note:

Field Description

Allocation Choose an account, model or portfolio strategy to receive allocation.

Order Ref An identifying number you create to track your order.

Trigger Select a new trigger method for the order.

Method

Trigger Check to allow the order to remain triggered until filled or canceled. If

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Once left unchecked order will deactivate at the end of the day and will not
trigger unless trigger conditions are met. For simulated orders only.

ISE Midpoint Choose from Standard or SOI for an ISE MPM order.
Match

Routing Select a Smart routing strategy.

Strategy

Req Market Check to request market data for the order.

Data

Block Order Check to create a block order.

Sweep to Fill Check to create a sweep-to-fill order.

Hidden Check to create a hidden order.

Auto-can- For orders with a parent-child pair, check to have the parent order can-
cel parent celed when the child order is canceled.

All or None Check to create an All or None order.

Non- Checking this box indicates that you will take all the risk for partially-executed
Guaranteed Smart routed combination orders. Note: Only Smart-routed US stock-option
and option-option combinations are guaranteed.

Consider If checked, Smart routing will consider the total cost of executing the order,
Cost including commissions and other fees, when deciding where to route the order. If
unchecked, only the exchange price is considered.

For smart-routed European stocks.

Preserve Check to keep your order in the queue and prohibit from canceling and
Time Priority resubmitting orders intermittently. This feature is used on exchanges that charge
a handling fee for orders that remain on the order book for a specified period of
time.

Hide When checked, hides the penny pricing of your options order.
Pennies

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Post only If checked, when there is non-displayed liquidity at the same price point, the
order price is adjusted low (for a buy) or higher (for a sell) by one penny to avoid
taking that liquidity. If the order comes in at a price higher (for a buy) or lower (for
a sell) than an order already sitting on the book, it becomes an IOC (immediate-
or-cancel) order at the better price.

Deactivate Check to deactivate the order, which cancels the order

Seek Price If checked, Smart routed orders sweep certain exchanges for hidden liquidity at
Improvement more favorable prices, then checks the dark pools as usual before routing to an
exchange. Note that activating this feature may result in slower executions.

Imbalance Submits the order only to take the imbalance from an opening or closing auction.
only

OCA Group

Group Name If the order is part of a one-cancels-all order, enter the OCA name in this field. All
orders with the same name in the OCA field become part of an OCA order. Once
you use a name, you cannot use that name again even after the order executes
or is canceled.

Partially filled Set instructions on how to behave when order is partially filled.
instructions
Reduced in size: Reduces the quantity of other orders in the group by the
partially filled quantity of the order. Please note that using this option without
overfill protection may likely result in multiple orders being routed to an
exchange. This may result in an overfill, or in a rejection in the case of multiple
sell orders where one is tagged as "short sale."

Reduced in size (Overfill Protection): Designed to reduce quantity of other

orders in the group by the partially-filled quantity of the order, and specifies that
only one order at a time will be submitted to an exchange to avoid multiple orders
filling (overfill).

Cancelled: All orders in the group will be canceled. When selected, "overfill
protection" is automatically enabled to prevent an overfill.

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Overfill Dictates that only one order in the group will be routed to an exchange at a time.
Protection This completely removes the possibility of an overfill.

Pre-Borrow Shares for Shorting

If you plan on putting on a short sale, you can choose to pre-borrow shares to decrease your chances of
being bought in on settlement date.

About Pre-Borrows 270

Create a Pre-Borrow Order 271

Pre-Borrow Returns 273

About Pre-Borrows
Eligibility

Pre-Borrow for Shorting is only available for Portfolio Margin customers.

To enable this program, you must log into Account Management and check Pre-Borrow Program in
the Trading Programs section of the Trading Permissions area.

The Pre-Borrow Market

Pre-borrow orders are accepted from 6:45 - 14:45 ET.

Generally the most active time for pre-borrows occurs between 9:00 and 11:00 a.m.

Rates and Fees

The indicative rate displays in the data line for the stock in the Lend field. The actual rate to borrow that
stock (our standard borrow rate) is computed at the end of the day and will be available on your activity
statement.

Rates are subject to change based on availability of the underlying stock. Standard borrow rates are
computed each night and will be available on your activity statement.

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You will pay additional borrow fees for any stock held in excess of your short position.
The borrow rate is applied to the collateral to calculate the daily borrow fee.
The borrower is responsible for the daily borrow fee and for collateral on the transaction. The collateral
is equal to the settlement price x quantity. The settlement price is 102% x mark price rounded up to the
nearest 1.00 with a 1.00 minimum.
Collateral is returned to the borrower when the borrowed shares have been returned to the lender.
In the case of dividend-paying shares, since shares are only being lent (not sold) by the lender,
dividends paid during the borrow belong to the lender who actually owns the shares. The borrower of
the shares must pay dividends to the lender in what is called Payment in Lieu of Dividends.

Transaction Information

A pre-borrow is presumed to anticipate a short sale. If no short sale trade executes within three days of
the pre-borrow transaction, a non-purpose borrow results and the shares are returned.
If the pre-borrow is not followed by a short sale and a previous short on the same underlying exists, the
pre-borrow will be applied to the existing short on the following day.
Only US stocks are available to pre-borrow.
Orders are only eligible to fill during regular trading hours.
There is an order minimum of 10,000 USD for all pre-borrow transactions.
Only market orders are supported for pre-borrow orders.

Create a Pre-Borrow Order

You can initiate a pre-borrow order from US stock market data line or directly from within the Stock/Borrow
Loan window.

Before you can pre-borrow you will need to enroll in the program via the Trading Programs area in Account
Management.

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To create a pre-borrow order

Right-click the stock underlying you want to pre-borrow and select Trade then select Pre-borrow shares
for Shorting.

Select the contract/destination as xyz SBL@PREBORROW.

Answer "Yes" to the message offering to change the order type to MARKET. You will receive this message
for every pre-borrow order if you have the default order type set to any type other than MARKET.

For the pre-borrow order you can only modify the quantity, which should correspond to the anticipated
short sale.

Transmit the order.

Short Sales on a Pre-Borrow

Once the pre-borrow order is contracted, the quantity available to short will be shown in the Private
Locate field.

Display the Private Locate field

Hold your mouse over any market data field until the "Insert Column" option appears. Click "Insert Column"
and select Stock Borrow/Loan and then Private Locate.

For details on using the pre-borrow feature, see the About Pre-Borrows topic.

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Pre-Borrow Returns
The Return/Recall panel displays any returns and recall requests (you must be logged in), and allows you
to send return requests.

Once you borrow shares, you can return them using the Return order function, or the lender can recall the
shares at any time. When borrowed shares are recalled, they are removed from your account, you are
notified in the Return/Recall panel of TWS, and the recall will show up in the Borrow Activity section of your
Activity Statement.

Please note that if you have borrowed to cover a short position and then purchase the shares and no
longer need to maintain the borrow position, the borrowed shares are not automatically returned; you must
return the shares. Returns cannot be made the same day (you can return the next day), and must be
entered by 10:50 am.

To view the Return/Recall panel, click the Show Return/Recall Requests icon on the right-hand tab of the
trading page.

To return borrowed shares

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1. Right-click the ticker and select Trade then select Return Shares.

2. Confirm the order parameters and transmit the order by clicking the ‘T’ in the Status field.

Order Quantity Calculator

Calculate the order size based on currency, deliverable value, percent of Net Liquidation or percent
change in position.

Determine Order Quantity 274

Calculate Order Quantity 275

Determine Order Quantity

When you create an order, you can define the order size several different ways. You can set a general
default order size that is used for all orders. You can set specific default sizes for instrument types, for
example a quantity of 500 for all stock orders. You can even get more specific and set the default order size
for a specific contract, for example set the quantity for all stock orders for underlying XYZ to 1000.

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Alternatively, you can set a default currency amount that will be used to calculate the order size. For
example, set the default amount for stocks to $5000.00. The order quantity is then calculated based on the
stock price, and is rounded to the nearest 100 for U.S. stocks.

You can also have the workstation calculate the order quantity by Deliverable value amount, a percent of
your Net Liquidation value, or based on a percentage of your current position.

Calculate Order Quantity

Use the Quantity Type and Quantity Value fields to calculate your order quantity based on:

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Currency- assumes the base currency

DLV Amount - See Deliverable Value (DLV) Calculation for more information.
% of NLV - percent of Net Liquidation Value
% Change in Position - percent of the change for your position in the underlying.

For example, say you have a Net Liquidation Value of 40,000. XYZ shows a current ask price of 80.00. If
you create a buy order for XYZ, select "% of NLV" as the Quantity Type and enter "20" in the Quantity
Value field, you're telling the application to calculate the number of shares you could buy for 20% of
$40,000 or $8000.00, based on the Ask price of $80.00. The calculated Order Quantity value of "100" is
then displayed in the Quantity field.

To display the Quantity Type and Quantity Value fields

1. Right-click on any column name in the Order Management section of the trading screen, and click
Customize Layout.
2. Click the Order Columns tab. In the Available Columns list in the Quantity section select Quantity
Type and Quantity Value and Add them to the Shown columns list.

To calculate order quantity by currency

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1. Create an Order by clicking the bid or ask price.

2. In the Quantity Type field, select the currency type. This field assumes the base currency.
3. In the Quantity Value field, enter a currency amount. For a buy order, enter the amount you want to
spend. For a sell order, enter the amount you want to make. Based on the current bid/ask, your
value gets rounded up or down.

The order quantity is calculated and displayed in the Quantity field.

To calculate order quantity by Deliverable Value (DLV Amount)

1. Create an Order by clicking the bid or ask price. See Deliverable Value (DLV) Calculation for
more information.
2. In the Quantity Type field, select DLV Amount.
3. In the Quantity Value field, enter the dollar amount of your deliverable value you want to use to cal-
culate the order quantity.

The order quantity is calculated and displayed in the Quantity field.

To calculate order quantity as a % of your Net Liquidation Value (% NLV )

1. Create an Order by clicking the bid or ask price.

2. In the Quantity Type field, select % NLV The Net Liquidation value is the first value in the upper left
Balance area of the Account window.
3. In the Quantity Value field, enter a percent value that will multiplied by your NLV to calculate a dol-
lar amount.

The order quantity is calculated and displayed in the Quantity field.

To calculate order quantity as a % of position change

1. Create an Order by clicking the bid or ask price.

2. In the Quantity Type field, select % Change in Position.If you do not hold a position in the selected
underlying, you will not see this selection.
3. In the Quantity Value field, enter a percent value that will multiplied by your position to calculate the
order quantity.

If your position is negative, you must enter a negative percent value to calculate a positive order quantity.

The order quantity is displayed in the Quantity field.

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Rapid Order Entry

Enter orders more quickly with defaults and quick-click fields.

Enter Orders using Rapid Order Entry 278

Update Multiple Orders 280

Create "Instantaneous Transmit" Hot Key 282

Enter Orders using Rapid Order Entry

The Rapid Order Entry panel, which is visible by default at the top of each trading page, allows you to
quickly transmit an order without having to open an order ticket or click in a market data line. You simply tab
through the fields, enter your order parameters, and click Trade. You can also enter the local or root
underlying symbol, just as you can on the trading screen.

Note: Rapid order entry can be set for Stocks, Options, Stocks/Options, Stocks/Futures and
Combo orders.

To use the Rapid Order Entry panel

1. If the panel is hidden, from the View menu select Rapid Order Entry.

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The panel displays the instrument setting in the title, for example (Stocks). With this setting, you can only
create stock orders.

To change the instrument type

1. Right-click in the panel, and select Rapid Order Entry, then select the instrument type setting. Select
Stocks/Options or Stock/Futures to enter either asset type.

Once you have transmitted an order using Rapid Order Entry, the details of the order appear in the Order
Management panel of the trading page. Any modifications to your order must be made on this order
management line.

Using the Stock/Options or Stock/Futures Settings

You can choose to set the panel to Stocks/Options or Stock/Futures if you trade both asset types.

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If you enter the Last Trading Day, Strike, and P/C fields, the Rapid Order Entry panel assumes you're
creating an option or futures order and the limit price defaults to the correct price. If you leave these fields
blank, it assumes a stock order and the limit price defaults to the stock price.

For the Option and Stock/Option layouts, you can set a default in Global Configuration to populate with the
nearest at-the-money option , but if you set this for the Stock/Options layout you will always need to delete
information to create a stock order since the Last Trading Day and Strike fields will auto-populate.

Update Multiple Orders

Automatically update order type, limit price, time in force and more for a specific group of orders.
Automatically update the limit price to coincide with the ask, bid, midpoint, closing or last price.

Update multiple orders

1. On the Trade menu select Modify Multiple Orders.

2. Set update parameters:

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Which orders

All selections apply only to orders on the active trading page. Specify whether to update attributes for:

All orders on the page - Including working orders, non-transmitted orders, etc

Open orders only - This includes all orders working on the current page.

Selected orders - This includes all orders (working or not) on the active page that you deliberately select.

Inactive orders - This includes all orders on the active page that are created but have not yet been
transmitted.

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Set Type and Time in Force

For the subset of orders specified above, specify changes to the current order type and time in force.

Check Convert Market to Limit to have all market orders automatically changed to limit orders. Buy limit
orders will use the Ask as the default limit price; sell limit orders will use the Bid as the default limit price.

Set Price Parameters

Define the update price parameters for Buy orders and include an offset amount if desired.

Set the update price parameters for Sell orders. If you check Mirror image of buy orders, parameters are
set reversed from the Buy orders selections. The mirror images of Midpoint, Last and Close would be the
negative values for each of these prices.

Validation

If one or more of the orders marked for update cannot be updated, the Validation selection checked here
will be used.

Create "Instantaneous Transmit" Hot Key

You use hot keys to perform common trading functions, such as creating specific order types. Once you
have created an order, you must still select Transmit to send the order. You now have the option to
enhance the Buy and Sell hot keys by adding "instantaneous transmit" functionality.

To add instantaneous transmit functionality to a hotkey

On the Edit menu, select Global Configuration and then select Hotkeys in the left pane.

1. In the Configured Shortcuts table, select the Buy or Sell action.

2. Click Configure, and open the Customize tab.
3. At the bottom of the page check Transmit the order instantaneously and click OK.

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Note: To use this feature, you will be asked to sign an agreement stating that you understand its
implications. Under the terms of the Customer agreement, you are responsible for all orders
entered in your account. Consider carefully whether setting a hot key to instantaneously transmit
orders is the best for the way you trade.

Rebalance Your Portfolio

Use the Rebalance window to redistribute percentages of positions in your portfolio that make up your
current (signed) net liquidation value.

The Rebalance Window 284

Import and Export Positions to Rebalance 285

Rebalance for Advisors 289

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The Rebalance Window

Use the Rebalance window to assign application automatically creates orders to rebalance your portfolio
based on target percentages you enter.

To rebalance your portfolio

1. From the Trading Tools menu, select Rebalance Portfolio.

2. The Rebalance Portfolio window shows three columns that are different from those on your trad-
ing screen:
Deliverable Value - this is the deliverable value of the position. For stocks, this is the value of the
stock, which is the same as the Market Value for the position shown in the Portfolio section of the
Account window. For options, futures, and single stock futures (SSFs) it is the underlying stock
or index value.

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Current % - this is the current signed percent of the position to your net liquidation value shown in
the Balance section of the Account window. This figure is calculated by dividing the DLV by the
NLV (Net Liq. Value).
Rebalance % - use this field to enter a new percentage of the NLV that you want the position to
have.
3. In the Rebal % field for one or multiple positions, enter the percent of the Net Liquidation Value that
you want the position to have.
4. Click the Create Orders button to instruct the application to automatically create the orders to
achieve the percent change.
5. Use the Transmit All button to send all orders, or click "T" on an order line to transmit a single order.

Note: For options, the rebalance % is based on the value of the underlying stock prices.

To open positions from the Rebalance window

1. Click Add Line from the buttons panel, and enter an underlying symbol into the blank row and hit
Enter. Define the contract.
2. Enter a value in the Rebal % column and click the Create Orders button.
3. Transmit the order.

Import and Export Positions to Rebalance

Customers who prefer to work in Excel can export the Rebalance file and modify the current percentage to
reflect the percent of net liquidation they want to their positions to have, then import the modified file back
into Rebalance Portfolio.

Advisors can also use this feature to import a modified file to a new account to easily bring this account to
the new percentages.

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To export a portfolio

1. Click the Export icon at the top of the Rebalance Portfolio window.

2. Modify the location and file name if desired (leaving the .csv extension), and click OK. You may want
to modify the generic file name to help identify it.

For example, you could change the default C:\jts\rebalance.csv to C:\clients\smithPortfolio.csv.

3. Click OK from the file export confirmation message.

The directory path must exist for the Export functionality to work. You cannot create a new folder while
exporting.

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To rebalance the position’s percent of NLV from Excel

1. Open the exported .csv file in MS Excel.

Note that each line of the spreadsheet represents a position. The last column represents the current
percent of Net Liquidation Value that the position holds. This exported value is equivalent to the
value in the Current % field of the Rebalance Portfolio window.

2. Change the current % of NLV to the new percent you want. Do this for as many lines as needed and
click Save.

For example, if you want to rebalance your portfolio so that AAPL STK holds 5% of NLV instead of
16.20478 as shown above in line 2, you would change 16.20478 to 5.0. This modified value is imported in
the Rebalance Portfolio as the new Rebal % value.

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To import a rebalance portfolio

1. Click the Import icon at the top of the Rebalance Portfolio window.
2. Navigate to the modified .csv file you want to import and click Open. You will see the new Rebal %
values in the modified position lines.

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To complete the rebalance, create and transmit the orders.

Rebalance for Advisors

Advisors can elect to have TWS automatically Rebalance ALL accounts, a single subaccount, or a user-
defined Account Group, which includes a subset of accounts, by redistributing percentages of positions in
their subportfolio(s) that make up the current (signed) net liquidation value. TWS opens and closes
positions to rebalance the selected accounts' portfolio based on the new percentages you enter. You can
add contracts and create orders just as you would from the main trading screen.

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Rebalance a SubPortfolio

1. Open the Rebalance window by clicking the Rebalance icon on the trading toolbar.
2. In the Account dropdown, select: All to rebalance All accounts; Master to rebalance the master
account, an account number to rebalance that account, or an Account Group to rebalance all
accounts in the group.

3. The Rebalance window shows three columns that are different from those on your trading screen:

Deliv Value - this is the deliverable value of the position, which is the same as the Market Value
for the position shown in the Portfolio section of the Account window.
Current % - this is the current signed percent of the position to your net liquidation value shown in
the Balance section of the Account window. This figure is calculated by dividing the DLV by the
NLV (Net Liq. Value).
Rebal% - Percentages are entered in terms of deliverable value.

Note: Please note that puts have a negative deliverable value since they deliver a short
position. Consequently, to increase your put position, you must enter a negative deliverable
value percentage.

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4. In the Rebal % field, enter the new percent of the Net Liquidation Value that you want the position to
have.

If you have selected "All" in the Account dropdown, the rebalance percent for the instrument will be
applied to all of your sub accounts' portfolios.

5. Click the Create Orders button to instruct the application to automatically create the orders to
achieve the percent change.
6. Use the Transmit All button to send all orders, or click "Transmit" on an order line to transmit a
single order.

Note: For options, the rebalance% is based on the value of the underlying stock price.

Open positions from the Rebalance window

1. First, add a ticker line to the Rebalance window by selecting the market data line on your trading
screen, and then clicking the selection arrow attached to the Rebalance icon on the trading toolbar.
Click Add to Rebalance Window. Or, enter an underlying symbol into a blank row on the
Rebalance screen as you would on the main trading window.
2. Enter a value in the Rebal % column and click the Create Orders button.
3. Transmit the order.

SpreadTrader
Easily create complex multi-leg futures and options spreads with SpreadTrader.

Create Futures Spreads with SpreadTrader 291

EFP Futures Spreads 294

Create Option Spreads in SpreadTrader 296

Create Futures Spreads with SpreadTrader

Use the SpreadTrader to quickly create and trade calendar spreads for futures.

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Create a futures spread

1. Open SpreadTrader by right-clicking a contract on the trading screen and selecting Tools and then
SpreadTrader.
2. Enter the underlying symbol and and then select Futures Spreads for xxx, then choose the routing.
3. In the SpreadTrader leg matrix at the bottom of the screen, click a bid or ask price at the intersection
of two legs to create the calendar spread.

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The SpreadTrader matrix automatically structures the spread to sell the nearby month and buy the
distant month.

4. Transmit the order from the Orders panel by clicking "T" in the Status field.

Background Colors in Quote Panel

The colors in the Description field of the Quote panel show you how far out from the current year the
contract's maturity date is, at a glance. Industry-standard colors are defined below:

Number of Years Out Background Color

>1 White

2nd Red

3rd Green

4th Blue

5th Gold

6th Purple

7th Orange

8th Pink

9th Silver

10th Copper

EFP Futures Spreads

An EFP (Exchange for Physical) is a combination order to sell/buy stock and buy/sell an SSF (single stock
future).

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To create an EFP in SpreadTrader

1. From the Trading Tools menu select SpreadTrader.

2. Enter a symbol in the underlying field and hit Enter.

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3. Select EFPs for xxx and then select the routing destination, either SMART, IBEFP or ONE.

The spread matrix at the bottom of the window is populated with a list of all single stock futures legs
on the left, and the stock across the top.

4. Click a bid or ask price at the intersection of two legs to create the EFP spread.
5. To transmit the order, click the "T" in the Status field of the Orders panel.

Note: Please note that smart-routed EFPs are not guaranteed.

Create Option Spreads in SpreadTrader

Use the option combo facility in SpreadTrader to create a matrix of variations on an option strategy for a
single underlying, from which you can create and transmit multiple combination orders with two clicks of the
mouse. The Option Wizard helps you to define exactly how you want the combo lines displayed in the

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matrix by allowing you to assign either a column position, row position or fixed value to each parameter.
You can also use filters to help specify exactly which contracts you want to display in the matrix.

To create an Options Spread Matrix

1. Open the SpreadTrader by clicking the SpreadTrader icon on the trading toolbar.
2. Enter an underlying symbol in the Underlying field and hit Enter.
3. With your mouse, select Options Combos for XXX, and then select an exchange/currency.
4. In the Option Spreads window, select a combination strategy. Once you do this, every available
spread for that underlying is displayed in the right panel.

The number of parameters shown under the Filter section; Some have two (such as a conversion or Buy
Write) while others, like the Butterfly, have 5 or more. You can use these filters to limit the number of
combinations that appear in the right panel.

5. Hit the Next button at the bottom of the window to see the Configure Table Variables box.

Each variable is represented by a section in the box, with Column Variable, Row Variable or Fixed
Value choices. A variable means that the combination parameter can use multiple valid values. For
example, for a Calendar spread there are two variables for the right: put and call. If you select Call
(which filters out the puts) it's no longer a variable, it's a fixed value. In that case, you won't see P/C
in the variables list.

6. For each variable, check a radio box to instruct it to display as a row or column, or be used as a fixed
value. Checking Row will create a row for every possible combination of row variables. Checking
Column will display a column for every possible combination of column variables. Checking Fixed
value will invoke another selection box where you choose a single value for the parameter.

For example, our Calendar spread has five parameters: Front month, Back month, P/C, Duration, and
Strike. We filter out all but two Front months (20061020 and 20061117) and two Back months (20061117
and 20070119) and all but six potentially valid strike prices, and leave everything else as is. Since the only
valid duration is one month, the Duration parameter is no longer considered a variable. That leaves two
variables in the P/C category (put and call) and multiple strike variables.

Hit Next to lay out our matrix using the four variables, and choose Column Variable for the Front month
and the Strike, and Row Variable for the Back month and the right. When you click Finish you'll see

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something like this, where the Back month and the rights comprise the rows, and the Front month and
Strikes comprise the columns.

What are you looking at?

Each row is divided into sections of market data for the column variables you picked, in this case for the
front month and strike. If you could scroll across in this picture, you'd see the first of two Front months we
picked (20061020) occurring in six blocks, once with each different strike price. Then you'd see the second
front month, again once with each different strike price.

You see all the rows that are available, since our variables included only two back months and call/put. If
you want to make any changes to the layout and combinations displayed, click the Options Wizard button
on the toolbar.

Note: If you receive a message saying you have too many combos to subscribe to market data,
and you don't go in and filter your results further, the prices will not update, and the matrix title will
read "...Snapshot" instead of "...Realtime."

TWS Blotter
The Blotter integrates seamlessly with TWS to provide a more robust OMS system.

Using the TWS Blotter 299

Understand the Blotter Interface 300

Manual Ticket Entry 302

Advisor Allocations 305

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Receive Electronic Tickets 305

Use Color Grouping to Link Blotter Windows 308

Using the Tickets Panel 309

Using The Orders Panel 311

What is an Away Destination? 313

Manage Orders with TWS Algos and Tools 317

Reading the Trades Panel 318

Display Orders by Filter Criteria 318

Order Sharing Modes 320

Configure the Blotter Panels 322

Using the TWS Blotter

The Blotter is part of our suite of specialized order management tools, and is the foundation of the IB OMS.
Log into TWS to access the Blotter and other OMS functionality.

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To open the Blotter

1. Log in to TWS.

From the Trading menu, select Blotter.

Or, click the Blotter icon on the trading toolbar.

Understand the Blotter Interface

Traders use the Blotter window to receive and create tickets, and to create and manage orders.

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The Blotter comprises these main sections:

The Manual Ticket Entry/Rapid Ticket Entry panel, used to manually create new tickets.
The Tickets panel which displays manually created and electronic tickets, and the ongoing order
status.
The Orders panel, used to modify and submit client orders.
The Trades panel, which displays summary and drill-down execution reports.

Electronic tickets via FIX are accepted via a pop-up notification box, and other tickets can be entered
manually by the trader using the Manual Ticket Entry panel. Once an order is accepted or added, you can
manage all aspects of your clients’ orders from this single Blotter window.

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Manual Ticket Entry

You can enter manual tickets from the Blotter by typing an underlying or contract symbol in the Underlying
field of the Manual Ticket Entry panel. You can also enable ticket entry from other TWS windows, or add
tickets to the Manual Ticket Entry panel from the right-click menu on a market data line.

To enter a manual ticket from the Blotter

1. Enter the underlying symbol in the Contract field, and hit Enter.

2. Use the Contract Selection list and Contract Selection box to define the contract.
3. In the Account field, select the beneficial account for the order. Select the Action (BUY or SELL),
the Quantity and the order Type (Limit or Market for the parent order).
4. Click Add to put the order into the Tickets panel.

If you know the contract symbol you can enter a ticket quickly using symbol shorthand.

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To enter a ticket using symbol entry

In the Underlying field, enter the contract symbol and routing choice as: symbol#routing

You can also instruct TWS to create blotter tickets for orders you initiate on other TWS windows.

To enable ticket entry from other TWS windows

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1. From the Edit menu select Global Configuration.

2. In the left pane, select Orders.
3. In the right pane, check Create ticket for all orders.

Checking this feature tells TWSto send all of your orders to the Blotter for order management, regardless
of the window from which the order originated.

To create a manual ticket entry from the right-click menu in another window

1. Select the market data line for which you want to create a ticket.
2. From the right-click menu, select Trading Tools and then select Blotter.

The Manual Ticket Entry panel of the Blotter now displays the contract.

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Advisor Allocations
An allocation method can be defined during manual ticket entry, and this designation is retained with the
order and applied when the order fills.

To allocate shares

1. From the Manual Ticket Entry panel, create a ticket.

2. In the Allocation field, use the drop-down picklist to choose an allocation group, profile, or a single
account.

As the order is processed, the assigned allocation remains and is applied when the order fills.

Receive Electronic Tickets

You are notified of incoming FIX tickets by a pop-up order notification window.

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Click Accept for a single order to put a single ticket into the Tickets panel.

Click Accept All to put all tickets into the Tickets panel.

Click Reject to cancel a single ticket.

Click Reject All to cancel all tickets.

If you are not logged in when a ticket is received, it is sent to the next available trader.

You can assign sounds to specific events to help you recognize receipt of an electronic ticket, modification
request of a electronic ticket, and a cancel request for an electronic ticket.

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To assign sounds to events

1. On the Configure menu select Global Configuration.

2. In the left pane select Sound Manager, and in the right panel check the events to which you want to
assign a notification sound.

3. Use the down arrow to display and select from available system sounds. Use the Browse button to
find a sound file to apply.

Click the “Play” arrow to hear the sound you have chosen.

4. In the Repeat Count field, modify the default setting if you want to notification to play more than once.

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Use Color Grouping to Link Blotter Windows

Creating a windows group that includes the Blotter provides a shortcut for creating manual tickets. For
example, assume you want to create an options order on IBM. Without grouping, you’d need to create the
line in the Manual Ticket Entry of the Blotter, then enter IBM into the OptionTrader to get the option chains.
With the windows, grouped, as soon as you enter IBM in the Blotter, the OptionTrader receives this entry
and is populated with IBM chains automatically.

Assign windows to a "group" to link order and ticker actions. You assign a window to a group using the
colored blocks on the top right of the title bar. All windows with the same color are part of the same group.
When you change focus on one of the group's "Source" windows, all destination windows in the group
reflect the change.

Any window that can be part of a group will display the blocks. A window can be part of one group at a time.
When you close the window, its group affiliation is erased.

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The window's designation is displayed in a mouse-over tooltip when you hover over the Group icon. A
window can be a:

Source - this is a controlling window and can only SEND instructions. The Blotter window is a source-only
window.

Destination - this is a receiving window, and can only RECEIVE instructions from a window with Source
privileges.

Source/Destination - this is a multi-tasking window which can both SEND instructions to and RECEIVE
instructions from other windows in the group. The OptionTrader window is both a Source and Destination
window.

Create a Blotter group

1. From the top corner of the Blotter window, display the Group dropdown and select a group.
2. Open a window you want to group, for example the OptionTrader, and select the same group num-
ber/color.

The OptionTrader and Blotter windows are now grouped. Open the windows side-by-side. In the Blotter,
enter an underlying in the Manual Ticket Entry panel, and see how the OptionTrader data automatically
changes to reflect the Blotter entry.

Using the Tickets Panel

Accepted electronic orders are staged in the Tickets panel. Only limit and market orders can be accepted.

You create orders from the ticket lines in the Tickets panel.

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To create an order from a ticket

1. Right-click a ticket and select Create Order, or

2. Click the Action (Buy or Sell) on the ticket line.

You can open other TWS trading tools from the ticket and modify order parameters within the other tool.

Manage Orders

Orders are created from the Tickets panel and display in the Orders panel for modification and
transmission. These orders are "child orders" of the original ticket, and must stay within any price, type or
Time in Force limitations defined in the parent order.

Cancel the entire ticket.

Cancel all child orders associated with the ticket WITHOUT cancelling the ticket.
Monitor the order status for each ticket.

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Orders are displayed in the Orders panel (see below) with a default Quantity. You can modify the quantity
per order, and change the default for specific products using the Order Preset Strategies in Global
Configuration.

To cancel a ticket

Right-click the ticket line and select Cancel this ticket, or

Click the yellow “C” in the Cancel field and then click Cancel this ticket.

Canceling from the Tickets panel cancels the entire client order and any working components. Clients
receive a cancelled order notice. To cancel a single child component of the order, cancel directly from the
child order in the Orders panel.

To cancel all child orders

Right-click the ticket line and select Cancel open orders for this ticket.

The child orders are canceled but the original order ticket is not canceled.

Using The Orders Panel

The Orders panel is where you actively manage orders.

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Note: The relationship between parent/child orders is shown via the Key field in the Tickets,
Orders and Trades panels . Every new child order is numbered sequentially and colored to indicate
its relationship to the original order.

You can modify the following parameters for a child order:

Order Quantity, which can be modified to be equal to or less than the quantity in the Leaves status
field for the order in the Tickets panel.
Limit Price (with restrictions) - you cannot adjust the price to be more aggressive than the client’s ori-
ginal price, i.e. you cannot increase the price for a buy order, or decrease the price for a sell order.
Order Type (with restrictions) including:
Limit tickets can only be sent as a limit or relative orders.
Market orders can be submitted as: market, limit, stop, stop limit, trailing stop, trailing stop limit and
volatility. For more information on IB order types, see the Order Types page on the web site.
Time in Force - use the drop-down menu to choose from Day, GTC, OPG, IOC or GTD.

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You must set the TIF for a child order equal to or shorter than that of the parent. Otherwise, the TIF of the
parent order will override that of the child order.

Destination - choose a new routing destination for the order, create a new “Away” destination, or
route to another desk within your firm.

To transmit an order

1. Modify order parameters by clicking in the appropriate field and selecting or entering a new value.

Use the price or size “wand” to set a parameter by clicking and holding the mouse button in a field.

2. Click the “T” in the red Status field to transmit the order.

To cancel an order

Transmitted child orders show a “C” in the yellow Status field. Click to cancel the order.

Note: To create a new order, right-click the original ticket in the Tickets panel.

What is an Away Destination?

For order management purposes, the Blotter allows you to manually create “Away” destinations and to
manually report trades executed away from IB. This data will be reflected in the order status fields and the
Trade reports.

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To create an Away destination

1. From an order in the Orders panel, click the Destination field dropdown.

2. Choose Add/Edit destination at the bottom of the list.
3. In the Away Destinations box, enter the title that will display in the Destination list, and the
Exchange/Destination to which the order will be sent.
4. Click OK. The new destination now appears in the dropdown list and is the selected destination for
the current order.

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The order quantity transmitted to your away exchange is reflected in the order status columns of the
Tickets panel. In the example above, a quantity of 12 was routed to the best ex away exchange. The status
reflects 12 routed, 25 still left, and 12 working.

It is important to note that orders “transmitted” to your away destinations are not handled by IB. An away
destination is simply an order-management tool that allows a place-holder within the Blotter for orders you
will manage away from IB.

Add “Away Trade” Data to Blotter

To help manage your orders, the Blotter allows you to manually include trade data from orders filled away
from IB.

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To report away trades

1. Highlight the Away trade order line in the Orders panel. Note that you will only see the Report Trade
command if you are on an Away trade order line.
2. From the right-click menu, select Report Trade.
3. In the Report Trade box, enter the quantity, price, destination, exchange and time of execution.
This information will be used by the Blotter to display trade data.
4. Click Accept. The information you specified is now incorporated into both the Order Status data in
the Tickets panel and the execution data in the Trades panel.

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Manage Orders with TWS Algos and Tools

Manage client orders using sophisticated TWStrading tools and algos. The IB OMS supports order
management using the following tools and algos:

Accumulate Distribute (for stocks)

ScaleTrader (for stocks and options; market orders only; no support for profit taking child orders)
IB Stock algos including Arrival Price, Percentage of Volume Strategy, TWAP and VWAP
IB Option algos including Balance Impact and Risk, and Minimize Impact
BookTrader

Market Depth

ChartTrader

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The Integrated Stock Window (ISW)

The Order Ticket

To manage a Blotter ticket from a different tool

1. Select the ticket and use the right-click menu to select Trading Tools.
2. Choose the trading tool. The tool will open, populated with the selected ticket information.

Reading the Trades Panel

Filled sub orders are removed from the Orders panel, and the parent order is removed from the Tickets
panel once the entire order has filled. The Trades panel displays real time trade reports with a drill-down
feature to view a breakdown of executions at each price level.

Use the Filter panel to view only those orders that meet the filter criteria.

Check Show filled and canceled orders to display these orders.

Display Orders by Filter Criteria

Although associated orders are visually linked by color and number Key, as shown in the picture below,
you may want to have only a single order family on the screen, or you may need to view a specific subset of
orders based on other criteria, for example all orders for Client A, or all orders on underlying ABC. The
Blotter provides two filtering strategies:

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To filter out all orders except for one order family, the Key field for the relevant child order in the
Orders panel. Click the child key again to clear the filter and show all order families.
To filter out all orders except those that meet other criteria, use the Filter panel to specify display cri-
teria.

Find the Filter panel at the bottom of the Blotter window. Use these fields to filter by criteria other than a
group of associated orders (the Key). Filtering criteria applies across order information in all panels,
including the Tickets, Orders and Trades panels.

To use the filter panel

1. Enter the filter criteria, such as a client name, underlying symbol or action, and hit Enter.
2. To remove the filter and see all orders, click Clear Filter.

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Order Sharing Modes

Depending on the sharing properties defined for your trading group, you may have permission to view and
manage orders received by other traders as well as manage your own orders. You may be enabled for one
of three possible modes:

Full sharing - this mode displays all orders for all traders in the Orders panel of your blotter. Display the
Submitter field to see who last touched each order.

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To display the Submitter field

1. In the Orders panel, right-click in the column headings and select Customize Layout.

2. Click the Order Columns tab, and in the Available Columns list expand the Status category.

3. Select Submitter and use the “Add +” button to move the field to the Shown Columns list.

Note: Use the Up and Down arrows to position the location of the field relative to the other order fields.

Login sharing - this mode requires you to log in to another user’s Blotter before you can access their
orders. A separate tab is created for each login, and that users orders are displayed only on their tab.

No sharing - this mode only allows you to view and manage the orders you accepted or created.

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To log into another user’s Blotter

1. Right-click the My Blotter tab.

2. Select Open Blotter for Another User, and enter the user’s IB username.

Click OK. The other user’s interface opens under a new tab in your Blotter window.

Configure the Blotter Panels

You can hide or display columns in the Blotter panels using the panel-specific layout manager in Global
Configuration.

To show or hide Blotter columns

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1. From the top left of any panel, click the Configure wrench icon.
2. In the right pane, select the tab for the columns you want to modify. You can choose Market Data
Columns or Order Columns.

3. Field in the Shown Columns list are visible on your trading panel. To display other fields on your trad-
ing panel, select from the Available list and add to the Shown list.
4. To remove columns from the trading panel, select fields from the Shown list and remove to the Avail-
able list.

Bolded titles indicate columns that cannot be removed from the panel display.

You can change the order in which the fields are presented on a panel using the vertical up and down
arrows in the Shown Columns list. In the picture below, I’ve moved the Key field to the right on my Tickets
panel so that it displays next to the Total Quantity field.

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To change the column order

1. In the Shown Columns list, click on the field that you want to move.
2. Click the arrows to move the column:

Moving the field UP in the list moves it to the left on the screen.
Moving the field DOWN in the list moves it to the right on the screen.

Panels that use the double-row layout can also be moved directly from the screen by dragging and
dropping a column to a new location.

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Trade Volatility
Trade volatility with our volatility tools and algos.

Volatility Trading 325

Attach a Delta Hedge Order 328

Volatility Trading 330

Volatility Trading
The VOL order type allows you to trade volatility, and provides ways to dynamically manage your options
orders.

To trade Volatility

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1. From the Trading Tools menu, select Volatility Trader. The fields used to define and dynamically
manage volatility orders are on the new page.
2. Create market data lines. Note that Bid and Ask price fields display in volatility rather than as a dollar
amount. Market data for stock tickers will still display the bid and ask price.
3. Select Annual or Daily volatility using the Volatility Type dropdown list.
4. Create an order by clicking the Ask volatility for a Buy order, or the Bid volatility for a Sell order. The
order type defaults to VOL.

Note: You can use the VOL order type for equity options, index options and combination
orders. Hold your cursor over the option's volatility to see the option price, based on that
volatility.

Please note the following requirements for transmitting a VOL combination order:

Combo VOL orders must be Smart-routed.

All legs must be on the same underlying, and each leg must independently be eligible to use the
VOL order type. For example, a BuyWrite order could not be sent as a VOL order since its stock
leg would not allow this order type.
All VOL orders must be DAY orders.

You can elect to price a Smart-routed Index Option order using reverse futures premium
calculations by selecting a futures contract from the Reference Contract field.

If you have changed the reference contract in the Model Navigator, VolatilityTrader will used the
new contract as the default reference contract.

5. To have the workstation calculate a limit price for the option or combination order based on your
volatility input, enter a value in the Order Volatility field. The value shown in the Imp Vol field is cal-
culated via the Model Navigator.

6. To transmit the order, click the "T" in the Transmit field, or the Transmit icon on the trading toolbar.

Field Description

Volatility If desired, enter a volatility to use in calculating a limit price for the option. If blank,

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Option Analytics.

Volatility Select from Daily or Annual volatility.

Type

Hedge Select an order type. The application will send an order against the executed
Order Type option trade to maintain a delta neutral position. Use the Hedge Aux. Price field to
set a price for orders that require one. Note that for index options, you will need to
select a futures contract for use in a hedge delta trade.

Alternately, you can use the right-click menu to attach a Delta Hedge order and set
the hedging attributes from the new order line.

Please note that if you select Continuous Update, the system will use the delta
associated with the parent order, which is calculated from the user-defined Implied
Volatility specified at the time of the most recent order modification or price update,
instead of using the current delta of the option based on market data at the time of
trade.

For a Limit delta hedge order, a snapshot of the stock bid/ask price is taken at the
time the parent order fills, and the best available price is used as the limit price
(best ask for a buy and best bid for a sell).

Hedge Aux. Used in conjunction with the Hedge Order Type field. If you have selected an order
Price type that requires you to define a price, for example a relative order, use this field
to set the price.

Continuous Check this selection to continuously update the price of the order if the price of the
Update underlying instrument changes significantly. Note that you can only check
Continuous Update for three active orders at a time.

You will be subject to cancellation fees for order modifications that are made by
the system when you have the Continuous Update mode enabled.

Reference Elect to use the NBB (bid) when buying a call or selling a put; the NBO (ask) when
Price Type selling a call or buying a put; or the average of the best Bid and Ask. This price is
also used to compute the limit price sent to an exchange (whether or not

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Continuous Update is selected), and for stock range price monitoring.

Stock Price Undrl. Range (Low) - enter a low end acceptable stock price relative to the
Monitoring selected option order. If the price of the underlying instrument falls BELOW the
lower stock range price, the option order will be cancelled. Merely touching the
price does not cancel the order.

Undrl. Range (High) - enter a high end acceptable stock price relative to the
selected option order. If the price of the underlying instrument rises ABOVE the
upper stock range price, the option order will be cancelled. Merely touching the
watermark does not cancel the order.

Reference Used for smart-routed Index Option volatility orders. This field allows you to select
Contract the futures contract to use for calculating the implied volatility. To activate this
feature, use the Volatility and Analytics page in Global Configuration and
selectPrice index options relative to futures contract.

For a more detailed description of Trailing Stop orders visit the Order Types information page.

Attach a Delta Hedge Order

Attach a delta hedge order to an options order, and as an alternative to setting a hedge order attribute in
the original Volatility order line.

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To attach a Delta Hedge order

1. From the right-click menu, select Attach and then select Delta Hedge.

A new linked delta hedge order line displays. The link between the parent and child orders is
illustrated in the Key field.

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2. Select an order type for the hedging order (Limit, Market or Relative).

Please note that when you attach a delta hedge order to a Volatility order with Continuous Update or to a
Relative/Pegged-to-Stock order, the system will use the delta associated with the parent order instead of
using the current delta of the option based on market data at the time of trade. For Volatility orders, this
delta is calculated from the user-defined Implied Volatility specified at the time of the most recent order
modification or price update. For Relative/Pegged-to-Stock orders, this is the delta specified by the user.

For a Limit delta hedge order, a snapshot of the stock bid/ask price is taken at the time the parent order fills,
and the best available price is used as the limit price (best ask for a buy and best bid for a sell).

Volatility Trading
The Volatility order type lets you create option orders where the limit price is calculated as a function of an
option volatility that you can modify. If you did not create the order from the VolatilityTrader, you can
activate the Volatility tab by selecting VOL as the order type on the Basic tab. If you have attached a delta
hedge order from the trading window, you can view the order parameters on the Hedging tab.

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To remove tabs and view all fields on a single large page, select the Comprehensive view.

Field Description

Volatility Displays the volatility used to calculate a limit price for the option. The value shown
in the Imp Vol field is calculated via the Model Navigator.

Continuously When checked, the option price is automatically updated as the underlying stock
Update Limit price moves.
Price

Precautionary Set these price cap “double-checks” as a precaution to ensure your order price

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Settings remains within an acceptable distance from the market.

Volatility Elect to view daily or annual volatility.

Type

Hedge Delta Select a Hedge Order Type. An order will be submitted against the executed
option trade to maintain a delta neutral position.

For index options, you can define the Hedging, or reference, contract. If you have
modified the reference contract in the Model Navigator, the modified contract will
be used as the new default reference contract for the order.

For a Limit delta hedge order, a snapshot of the stock bid/ask price is taken at the
time the parent order fills, and the best available price is used as the limit price
(best ask for a buy and best bid for a sell).

Use the Hedge Auxiliary Price field to set an auxiliary price for orders that require
one, such as the offset for a Relative order.

Reference Bid or Ask - If selected, use the NBB (bid) when buying a call or selling a put and
Price Type the NBO (ask) when selling a call or buying a put.

Average - uses average of the best Bid and Ask. This price is also used to compute
the limit price sent to an exchange (whether or not Continuous Update is selected),
and for underlying range price monitoring

Reference Select a futures contract to use in calculating the index value. The order price is
Contract then derived from this index value.

Underlying Underlying Range (Low) - enter a low end acceptable stock price relative to the
Price selected option order. If the price of the underlying instrument falls BELOW the
Monitoring lower stock range price, the option order will be cancelled. Merely touching the
price does not cancel the order.

Underlying Range (High) - enter a high end acceptable stock price relative to the
selected option order. If the price of the underlying instrument rises ABOVE the
upper stock range price, the option order will be cancelled. Merely touching the
watermark does not cancel the order.

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Write and Roll Options

Use the Write Options tool to sell calls against long stock positions and sell puts against your short stock
positions. Use the Rollover Options tool to roll over options that are about to expire to a similar option with a
later expiration date.

Write Options 333

Write/Roll Options: Option Chains 335

Rollover Options 336

Write Options
Advisors can use the Write Options tool to quickly see all of their sub-account’s long and short positions and
to write options orders against their uncovered stock.

Open the Write Options tool

From Mosaic: Use the New Window drop down and select More Advanced Tools and then select Write
Options.
From Classic TWS: From the Trading Tools menu, scroll to the Options Focus section and select
Write Options.

Advisors will see the Select Account dropdown that lists all of their Account Groups and individual sub-
accounts.

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To use the Write Options tool

1. Select an Account Group, an individual sub-account, a Model or All accounts.

2. Describe the options to buy and sell:
If you are writing covered calls on your long stock positions, note that you can also choose to buy
protective puts to create a collar combo.
If you are writing covered puts on short positions, you can also elect to buy protective calls to cre-
ate a collar combo.
3. Confirm or modify any conditions on the options and click Refresh to update the list of options to
write.
4. The Review Options to Write list includes any positions for the account(s) you selected, the quant-
ity of the position that is uncovered (has no options written against it) and the options that meet the
criteria specified. Note that all options are selected by default. Click a check box to deselect the
option for any account.

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5. Click the pencil icon next to the option to open the Option Chains and select a different option to buy
or sell.
6. Review or change the Order Type and price information and click Create Orders.
7. Orders will display in the Orders panel; click Transmit All to submit, or submit one order at a time
using the Transmit button in the Status field.

Write/Roll Options: Option Chains

To select different options to buy or sell in the Write Options tool, click the pencil icon on the line you want to
change and use the Option Chains to select a new contract.

To select a new option to buy or sell

1. From the Review Options to Write list, click the pencil icon on the far right of the option line you
want to change.

The Option Chains window opens with the currently selected call and/or put contracts highlighted.
Calls display to the left of the Description column and puts display to the right.

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2. To select a new call option, click the desired description on the left side. You will see the call option
highlighted. To select a put, click the description on the right side.
3. Click OK when the new options have been selected.

Rollover Options
Quickly see all of your sub-account’s options that are about to expire and roll them over to the next month's
contract

To roll over options

1. Open the Rollover Options tool:

From Mosaic: Use the New Window drop down and select More Advanced Tools and then
select Rollover Options.
From Classic TWS: From the Trading Tools menu, scroll to the Options Focus section and
select Rollover Options.

Advisors will see the Select Account dropdown that lists all of their Account Groups and individual sub-
accounts.

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To use the Roll Options tool

1. Advisors Only: Select an Account Group, an individual sub-account, or All accounts.

2. Choose whether you want to write calls on long stock positions, or write puts on short stock pos-
itions.
3. Use the default description or modify any conditions on the options, and click Refresh.

The list of Options to Roll includes any option positions for the account(s) you selected and the roll-to option
that meets the criteria specified.

4. Click the pencil icon next to the option to open the Option Chains and select a different option to buy
or sell.
5. Review or change the order information and click Create Orders.
6. Orders will display in the Orders panel; click Transmit All to submit.

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Algorithmic Trading
Algos can help to balance market impact with risk to get the best price for large volume orders. Our growing
family of algos includes the following:

Accumulate Distribute Algo 343

Get Started 343

Define the Algorithm 346

Basic Algorithm Example 349

Using Templates 350

Define Algo Conditions 350

Create Multiple Algo Orders 352

Transmit and Modify the Algo 353

Monitor the Order Progress 354

About IB Algos 354

About IB Algos 356

Adaptive Algo 357

Arrival Price 359

Close Price Strategy 360

Dark Ice 361

Percentage of Volume Strategy 362

Price Variant Percentage of Volume Strategy 364

Size Variant Percentage of Volume Strategy 365

Time Variant Percentage of Volume Strategy 366

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TWAP 367

VWAP 368

Minimize Impact 370

Balance Impact and Risk 371

CSFB Algos 372

CSFB Auction 373

CSFB Blast 374

CSFB Close 375

CSFB Crossfinder+ 376

CSFB Float 378

CSFB Float Guerrilla 381

CSFB Guerrilla 383

CSFB Price Inline 386

CSFB I Would 388

CSFB Lightpool 391

CSFB Pathfinder 392

CSFB Pre/Post 393

CSFB Reserve 394

CSFB Sniper 397

CSFB Tex 399

CSFB TWAP 401

CSFB Volume Inline 404

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CSFB VWAP 406

Jefferies Algos 409

Jefferies Blitz 410

Jefferies DarkSeek 411

Jefferies Finale 414

Jefferies Multi Scale 416

Jefferies Opener 419

Jefferies Pairs - Net Returns 422

Jefferies Pairs - Ratio 423

Jefferies Pairs - Risk Arb 425

Jefferies Patience 427

Jefferies Portfolio 430

Jefferies Post 433

Jefferies Seek 435

Jefferies Strike 438

Jefferies Trader 441

Jefferies TWAP 443

Jefferies Volume Participation 447

Jefferies VWAP 450

Option Portfolio 453

Get Started 454

Define and Submit the Query 456

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Constrain the Query Results 461

Evaluate the Solution 462

View What-if Risk in the IB Risk NavigatorSM 463

ScaleTrader 467

About ScaleTrader 468

Basic Scale Orders 470

Example 1: Basic Scale Order 473

Basic Scale with Profit Orders 474

Example 2: Scale order with Profit-Taking Orders 477

Scale Profit Orders with Initial Component 479

Example 3: Scale with Profit and Initial Component size 482

Scale Profit with Restore Size 484

Example 4: Scale order with Restore Size 487

Example 5: Restart ScaleTrader 489

Example 6: Restart ScaleTrader with Filled Initial Component Size 490

ScaleTrader for Pairs 491

Use the ScaleChart 493

View Scale Progress 495

Scale Order Examples 496

Combo Orders 497

ScaleTrader Summary 498

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Accumulate Distribute Algo

Use the Accumulate/Distribute algo to buy or sell large quantities in smaller, random sized increments over
time, minimizing market impact. This algo supports multiple asset classes including stocks, options, futures,
forex, and combination orders.

Customize the basic algo with conditions to meet your specific views on the market. Multi-account users
will see the Account selection list at the top of the algo page.

Orders submitted via Accumulate/Distribute currently are active only while you are logged into TWS and
stop when you log out. When you log back into TWS, answer “Yes” when asked if you want to reactivate
the algo. If you answer “No” your Accumulate/Distribute algo orders are deleted.

Get Started 343

Define the Algorithm 346

Basic Algorithm Example 349

Using Templates 350

Define Algo Conditions 350

Create Multiple Algo Orders 352

Transmit and Modify the Algo 353

Monitor the Order Progress 354

Get Started
The Accumulate/Distribute algo works to get the best price for your large volume orders while attempting to
minimize market impact. It achieves this by slicing large orders into smaller components, and accumulating
or distributing over time based on your pre-defined order parameters.

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The algo window is divided into four major sections:

The Algorithm area, where you define the basic parameters of the order.
The Conditions area, where you specify conditions about price, position and market behavior that
must remain true for your order to be valid.
The order Summary, which displays continuous real-time order progress.
The Control buttons, which you use to start and stop the algo and apply changes.

It also includes the Orders, Trades and Log panels, and the Quote panel to define the instrument .

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To open the Accumulate/Distribute window

From the New Window dropdown scroll to the More Advanced Tools menu and then scroll up to
Accumulate/Distribute.

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Define the Algorithm

The Algorithm area is where you set up basic parameters of the algo. Fields shaded pink are required.

Numbered descriptions below correspond to the numbered fields in the image above.

1. Select the action, BUY or SELL.

2. Enter the total order quantity, for example 1,000,000.
3. Define the size component for each increment. For example, you may want to trade the 1,000,000
share order in 500-share increments.
4. Specify the timing of order submission for the components, in seconds, minutes, or hours. For
example, you may want to accumulate 1,000,000 shares in 500 share increments every 30 seconds.

5. Select the order type. The fields to set the price depend on the order type you select. For stock
orders, choose from:

Market - the order will attempt to fill at the current market price.
Limit - set a limit price with an optional offset amount which must be met or bettered for the order
to fill.
Relative - Set an optional offset amount, and specify a cap. The quote adjusts automatically
based on your criteria as the market moves.
RPI (Retail Price Improvement) - For stocks only. This order type is similar to a Relative order
but requires an offset of higher than zero.

6. Select time in force.

7. Set order price to ...(for RELATIVE orders) For BUY orders, use the bid plus any amount. For
SELL, use the ask minus any amount. To use only the bid/ask with no offset you must enter “0.” This
field is only visible for REL orders only and works with the following field:

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8. ...but not higher than - For RELATIVE orders, this is the price cap, which works in conjunction
with the price calculation set in the previous field.
- For LMT orders, the field is “Set limit price to:...”
- For MKT this field does not display.
Choose from the following calculations to ensure the limit price will not be set higher than (for a buy)
or lower than (for a sell):

None - for REL orders only. There is no cap on the price.

Value - opens a field to set an absolute limit price.
Mark Price - this is a static value shown in parentheses plus or minus an offset. This price will not
move with the order.
Bid - bid plus/minus an optional offset amount. Enter a negative value to effect a minus offset.
Ask - ask plus/minus an optional offset amount. Enter a negative value to effect a minus offset.
Last - the last traded price plus/minus an optional offset amount. Enter a negative value to effect
a minus offset.
VWAP - the VWAP plus/minus an optional offset amount. Enter a negative value to effect a
minus offset.
Mov VWAP - the moving VWAP (of the current instrument ) over the past [specified time period]
plus/minus an optional offset amount. Enter a negative value to effect a minus offset.
Mov Avg - the moving average (of the current instrument ) over the past [specified time period]
plus/minus an optional offset amount. Enter a negative value to effect a minus offset.
Exp Mov Avg - the exponential moving average (of the current instrument ) over the past [spe-
cified time period] plus/minus an optional offset amount. Enter a negative value to effect a minus
offset.
My Last Trade - the price of the last trade in the algo, shown as the Last Trade Price in the order
Summary block. Note that this value cannot be used for the limit price alone since it would have
no price for the first trade.
Relative to size traded - calculates the price cap as: user-defined base price minus user-defined
offset value per number of shares relative to the total size traded in the algo, which is reflected in
the Shares bought field of the algo Summary block. For example, if the values are: $5.50 - .02
per 100 shares, the cap price for the first 100-share order where Size Traded = 0 would be
$5.50. Assuming the trade continues to execute in 100-share increments, the price cap would

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changes as follows: Size Traded = 100 cap = $5.48; Size Traded = 200 cap = $5.46; Size
Traded = 300 cap = $5.44.
Relative to position - calculates the price cap the same as Relative to size traded except that the
calculation is relative to the position as specified in the Account window and the Position column,
while the size traded is relative to what happens only in the Accumulate/Distribute algo.
9. Enter the value that corresponds to the selection above.
10. For Relative and Limit orders, click and to add more price conditions to the “but not higher than/not
lower than” price capping calculation. When you add multiple price-bounding conditions, a new
“Greatest of/Least of” selection appears for you to ensure the order price will not be higher(lower)
than the greatest of/least of Condition A and Condition B and Condition C etc.
11. Start time - by default, the start time is set to the current time, or to the next open if the markets are
currently closed. Click in the field to set a new start time, but note that the algo will not start until you
hit the Start button.
12. End time - by default, the end time is set to closing time of the current day, or to the next close is the
algo is started outside of regular trading hours. Click in the field to set a new end time.
13. Modify the time zone if desired.
14. Wait for current order to fill before submitting next order - if checked, the next component will be held
until the current quantity fills. The countdown until the Time of next order stops while the algo waits
for the current order to fill. Once it fills, the next order is submitted if the specified time interval has
elapsed.
15. Catch up in time - if checked and the algo falls behind, the next order will be placed immediately after
the current order fills, disregarding the time interval. This process will repeat until the algorithm has
caught up. Missed orders are tracked in the algo Summary block.

After one order fills, there is always a delay of two seconds before the next order is submitted.

16. Randomize time period by +/- 20% - if checked, the time interval you specified will be increased
or decreased randomly by up to 20% in either direction, to help keep the order from being noticed in
the market. For example, if your defined time interval is 40 seconds, randomizing allows the algo to
submit orders at intervals of 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47 or 48
seconds.
17. Randomize size by +/- 55% - if checked, the increment size you specified will increase or decrease
randomly by up to 55% (rounded to the nearest 100) in either direction, to help keep the order from

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being noticed in the market. For example, if your defined increment is 500 shares, randomizing
allows the algo to submit orders in random increments of 200, 300, 400, 500, 600, 700 or 800
shares.
18. Allow this order to be filled outside of regular trading hours - if checked order may fill outside
regular trading hours.
19. If the bid/ask is ____ or higher - for a buy order, if the current offer size is greater than or equal to
the size entered here AND the price is the same or better than the entered price, the algo will take
the entire size, or as much as will not exceed the total order quantity. This order is submitted as IOC
(Immediate-or-cancel).

Basic Algorithm Example

The populated fields in the image below translate to the following:

Buy 500,000 shares in size increments of 200 every 25 seconds. Set the price to the current best bid, but
don’t pay any more than the ask price. Let the algo run until it fills or is canceled.Wait for the current size
component to fill before submitting the next increment, and if the algo falls behind schedule catch up in time
by submitting increments immediately after a fill instead of honoring the time interval. Mix up the time
intervals by adding and subtracting 20%, and make the order size less uniform by adding/removing 55% on
each order, rounding to ensure no odd lots. If a large size order hits the market with a size of 200,000 or
more and a price of 421.00 or better, take the entire offer without exceeding the original total order quantity
or 500,000.

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Using Templates
You can save the basic algorithm settings in a named template to help you save time defining multiple
Accumulate/Distribute algo orders. Please note that the template only saves the basic algo settings, not the
conditions, since conditions are instrument -specific and would not translate across different algo orders.

Save Settings as a Template

After you have defined the basic algo settings described in the Define the Algorithm section, you may elect
to save these parameters for use with another Accumulate/Distribute algo order.

To save a template

1. From the Template command in the title bar, Save Template As.
2. Enter a descriptive name for the template (for example Buy 20000 or Sell 1,000,000) and click OK.

To use an Accumulate/Distribute template

From the Template command in the title bar, select Load Template.

If you make changes to an existing template after you load it, you have the choice to either Save
Template which saves your changes to the existing template, or Save Template As to create a new
template.

Define Algo Conditions

Note that the more conditions to be met, the more difficult it may be for your order to completely fill or to fill
according to schedule.

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All of the conditions are optional, but if you elect to set a condition, any unfilled fields in the definition
become mandatory and are shaded pink.

To clear the values from a condition, click the “x” at the end of the line. The “x” only appears when you have
entered data in a field.

Numbered descriptions below correspond to the numbered fields in the image above.

1. Specify whether you want untrue conditions (when set) to permanently stop the algo, or to stop it
temporarily and resume if/when conditions become true.
2. Define a range within which the instrument price must stay for the order to continue working.
3. Ensure that the price movement will not be affected by news stories by entering a value in minutes.
Until there has been no news for your defined time period as the algo will not work. News is mon-
itored by the news suppliers you have set up in TWS, including Google News, Yahoo! Headlines and
the Reuters subscription service.
4. Specify that your position, as reflected in the Account window and Position column, must be greater
than or less than a specified value. This acts as a floor or ceiling for the position. Not only will
TWSnot place the order if the Position condition is violated, but it will not fill any order that would
leave it violated.

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5. Moving averages for this contract - Define moving average criteria for the current instrument .
Specify that the current instrument ’s: moving VWAP, moving average, exponential moving
average or last over the past [specified time period] is at least a [specified percent] greater than or
less than another moving average (for the current instrument ) over [specified time period]. To clear
the values, click the ‘x’ at the end of the line.
6. Moving averages for - Compare two moving averages, which could be for the same instrument or
for different contracts, for the same time period or for different time periods. Specify the underlying,
and then set values as in #4 above. To clear the values, click the ‘x’ at the end of the line.
7. These three fields work together to compare the change in price of two stocks over a specified time
period, based on the difference between the stock’s price and its moving average. The algo com-
pletes the calculation based on your inputs. To clear the values, click the ‘x’ at the end of the line.
Enter a percent value difference that must be met between the two stock calculations.

Create Multiple Algo Orders

The Accumulate/Distribute algo was designed to allow a single trader to do the work of multiple traders,
and it's easy to create and monitor multiple orders from the same page.

To add another Algo

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1. Click the "+" sign from the Accumulate/Distribute algo page to add a new tab.
2. On the new page, enter a symbol in the Contract field on the Quote panel and select an instrument .
3. Define the algo.

To monitor all algo orders from a single page, open the Accum/Dist Summary tab.

Transmit and Modify the Algo

Use the buttons along the bottom of the Conditions area to control the algo.

You cannot activate the algo until all required fields are filled. Missing fields are shaded pink.

Once all fields are complete you can activate the algo. Buttons works as described below:

Preview - Click to update the order line, and to display the Order Preview box.

Transmit - Transmit the order. Additionally, if you modify the order, click to apply changes to the algo. For
example, if you change the share increment from 500 to 300, the change will not be recognized until you
click the Transmit button.

Save - Saves the order for transmission at a later date.

Restore- click to restore unapplied changes to the original value. For example, you can undo your change
by clicking Restore. Once you Apply the change the Restore button is no longer available.

Cancel Order - Cancels the order.

Start - activates the algo. If you stop the algo manually, click Start to resume from where it left off.

Stop - stops the algo. This button will become active once the algo is started.

Reset - if the algo is stopped, either because it has finished or because you have manually stopped it, the
Reset button will start the algo from the beginning. If you prefer to resume the algo from where it left off,
use the Start button.

Status text: this note tells you what is happening on the current algo screen.

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Monitor the Order Progress

The order Summary provides real-time data to let you monitor the progress of the Accumulate/Distribute
order. This data applies only to the algo on this page. Use the aggregate Summary tab to see order
management lines for all of your Accumulate/Distribute algos.

Data in the Summary block monitors the order in real time and shows the following:

Share submitted - Shows the number of shares that have currently been submitted.

Shares bought - The total number of shares bought (or sold) to date in the algo. The sliding shading
illustrates the percent of the order complete.

Shares remaining - The outstanding quantity.

Last Trade Price - The price at which the last trade in the algo filled.

Average price - The average price to date for the completed portion of the order.

Time of last size increase - The time the last component size filled.

Time until next size increase - The counter counts down the time until the next component size will be
submitted.

About IB Algos
Our proprietary IB Algos are designed to help balance market impact with risk on your large volume orders.
A brief overview of our expanding family of IB Algos is shown below. Click an algo to find out more:

Adaptive: Attempts to achieve the fastest fill at the lowest all-in price.

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Arrival Price: Attempts to achieve the bid/ask midpoint at the time that the order was submitted.

Balance Impact and Risk: Balances the market impact of trading the option with the risk of price change
over the time horizon of the order.

Close Price: Designed to minimize slippage with respect to the closing price by slicing orders into smaller
quantities and executing them in the continuous market just before the close.

Dark Ice: Like an Iceberg/Reserve order, Dark Ice exposes only a fixed, small amount of the total order
quantity at a time, but the Dark Ice algo also randomizes the display size based on the probability of the
price moving favorably.

Minimize Impact: Lets you control participation in the Average Daily Options Volume, and tries to minimize
market impact by slicing the order over time to achieve a market average without going over the user-
defined Max Percentage value.

Percentage of Volume: Helps clients limit the contribution of their orders to the overall average daily
volume, thereby minimizing the impact that their orders have on the price of the instrument .

Price Variant Percentage of Volume: This algo lets you participate in the average daily volume at a user-
defined rate that varies over time, depending on the market price of the security.

Size Variant Percentage of Volume: This algo lets you participate in volume at a user-defined rate that
varies over time, depending on the remaining size of the order.

TWAP: Aims to achieve the time-weighted average price calculated from the time you submit the order to
the time it completes. Incomplete orders at the end of the stated completion time can continue to fill if the
box 'allow trading past end time' is checked.

Time Variant Percentage of Volume: A customizable IB algo that lets you participate in the Average Daily
Volume at a user-defined rate that varies with time. You define the target percent "rate of participation" at
the start and end time, and the algo calculates the participation rate over time between the two. This allows
your order to work more aggressively at the start and less so at the end, or vice versa.

VWAP: The best-efforts VWAP algo seeks to achieve the Volume-Weighted Average Price calculated
from the time you submit the order to the close of the market. The best-efforts VWAP algo is a lower-cost
alternative to the Guaranteed VWAP.

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About IB Algos
Our proprietary IB Algos are designed to help balance market impact with risk on your large volume orders.
A brief overview of our expanding family of IB Algos is shown below. Click an algo to find out more:

Adaptive: Attempts to achieve the fastest fill at the lowest all-in price.

Arrival Price: Attempts to achieve the bid/ask midpoint at the time that the order was submitted.

Balance Impact and Risk: Balances the market impact of trading the option with the risk of price change
over the time horizon of the order.

Close Price: Designed to minimize slippage with respect to the closing price by slicing orders into smaller
quantities and executing them in the continuous market just before the close.

Dark Ice: Like an Iceberg/Reserve order, Dark Ice exposes only a fixed, small amount of the total order
quantity at a time, but the Dark Ice algo also randomizes the display size based on the probability of the
price moving favorably.

Minimize Impact: Lets you control participation in the Average Daily Options Volume, and tries to minimize
market impact by slicing the order over time to achieve a market average without going over the user-
defined Max Percentage value.

Percentage of Volume: Helps clients limit the contribution of their orders to the overall average daily
volume, thereby minimizing the impact that their orders have on the price of the instrument .

Price Variant Percentage of Volume: This algo lets you participate in the average daily volume at a user-
defined rate that varies over time, depending on the market price of the security.

Size Variant Percentage of Volume: This algo lets you participate in volume at a user-defined rate that
varies over time, depending on the remaining size of the order.

TWAP: Aims to achieve the time-weighted average price calculated from the time you submit the order to
the time it completes. Incomplete orders at the end of the stated completion time can continue to fill if the
box 'allow trading past end time' is checked.

Time Variant Percentage of Volume: A customizable IB algo that lets you participate in the Average Daily
Volume at a user-defined rate that varies with time. You define the target percent "rate of participation" at

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the start and end time, and the algo calculates the participation rate over time between the two. This allows
your order to work more aggressively at the start and less so at the end, or vice versa.

VWAP: The best-efforts VWAP algo seeks to achieve the Volume-Weighted Average Price calculated
from the time you submit the order to the close of the market. The best-efforts VWAP algo is a lower-cost
alternative to the Guaranteed VWAP.

Adaptive Algo
This algo can be used with a limit or market order, and is designed to achieve better than average cost
efficiency over basic limit and market orders by attempting to trade market and aggressive limit orders
between the spread. You can specify how urgently you want the order to fill using the "priority/urgency"
selector in the algo window.

To create an Adaptive algo market order

In the Mosaic Order Entry panel, click the Adaptive button.

Select the side (BUY or SELL).

To change the fill priority (which by default is set to "Normal") click advanced to open the algo parameters
and use the drop down selector list:

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Urgent: Scans available prices most quickly to fill, and so provides lowest chance of price improve-
ment, and lowest chance of price variance.
Normal (default): Scans available prices less quickly than "Urgent," and so provides a good chance of
price improvement and an average chance of price variance.
Patient: Scans available prices most slowly to fill, and so provides the highest chance of price improve-
ment and also the highest chance of price variance.

Click Submit to send.

To create an Adaptive algo limit order

In the Mosaic Order Entry panel, click the Adaptive button.

Use the Price Line, "% of Spread" wheel or "+/- Tick" wheel to quickly set a limit price within the spread.

Select the side (BUY or SELL).

To change the fill priority (which by default is set to "Normal") click advanced to open the algo parameters
and use the drop down selector list:

Urgent: Scans available prices most quickly to fill, and so provides lowest chance of price improve-
ment, and lowest chance of price variance.
Normal (default): Scans available prices less quickly than "Urgent," and so provides a good chance of
price improvement and an average chance of price variance.
Patient: Scans available prices most slowly to fill, and so provides the highest chance of price improve-
ment and also the highest chance of price variance.

Click Submit to send.

See the Adaptive Order Types page to find out more about Adaptive Algo orders.

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Arrival Price
This strategy is designed to achieve or outperform the bid/ask midpoint price at the time the order is
submitted, taking into account the user-assigned level of market risk which defines the pace of the
execution, and the user-defined target percent of volume.

To create an Arrival Price algo

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Arrival Price.

Complete the algo parameters and click Submit to send the order.

Max Percentage - enter a max percentage of the average daily volume from 1% to 50%.
Urgency/Risk Aversion - select from the most aggressive Get Done to the least aggressive Passive.
This value determines the pace at which the order will be executed. High urgency may result in greater
market impact.
Start time/End time - change the default times at which the submitted order will start to work and be
canceled using the Start/End Time fields. The End Time supersedes the time in force. Note that the
algo will stop at the designated end time regardless of whether the entire quantity has filled unless you
check Allow trading past end time.

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Allow trading past end time - if checked, the algo will attempt completion by the specified end time, but
will continue to work past the end time to execute any unfilled portion. This feature only applies when
an End Time has been specified.
Attempt completion by EOD - if checked your order will be execute by the end of day if possible. Please
note that a portion of your order may be left un-executed if the risk of the price changing overnight is
less than the extra cost of executing the whole order today regardless of whether the EOD box is
checked.

For more information on IBAlgos, see the IB Order Types and Algospage.

Close Price Strategy

The Close Price algo is designed to minimize slippage with respect to the closing price by slicing orders into
smaller quantities and executing them in the continuous market just before the close. It considers the user-
assigned level of market risk, the user-defined target percentage of volume, and the volatility of the stock in
determining how long before the close it should start executing the trade, and the pace at which the trade
should be executed.

This strategy is especially useful when the volume to be executed is large relative to the average close
auction volume and submitting the entire order into the close auction via an MOC or LOC order would
adversely impact the closing price.

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To create a Close Price algo

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Close Price.

Complete the algo parameters and click Submit to send the order.

Max Percentage - enter a max percentage of the average daily volume from 1% to 50%.
Urgency/Risk Aversion - select from the most aggressive Get Done to the least aggressive Neutral.
This value determines the pace at which the order will be executed. High urgency may result in greater
market impact.
Start time/End time - change the default times at which the submitted order will start to work and be
canceled using the Start/End Time fields. The End Time supersedes the time in force. Note that the
algo will stop at the designated end time regardless of whether the entire quantity has filled unless you
check Allow trading past end time.
Attempt completion by EOD - if checked your order will be execute by the end of day if possible. Please
note that a portion of your order may be left un-executed if the risk of the price changing overnight is
less than the extra cost of executing the whole order today regardless of whether the EOD box is
checked.

Dark Ice
The Dark Ice algo is similar to an iceberg or reserve order, as it allows the user to specify a display size
different from the order size, which is shown in the market. Additionally, the algo randomized the display
size +/- 50%, and based on the calculated probability of the price moving favorably, it decides whether to
place the order at the limit price or one tick lower than the current offer for buy orders and one tick higher
than the current bid for sell orders.

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To create a Dark Ice algo

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Dark Ice.

Complete the algo parameters and click Submit to send the order.

Display Size - enter a size that you want displayed to the market. Note that the algo will ran-
domize the size by 50% on either side.
Start time/End time - change the default times at which the submitted order will start to work
and be cancelled using the Start/End Time fields. The End Time supersedes the time in
force. Note that the algo will stop at the designated end time regardless of whether the
entire quantity has filled unless you check Allow trading past end time.
Allow trading past end time - if checked, the algo will attempt completion by the specified
end time, but will continue to work past the end time to execute any unfilled portion. This fea-
ture only applies when an End Time has been specified.

For more information on IBAlgos, see the IB Order Types and Algos page.

Percentage of Volume Strategy

Allows you to participate in volume at a user-defined rate. Order quantity and volume distribution over the
day is determined using the target percent of volume you entered along with continuously updated volume

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forecasts calculated from TWS market data.

To create a Percentage of Volume algo

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Percentage of Volume.

Complete the algo parameters and click Submit to send the order.

Target Percentage - enter the target percentage of participation in average daily volume.
Start time/End time - change the default times at which the submitted order will begin to work and be
cancelled using the Start/End Time fields. Note that the algo will stop at the designated end time
regardless of whether the entire quantity has filled.
Attempt to never take liquidity - check to ensure the algo order will not hit the bid or lift the offer if pos-
sible. This may help to avoid liquidity-taker fees, and could result in liquidity-adding rebates. However,
it may also result in greater deviations from the benchmark.

IB will use best efforts not to take liquidity, however, there will be times that it can not be avoided.

For more information on IBAlgos, see the IB Order Types and Algospage.

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Price Variant Percentage of Volume Strategy

This algo allows you to participate in volume at a user-defined rate that varies over time based on the price
of the security. It lets you buy more aggressively when the price is low and less aggressively as the price
increases, and just the opposite for sell orders.

To recalculate the percent of volume applied with each price change:

Target Percentage - 100 x Order Side x Target Percentage Change Rate x

Percent change in price

where Order Side = 1 for buy, -1 for sell.

To submit a Price Variant Percent of Volume Order

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Price Variant Percentage of Volume.

Complete the algo parameters and click Submit to send the order.

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Initial Target Percentage of the average volume to start off the order. Enter "1" for 1% etc.
Target Percentage Change Rate will control how the target percent of volume will be adjusted with
respect to price changes to the underlying. Each price change triggers a new calculation for the current
percent of volume.
Specify a Minimum and Maximum target percentage if desired.
Specify the start time and end time if needed. Otherwise the algo will start when you transmit the order
and end at the market's close.
Attempt to never take liquidity - If checked the order is guaranteed not to hit the opposite side, and
it will trade at a price better than or equal to the limit price.

Size Variant Percentage of Volume Strategy

This algo strategy allows your order to work more aggressively at the start and less aggressively towards
the end, or vice versa. It lets you participate via volume at a user-defined rate that varies with time based on
the remaining order quantity.

To submit a Size Variant Percent of Volume Order

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Size Variant Percentage of Volume.

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Complete the algo parameters and click Submit to send the order.

Initial Target Percentage of the average volume to start off the order. Enter "1" for 1% etc.
Set the Terminal (or ending) Target Percentage of the average volume to end the algo. The system
will calculate the target percentage rates between the initial and terminal rates as the algo progresses.
Specify a start and end time if needed. Otherwise the algo will start when you transmit the order and
end at the market's close.
Attempt to never take liquidity - If checked the order is guaranteed not to hit the opposite side, and
it will trade at a price better or equal to the limit price.

Time Variant Percentage of Volume Strategy

This algo strategy allows your order to work more aggressively at the start and less aggressively towards
the end, or vice versa. It lets you participate via volume at a user-defined rate that varies with time based on
the initial and terminal participation rates that you specify. The algo will then calculate the rate of
participation between the start and end times.

To submit a Time Variant Percent of Volume Order

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select Time Variant Percentage of Volume.

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Complete the algo parameters and click Submit to send the order.

Initial Target Percentage of the average volume to start off the order. Enter "1" for 1% etc.
Set the Terminal (or ending) Target Percentage of the average volume to end the algo. The system
will calculate the target percentage rates between the initial and terminal rates as the algo progresses.
Specify a start and end time if needed. Otherwise the algo will start when you transmit the order and
end at the market's close.
Attempt to never take liquidity - If checked the order is guaranteed not to hit the opposite side, and
it will trade at a price better or equal to the limit price.

TWAP
Designed to achieve the time-weighted average price calculated from the time the order is submitted to the
close of the market.

To create a TWAP algo

Specify the order side (buy/sell) and quantity in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select TWAP.

Define parameters:

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Trade when - select from:

Marketable - the default value indicates that the order will be submitted when it is marketable, based on
your limit price.
Matching Midpoint - the order will be submitted when the limit price = midpoint of the bid/ask.
Matching Same Side - the order will be submitted when the limit price = the price on the same side as
your order (either the bid or the ask).
Matching Last - the order will be submitted when the limit price = last price.
Start time/End time - change the default times at which the submitted order will start to work and be
cancelled using the Start/End Time fields. The End Time supersedes the time in force. Note that the
algo will stop at the designated end time regardless of whether the entire quantity has filled unless you
check Allow trading past end time.
Allow trading past end time - if checked, the algo will attempt completion by the specified end time, but
will continue to work past the end time to execute any unfilled portion. This feature only applies when
an End Time has been specified.

For more information on IBAlgos, see the IB Order Types and Algos page.

VWAP
Designed to achieve or outperform the VWAP price, calculated from the time you submit the order to the
close of the market.

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To create a VWAP algo

Specify the order side (buy/sell) and quantity in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then select VWAP.

Define parameters:

Max Percentage - enter a max percentage of the average daily volume from 1% to 50%.
Start time/End time - change the default times at which the submitted order will start to work and be
cancelled using the Start/End Time fields. The End Time supersedes the time in force. Note that the
algo will stop at the designated end time regardless of whether the entire quantity has filled unless you
check Allow trading past end time.
Allow trading past end time - if checked, the algo will attempt completion by the specified end time,
but will continue to work past the end time to execute any unfilled portion. This feature only applies
when an End Time has been specified.

If you specify and Start and End time, TWS confirms that acceptability of the time period using yesterday’s
trading volume. If the time period you define is too short, you will receive a message with recommended
time adjustments.

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Attempt to never take liquidity - Check to ensure the algo order will not hit the bid or lift the offer if
possible. This may help to avoid liquidity-taker fees, and could result in liquidity-adding rebates.
However, it may also result in greater deviations from the benchmark.

IB will use best efforts not to take liquidity, however, there will be times that it can not be avoided.

Speed up when market approaches limit price - When checked, this feature will increase the rate
of trading when the order is marketable and the market price closes the gap toward the order's limit
price, since the chance of a market move resulting in the order becoming non-marketable is high.
Checking this feature for relatively small order sizes may help to ensure a better fill rate.

Minimize Impact
Designed to minimize market impact by slicing the order over time as defined by the Max Percentage
value. This algo applies to Options only.

Max Percentage - enter a max percentage of the average daily volume from 1% to 50%.

For more information on IBAlgos, see the IB Order Types and Algos page.

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Balance Impact and Risk

Balances the market impact of trading the option with the risk of price change over the time horizon of the
order by taking into account the user-assigned level of market risk which defines the pace of the execution,
and the user-defined target percent of volume.

This algo is for options only.

To create a Balance Impact and Risk algo

Set up the order in the Mosaic Order Entry panel.

From the LMT type field, select IBALGO and then Balance Impact and Risk.

Complete the algo parameters and click Submit to send the order.

Max Percentage - enter a max percentage of the average daily volume from 1% to 50%.
Urgency/Risk Aversion - select from the most aggressive Get Done to the least aggressive Passive.
This value determines the pace at which the order will be executed. High urgency may result in greater
market impact.

This feature is designed to affect large orders that affect a significant percentage of the average daily
volume.

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Attempt completion by EOD - if checked your order will be executed by the end of day if possible. If not
checked, a portion of your order may be left unfilled if the risk of the price changing overnight is less
than the extra cost of executing the whole order today.

For more information on IBAlgos, see the IB Order Types and Algos page.

CSFB Algos
To use CSFB algos, select CSFBALGO as the routing destination.

CSFB Auction 373

CSFB Blast 374

CSFB Close 375

CSFB Crossfinder+ 376

CSFB Float 378

CSFB Float Guerrilla 381

CSFB Guerrilla 383

CSFB Price Inline 386

CSFB I Would 388

CSFB Lightpool 391

CSFB Pathfinder 392

CSFB Pre/Post 393

CSFB Reserve 394

CSFB Sniper 397

CSFB Tex 399

CSFB TWAP 401

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CSFB Volume Inline 404

CSFB VWAP 406

CSFB Auction
Call an auction and control the order.

Field Description

Algo Selector Select the CSFB algo.

Execution Style Select the degree of urgency.

Iceberg Enter the display size for the

order. Cannot be less than
100 shares, or greater than
the order size.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

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CSFB Blast
An aggressive algo that simultaneously routes your order to all available exchanges and ECNs with an
intermarket sweep designed to getting as close to simultaneous arrival as possible.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Iceberg Enter the display size for the

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Field Description

order. Cannot be less than

100 shares, or greater than
the order size.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB Close
Minimizes market impact by intelligently working orders into the close.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is

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Field Description

the market's close.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB Crossfinder+
This strategy locates liquidity among a broad list of independent and broker-owned dark pools, with
continuous crossing capabilities. Using dynamic smart routing logic, CrossFinder+ will spread your order
over multiple destinations. This algo will fill at the midpoint or better, and may not execute.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

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Field Description

if desired. If no start time is

set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of

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Field Description
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.

To use CSFB algos, select CSFBALGO as the destination and then select an algo.

CSFB Float
This tactic displays only the size you want shown and floats on the bid, midpoint, or offer until completion.
Enter a display size in the Iceberg field and choose a patient, normal, or aggressive execution.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than

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Field Description

100 shares, or greater than

the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.

To use CSFB algos, select CSFBALGO as the destination on the Basic tab.

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CSFB Float Guerrilla

Uses the Guerrilla algo but floats a small, visible portion near touch to facilitate trading when that side of the
book becomes active.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.

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Field Description

End Time Enter the end time for the

algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Define the max percent of
volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is

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Field Description
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB Guerrilla
The GUERRILLA algo works differently depending on the Execution Style you select.

Normal and Passive modes: This tactic works orders without displaying bids or offers. When liquidity
materializes, it seeks to aggressively participate in the flow. If liquidity is poor, the order may not com-
plete.
Aggressive mode: This will hit bids/take offers in an intelligent way based on a fair price model. It min-
imizes market impact and never posts bids or offers.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Define the max percent of

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Field Description

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

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To use CSFB algos, select CSFBALGO as the destination and then select an algo.

CSFB Price Inline

Minimizes implementation shortfall against the arrival price. Participation increases when the price is
favorable.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is

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Field Description

set, the algo becomes active

when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Define the max percent of
volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Auction Specify whether or not to
include the order in all auc-
tions, no auctions, just open-
ing, just closing or just
imbalance auctions.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

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Field Description
block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB I Would
This tactic is aggressive at or better than the arrival price, but if the stock moves away it works the order
less aggressively. However, if the stock moves in your favor, it will act like Sniper and quickly get the order
done.

For large sized orders, use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Define the max percent of

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Field Description

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.

To use CSFB algos, select CSFB as the destination and then select the algo.

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CSFB Lightpool
Routes orders to the Credit Suisse ECN.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Iceberg Enter the display size for the

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Field Description

order. Cannot be less than

100 shares, or greater than
the order size.

To use CSFB algos, select CSFB as the destination and then select the algo.

CSFB Pathfinder
PathFinder will intelligently and dynamically post across multiple destinations, sweeping all available
liquidity. The remainder will be posted at your limit price.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time

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Field Description

is set, the default end time is

the market's close.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.

To use CSFB algos, select CSFBALGO as the destination and then select an algo.

CSFB Pre/Post
Smart routed algo to be used during pre- and post-market hours. Only supports limit orders.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.

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Field Description

End Time Enter the end time for the

algo if desired. If no end time
is set, the default end time is
the market's close.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.

To use CSFB algos, select CSFB as the destination and then select the algo.

CSFB Reserve
Use the Iceberg field to display the size you want shown at your price instruction. If you do not set a display
size, the algo will optimize a display size. Upon getting filled, it sends out the next piece until completion.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than

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Field Description

the order size.

Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.

To use CSFB algos, select CSFBALGO as the destination and then select an algo.

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CSFB Sniper
This is a very aggressive tactic that will hit bids/take offers that are better than your limit price, but will never
post bids or offers. It achieves high participation rates. Note it is not a pure sweep and can sniff out hidden
liquidity. As a result, it is often a better choice than placing a limit order directly into the market.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the

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Field Description

algo if desired. If no end time

is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is

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Field Description
enabled.

Define the maximum size of the

block if desired.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB Tex
Designed to minimize implementation shortfall. The tactic takes into account movements in the total market
and in correlated stocks when making pace and price decisions. Timing is based on price and liquidity.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Define the max percent of
volume if desired.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Auction Specify whether or not to
include the order in all auc-
tions, no auctions, just open-
ing, just closing or just
imbalance auctions.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.

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Field Description

Blockprice Only valid if Blockfinder is

enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB TWAP
The system trades based on the clock, i.e., on a 2-hour order the system is 25% done after 30 minutes,
50% done after an hour, etc. Unlike VWAP, TWAP (time weighted average price) does not speed up/slow
down based on projected volume or price moves. However, it does use smart limit order placement
strategies throughout the order.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Auction Specify whether or not to

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Field Description

include the order in all auc-

tions, no auctions, just open-
ing, just closing or just
imbalance auctions.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

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To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB Volume Inline

Works the order in line with the volume.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the

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Field Description

algo if desired. If no end time

is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Min % Participation Define the max percent of

volume if desired.
Max % Participation Required for this algo.
Define the max percent of
volume.
Iceberg Enter the display size for the
order. Cannot be less than
100 shares, or greater than
the order size.
Auction Specify whether or not to
include the order in all auc-
tions, no auctions, just open-
ing, just closing or just
imbalance auctions.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is

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Field Description
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

CSFB VWAP
The system attempts to match the VWAP (volume weighted average price) from the start time to the end
time. A unique and powerful feature is the ability to accept a maximum percent volume limit (“don’t be more
than 20% of the volume.”) The system trades over your time period, subject to your price and volume
constraints.

For large sized orders use Blockfinder to define a price/size at which you're willing to potentially move a
large block while still working the algo.

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Field Description

Algo Selector Select the CSFB algo.

Start Time Enter a start time for the algo

if desired. If no start time is
set, the algo becomes active
when you submit.
End Time Enter the end time for the
algo if desired. If no end time
is set, the default end time is
the market's close.
Execution Style Select the degree of urgency.

Max % Participation Define the max percent of

volume if desired.
Iceberg Enter the display size for the

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Field Description

order. Cannot be less than

100 shares, or greater than
the order size.
Auction Specify whether or not to
include the order in all auc-
tions, no auctions, just open-
ing, just closing or just
imbalance auctions.
Blockfinder Check to enable Blockfinder,
which submits blocks (with a
10,000 share minimum) for
execution which remaining
size continues to fill through
the algo.
Blockprice Only valid if Blockfinder is
enabled.

Define the price at which the

block is eligible to execute.
Min Block Size Only valid if Blockfinder is
enabled.

Define the minimum block size if

desired. Must be at least 5000
and increments are in sizes of
5000. If no minimum size is
defined the default size of
10,000 is used.
Max Block Size Only valid if Blockfinder is
enabled.

Define the maximum size of the

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Field Description
block if desired.
I Would Price Set a price at which you are
willing to fill the entire order.

To use CSFB algos, select CSFBALGO as the destination and then select the algo.

Jefferies Algos
To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Blitz 410

Jefferies DarkSeek 411

Jefferies Finale 414

Jefferies Multi Scale 416

Jefferies Opener 419

Jefferies Pairs - Net Returns 422

Jefferies Pairs - Ratio 423

Jefferies Pairs - Risk Arb 425

Jefferies Patience 427

Jefferies Portfolio 430

Jefferies Post 433

Jefferies Seek 435

Jefferies Strike 438

Jefferies Trader 441

Jefferies TWAP 443

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Jefferies Volume Participation 447

Jefferies VWAP 450

Jefferies Blitz
Liquidity seeking algo that sweeps all displayed markets, and sends Immediate-or-Cancel orders to all
non-displayed markets.

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the

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Number Description
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Iceberg (optional) – Enter display size.

6 Trading Style (optional)– Indicate increasing

degrees of aggressiveness

Price Improvement
Opportunistic
Get it done
No Post

7 Buy Back -(optional) Indicates that the algo

should engage SEC Rule 10b-18 restric-
tions for Buy Back in US instruments. Also
applies local market Buy Back rules (for
non-US instruments). This field cannot be
modified. Value Y or N.
8 Trading Session (optional) - Day, Pre-
Open, After hours.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies DarkSeek
Liquidity seeking algo that searches only dark pools.

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Number Description

1 Select DS for the DarkSeek algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Urgency (optional) Passive, Active or
Aggressive.
6 Min Take Size (optional) - Specifies the

TWS Guide 412

Chapter 7

Number Description

minimum number of shares per execution

when accessing displayed liquidity. Roun-
ded down to closest lot size.
7 Min Fill Size - (optional) Specifies min-
imum number of shares per execution. This
applies only to eligible dark pool fills.
8 Buy Back (optional) - Indicates that the
algo should engage SEC Rule 10b-18
restrictions for Buy Back in US instruments.
Also applies local market Buy Back rules
(for non-US instruments). This field cannot
be modified. Value Y or N.
9 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
10 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price

TWS Guide 413

Chapter 7

Number Description
PNC
Open
BPS Arrival
Price
OPP
Midpoint

11 WoW Order Percentage - (optional) spe-

cified max percent of order WoW can act
on. 5-100.
12 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Finale
Benchmark algo that lets you trade into the close.

TWS Guide 414

Chapter 7

Number Description

1 Choose TOC to use the Finale algo.

2 Start Time – (optional) Define the algo start time.

3 Urgency (optional) – Set the degree of

urgency for execution. a. Passive b. Active
c. Aggressive
4 Close Unit (optional) Used to determine type of
Close Quantity value.

Shares
% of Order
% of ADV
% of Expected Open

5 Close Qty - (optional) - This field combines

with Close Unit field to determine the quant-

TWS Guide 415

Chapter 7

Number Description

ity that will be placed into the closing auc-

tion. Positive numbers only. For an Close
Unit = Shares, Close Qty must be equal to
or greater than 1 round lot. For any %
option, value should be less than or equal
to 100.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Multi Scale

Three-tiered "holder" strategy - use algorithms within this work flow.

TWS Guide 416

Chapter 7

Number Description

1 Select MS to use the Multi Scale algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Base Algo (required)– percent of volume for

parent (base) algo. Must be different from Algo2
and Algo3 values:

Volume 5%
Volume 10%
Volume 15%
Volume 20%
Volume 25%
Volume 30%
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
BLITZ
VWAP Day
Custom 1
Qty Scale
Patience

5 Base Algo Max Quantity(optional) – Max

quantity for parent (base) algo. Rounded
down to the closest lot size.
6 Algo2 Price – Required if Algo2 is defined.
Used to trigger Algo2 and must be different
from limit price and Algo3 price. 00.00
7 Underlying Algo2 – Different from Base Algo and
Algo3:

TWS Guide 417

Chapter 7

Number Description
Volume 5%
Volume 10%
Volume 15%
Volume 20%
Volume 25%
Volume 30%
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
BLITZ
VWAP Day
Custom 1
Qty Scale
Patience

8 Algo2 Max Quantity (optional) – Max quant-

ity for algo2. Rounded down to closest lot
size.
9 Algo3 Price - Required if Algo3 is defined.
Used to trigger Algo3 and must be different
from Base Algo price and Algo2 price.
00.00
10 Underlying Algo3 – Different from Base Algo and
Algo2:

Volume 5%
Volume 10%
Volume 15%
Volume 20%
Volume 25%

TWS Guide 418

Chapter 7

Number Description
Volume 30%
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
BLITZ
VWAP Day
Custom 1
Qty Scale
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Opener
Benchmark algo that lets you trade into the open.

TWS Guide 419

Chapter 7

Number Description

1 Choose algo

2 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
3 Open Unit (optional) - Used to determine type of
Open Quantity value.

Shares
% of Order
% of ADV
% of Expected Open

4 Qty on Open - (optional) - Used in con-

junction with the Open Unit field to specify
the quantity that will be placed into the
opening auction. Positive numbers only. If
Open Unit is Shares, the Open Qty must be
equal to or greater than 1 round lot. For any
% option, the value must be less than or
equal to 100.
5 Post Open (optional) - Select the strategy to use
for the opening auction:

Volume 5%
Volume 10%
Volume 15%
Volume 20%
Volume 25%

TWS Guide 420

Chapter 7

Number Description
Volume 30%
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
BLITZ
VWAP Day
Custom 1
Qty Scale
Patience

6 Post Open Limit - (optional) - Absolute limit

price for the post-open strategy. This limit
will be ignored if it exceeds the overall limit
or relative limit price.
7 Post Open Benchmark - (optional) –

Inside NBBO Price

Arrival Price
PNC
Open

8 Benchmark Offset - (optional) – Positive or

Negative value in basis points set as the
Relative Limit from the Post Open bench-
mark. These fields work together to set the
Relative Limit for the Post Open strategy. If
the Post Open Limit is specified then the
order will use the value that is more pass-
ive.

To use Jefferies algos, select JEFFALGO as the routing destination.

TWS Guide 421

Chapter 7

Jefferies Pairs - Net Returns

Lets you execute two stock orders simultaneously. Use Net Returns to unwind a deal.

Number Description

1 Select TR to choose the Net Return pairs algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Volume Limit - (optional) Max rate of volume

5 Pair ID (required) - Unique ID for the day.

Must be unique per pair, per date. Specify
on both legs of the pair. Limited to 28 char-
acters.
6 Balance (optional) -

TWS Guide 422

Chapter 7

Number Description
Share Balanced
Cash Balanced
Ratio Balanced

7 Execution Style (optional) -

Active
TWAP
Aggressive
Custom

8 Leg Threshold - Expressed as a per-

centage by for values up to 99. Values of
100 or greater will be interpreted as a
share amount.
9 Pair Benchmark (required) -

PNC
Open
Arrival Price

10 Pair Spread ($) (optional) - Positive or neg-

ative values accepted.
11 Pair Spread Operator (required) - greater
than or equal to; less than or equal to.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Pairs - Ratio

Execute two stock orders simultaneously - use the Ratio algo to set up the pairs order.

TWS Guide 423

Chapter 7

Number Description

1 Choose the Ratio algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Volume Limit - (optional) Max rate of volume

5 Pair ID (required) - Unique ID for the day.

Must be unique per pair, per date. Specify
on both legs of the pair. Limited to 28 char-
acters.
6 Balance (optional) -

Share Balanced
Cash Balanced
Ratio Balanced

TWS Guide 424

Chapter 7

Number Description

7 Execution Style (optional) -

Active
TWAP
Aggressive
Custom

8 Leg Threshold - Expressed as a per-

centage by for values up to 99. Values of
100 or greater will be interpreted as a
share amount.
9 Pair Ratio (required) - Ratio per pair order.

10 Pair Spread ($) (optional) - Positive or neg-

ative values accepted.
11 Pair Spread Operator (required) - greater
than or equal to; less than or equal to.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Pairs - Risk Arb

Let's you execute two stock orders simultaneously. Allows you to setup, unwind or reverse a deal.

TWS Guide 425

Chapter 7

Number Description

1 Select ARB to choose the Risk Arb pairs algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Volume Limit - (optional) Max rate of volume

5 Execution Style (optional) -

Active
TWAP
Aggressive
Custom

6 Leg Threshold - Expressed as a per-

centage by for values up to 99. Values of
100 or greater will be interpreted as a
share amount.

TWS Guide 426

Chapter 7

Number Description

7 Pair ID (required) - Unique ID for the day.

Must be unique per pair, per date. Specify
on both legs of the pair. Limited to 28 char-
acters.
8 Pair Objective (optional) -

Setup
Unwind
Reverse

9 Pair Ratio (required) - Ratio per pair order.

10 CASH (optional) - same ratio value is

applied to both legs.
11 Pair Spread ($) (required) - Positive or neg-
ative values accepted.
12 Pair Spread Operator (required) - greater
than or equal to; less than or equal to.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Patience
Liquidity seeking algo targeted at illiquid securities.

TWS Guide 427

Chapter 7

Number Description

1 Choose the algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Volume Limit - (optional) Max rate of volume

5 Blocks Only - Check to specify.

6 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.

TWS Guide 428

Chapter 7

Number Description

7 WoW Reference (optional)This field is used in

con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP
Midpoint

8 Min Take Size - Specifies the minimum

size to take. Will be rounded down to
nearest lot size.
9 Min Fill Size - (optional) Specifies minimum
number of shares per execution. This applies
only to eligible dark pool fills.
10 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
11 WoW Mode

BLITZ
DARKSeek

TWS Guide 429

Chapter 7

Number Description
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Portfolio
Execute a group of stock orders according to user-defined input plus trading style.

TWS Guide 430

Chapter 7

Number Description

1 Choose the algo.

2 (optional) Set a start time.

3 (optional) Set an end time.

4 Volume Limit - (optional) Max rate of volume.

5 Portfolio ID (optional) - Set a user ID.

6 Portfolio Limit (optional) – Positive or neg-
ative value indicating the number of basis
points from the arrival price. Values from -
10,000 to 10,000.
7 Auction Participation - (optional)

TWS Guide 431

Chapter 7

Number Description
Exclude Both
Include Open
Include Close
Include Both

8 Urgency (optional) Passive, Active or

Aggressive.
9 Blocks Only (optional) –

Cash Balance
Beta Neutral
IS
Dark Only
Exec Balance

10 Complete by EOD (optional) – Define

urgency to complete by the end of the trad-
ing day.
11 Price Limit Type (optional) – Fixed or Float-
ing
12 Benchmark - (optional)

Inside NBBO Price

Arrival Price
PNC
Open

13 Benchmark Offset(optional) – Positive or

negative value in basis points.
14 Tracking Index (optional) – User-specified
text
15 Max Outperform (optional) - Positive or neg-

TWS Guide 432

Chapter 7

Number Description

ative value in basis points.

16 Min Outperform (optional) - Positive or neg-
ative value in basis points.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Post
Allows trading on the passive side of a spread.

Number Description

1 Select the algo.

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

TWS Guide 433

Chapter 7

Number Description
values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Volume Limit (optional) - The max rate of
volume.
6 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
7 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP

TWS Guide 434

Chapter 7

Number Description
Midpoint

8 Min Take Size (optional) - Specifies the

minimum number of shares per execution
when accessing displayed liquidity. Roun-
ded down to closest lot size.
9 Min Fill Size - (optional) Specifies min-
imum number of shares per execution. This
applies only to eligible dark pool fills.
10 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
11 WoW Mode (optional)

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Seek
This strategy pursues best execution for illiquid securities by seeking out hidden liquidity from multiple
sources, including hidden and displayed market centers.

TWS Guide 435

Chapter 7

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Auction Participation - (optional)

TWS Guide 436

Chapter 7

Number Description
Exclude Both
Include Open
Include Close
Include Both

6 Urgency (optional) Passive, Active or

Aggressive.
7 Volume Limit - (optional) Max rate of
volume
8 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
9 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP

TWS Guide 437

Chapter 7

Number Description
Midpoint

10 Min Fill Size - (optional) Specifies min-

imum number of shares per execution. This
applies only to eligible dark pool fills.
11 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
12 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Strike
This strategy seeks best execution in the user-designated time period, while minimizing market impact and
volatility cost and tracking the arrival price.

TWS Guide 438

Chapter 7

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Volume Limit - (optional) Max rate of
volume

TWS Guide 439

Chapter 7

Number Description

6 Urgency (optional) Passive, Active or

Aggressive.
7 Auction Participation - (optional)

Exclude Both
Include Open
Include Close
Include Both

8 WoW Price (optional) Users must be able

to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
9 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP

TWS Guide 440

Chapter 7

Number Description
Midpoint

10 Min Fill Size - (optional) Specifies min-

imum number of shares per execution. This
applies only to eligible dark pool fills.
11 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
12 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies Trader
Change order parameters without cancelling and recreating the order. Workflow algo that lets you
interactive with a working order and toggle between strategies with a single click.

TWS Guide 441

Chapter 7

Number Description

1 Choose the TRADER algo.

2 Strategy Intent (required):

Volume 5%
Volume 10%
Volume 15%
Volume 20%
Volume 25%
Volume 30%
Volume 33%
Volume 50%
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
BLITZ

TWS Guide 442

Chapter 7

Number Description
VWAP Day
VWAP 1 Hour
VWAP ½ Hr
VWAP 10 Minutes
Custom 1
Custom 2

3 Action Type (optional):

Halt
Resume
Check Dark
Take / Hit

4 Action Qty (optional) - Enter the number of

shares. Not available if Action Type is "Halt" or
"Resume."
5 Action Price - Enter the price.

Not available if Action Type is "Halt" or

"Resume."

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies TWAP
This strategy spreads transactions evenly over the designated time period by slicing the total order quantity
into smaller orders.

TWS Guide 443

Chapter 7

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Volume Limit - (optional) Max rate of
volume
6 Auction Participation - (optional)

TWS Guide 444

Chapter 7

Number Description
Exclude Both
Include Open
Include Close
Include Both

7 Trading Session (optional)– DAY, Pre

Open or after hours.
8 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
9 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP
Midpoint

TWS Guide 445

Chapter 7

Number Description

10 Min Fill Size - (optional) Specifies min-

imum number of shares per execution. This
applies only to eligible dark pool fills.
11 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
12 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

13 Buy Back -(optional) Indicates that the algo

should engage SEC Rule 10b-18 restric-
tions for Buy Back in US instruments. Also
applies local market Buy Back rules (for
non-US instruments). This field cannot be
modified. Value Y or N.

To use Jefferies algos, select JEFFALGO as the routing destination.

TWS Guide 446

Chapter 7

Jefferies Volume Participation

This strategy allows the user to designate the percentage of stock to be executed during a specified period
of time to keep in line with the printed volume. The impact of the trade is directly linked to the volume target
you specify.

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy

TWS Guide 447

Chapter 7

Number Description
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Volume Limit - (optional) Max rate of
volume.
6 Dark Volume Limit – Max rate of volume for
dark pool liquidity.
7 Auction Participation - (optional)

Exclude Both
Include Open
Include Close
Include Both

8 Trading Session –DAY, Pre Open, After

hours.
9 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
10 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market

TWS Guide 448

Chapter 7

Number Description
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP
Midpoint

11 Min Fill Size - (optional) Specifies min-

imum number of shares per execution. This
applies only to eligible dark pool fills.
12 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
13 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%
VWAP Day
Custom 1
Patience

14 Buy Back -(optional) Indicates that the algo

TWS Guide 449

Chapter 7

Number Description

should engage SEC Rule 10b-18 restric-

tions for Buy Back in US instruments. Also
applies local market Buy Back rules (for
non-US instruments). This field cannot be
modified. Value Y or N.

To use Jefferies algos, select JEFFALGO as the routing destination.

Jefferies VWAP
This strategy automatically manages transactions to approximate the all-day or intra-day VWAP through a
proprietary algorithm.

TWS Guide 450

Chapter 7

Number Description

1 Choose algo

2 (optional) Set a start time

3 (optional) Set an end time

4 Relative Limit - (optional) Positive and Negative

values are allowed. Creates a "soft" limit on the
order as a price move from arrival price by the
specified number of basis points. The strategy
will use the Arrival Price after Market Open, the
day’s Opening price if the order is received
before Market Open.
5 Volume Limit - (optional) Max rate of
volume
6 Auction Participation - (optional)

Exclude Both
Include Open
Include Close
Include Both

7 Trigger Price (optional) Takes any positive

value to trigger the algo. No maximum
8 WoW Price (optional) Users must be able
to modify this field on a Cxl/Replace or can-
cel the original entry. If this field has a
value, user may specify BPS Arrival or
Price. Price is the default behavior if WoW
Reference is not submitted.
9 WoW Reference (optional)This field is used in
con-junction with the WoW Price fields. If a user
enters a value in the WoW Price field; they may
specify BPS Arrival or Price. If WoW Price is not

TWS Guide 451

Chapter 7

Number Description
submitted, a “reference” can be submitted for
processing. Users must be able to modify this
field on a Cxl/Replace or cancel the original
entry.

Market
Inside NBBO Price
Arrival Price
PNC
Open
BPS Arrival
Price
OPP
Midpoint

10 Min Fill Size - (optional) Specifies min-

imum number of shares per execution. This
applies only to eligible dark pool fills.
11 WoW Order Percentage - (optional) spe-
cified max percent of order WoW can act
on. 5-100.
12 WoW Mode

BLITZ
DARKSeek
Seek Passive
Seek Active
Seek Aggressive
Volume 10%
Volume 20%
Volume 30%

TWS Guide 452

Chapter 7

Number Description
VWAP Day
Custom 1
Patience

13 Buy Back -(optional) Indicates that the algo

should engage SEC Rule 10b-18 restric-
tions for Buy Back in US instruments. Also
applies local market Buy Back rules (for
non-US instruments). This field cannot be
modified. Value Y or N.

To use Jefferies algos, select JEFFALGO as the routing destination.

Option Portfolio
Use the Option Portfolio to select, analyze and trade combinations of options on any US stock or index to
achieve the user-specified values of the Greeks, including delta, gamma, vega and theta, or to compare
cost/P&L for a contract or combo you would like to acquire with a simulated portfolio.

Save the Option Portfolio query to Risk Navigator to have orders generated when risk-based alarms are
triggered.

Get Started 454

Define and Submit the Query 456

Constrain the Query Results 461

Evaluate the Solution 462

View What-if Risk in the IB Risk NavigatorSM 463

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Get Started
The Option Portfolio window runs off a sophisticated back-end algorithm that mathematically optimizes an
options portfolio using the defining criteria and constraints that you enter via TWSalong with relevant
economic criteria.

To open the Option Portfolio window

1. Select an underlying US stock or index on a trading page.

2. From the Trading Tools menu select Option Portfolio.

If you don’t see Option Portfolio in the tools list, expand the hidden items using the arrow at the bottom of
the menu.

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The Option Portfolio window opens and you’re ready to define the query. To add a tab with another
underlying to the Option Portfolio window, click the New Tab "+" icon.

The Option Portfolio algorithm works within the user-defined query constraints, and evaluates the
comprehensive options market data (including bid and ask price and size) to minimize the sum of the
following, and find the lowest cost solution:

Cost to execute, as represented by the bid/ask spread for each option in the Query Results list, spe-
cifically:

(ask - bid) x (contract multiplier) x quantity

summed over all orders in the Query Results list;

Commission charged to fully execute all orders in the Query Results list;
Cost to hold the Query Results list for a given period of time. This term is only relevant when
the Hold until date is set to a value other then the current date. In this event, the holding cost is cal-
culated as:

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[(option value on “hold until” date) - (solution order

price for the option)] x (contract multiplier) x (signed
quantity)

summed over all orders in the Query Results list.

The algorithm continues to work and reevaluates the solution in the Query Results list every 30 seconds
until the user submits the order group for execution, freezes the updates to evaluate the solution in more
detail, or changes the query criteria.

Next: Define and Submit the Query

Define and Submit the Query

Define the query by entering the quantity of the risk dimension you wish to acquire, and setting optional
specifications such as time slicing and randomization, last trading day and strike range, and an underlying
reference price range and Hold until date. You can also elect to create a Reference Portfolio and have the
Option Portfolio query an optional portfolio with the same or better P&L.

To define a query

1. Select the desired objective, i.e. Acquire 2000 Delta...

2. For the greeks, enter the position quantity you’d like to acquire.

The position quantity is equal to:

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greek value x position x multiplier

For example, 20 long call options with a delta of .4989 would show a position Delta of approximately
1000. The position Delta calculation is:

.4989 x 20 x 100 = 997.8

3. Define any optional query parameters.

Parameter Description

Time-sliced Select this option to acquire the total objective in smaller

orders increments, with orders being submitted at user-defined time
intervals of seconds, hours or minutes.

Randomize When you check the Randomize time checkbox, the Option

time period Portfolio randomly changes the user-defined time interval by
by +/- 20% any value up to as much as 20% in either direction.

For example, an order with a time interval of 30 seconds might

randomly be submitted at varying intervals of 24, 25, 26, 27,
28, 29, 30, 31, 32, 33, 34 35, 36 seconds.

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Randomize When you check the Randomize size checkbox, the Option
size by +/- Portfolio randomly changes the user-defined size increment
55% by any value up to as much as 55% in either direction.

For example, an order using increments of 500 might

randomly return orders with an objective anywhere from 275
up to 775.

Range of Select the last trading day(s) you are willing to trade.
Last
Trading
Days

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Strike Select the range of strikes you are willing to trade.

Range

Reference
Price

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By default, the midpoint of the bid/ask of the underlying price

is used to calculate the objective.

Enter a reference price if you prefer to use a value other than

the midpoint of the underlying price. Note that an alternate
reference price cannot be used if the Price between constraint
is used.

Hold until Enter a date if you want to hold the solution in the Query
Results list until a specific date.

Long/Short Checked by default. Constrains the solution to only include

options long or short option trades, as appropriate. For example,
only when buying or selling Delta, long options would be more
appropriate to avoid the risk of being short options. The text
will change based on the objective and signed quantity. When
requesting short gamma, short vega or long theta, the text will
read “short options only.”

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Allow Check to allow a stock leg in the proposed solution list.

underlying
leg

4. Add other constraints if needed (see Constrain the Query Results).

5. Submit the query by clicking the Submit Query button.

Next: Constrain the Query Results

Constrain the Query Results

Option Portfolio allows you to constrain the query results in the risk dimensions other than the objective
dimension. So, if your goal is to achieve a specific Gamma position, you will be able to constrain the
resulting Delta, Vega and Theta. The algorithm imposes the following default constraints:

C o n s t r a i n t s

O Delta Gamma Vega Theta

b Delta >0 >0

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Gamma =0

Vega =0

Theta =0

For example, the default Delta constraint ensures that the Gamma and Vega of the Query Results solution
are positive.

To override the system defaults, enter a value in one or multiple input fields and click Submit Query.

Next: Evaluate the Solution

Evaluate the Solution

Freeze updates to the query to evaluate the solution, and use the IB Risk NavigatorSM to see how
implementing the option portfolio will affect your current risk profile.

To stop the algorithm from updating results

1. Click Freeze Updates to keep the algorithm from reevaluating and displaying new solutions.

Note that the data will continue to tick but the Query List will remain unchanged.

Next Step: View What-if Risk in the IB Risk NavigatorSM

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View What-if Risk in the IB Risk NavigatorSM

You can view the risk summary for the proposed Option Portfolio solution list in the IB Risk Navigator, and
add your existing portfolio to the What-if to see how acquired Greek risk dimension will affect your existing
risk profile.

The above image is querying for a basket of trades to acquire 6,000 delta. We have elected to Freeze
updates to the solution list and open the proposed list in the IB Risk Navigator. We click the Risk Navigator
button, and within seconds the solution list opens in its own What-if Portfolio window, shown below:

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To view the solution list in Risk Navigator

1. Click the Risk Navigator button to open a What-if scenario that contains the Query Results list.

The What-if is indicated by a red border around the portfolio, and is named “Option Portfolio.”

2. Select any Report or Measure to see the isolated risk profile for the list.

You can also view the proposed solution list integrated with your current portfolio risk profile. Simply add
your portfolio to the What-if scenario from the Option Portfolio.

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To add your portfolio to the What-if scenario

1. From the Edit menu of the IB Risk Navigator, select Add From.
2. Your actual portfolio, named My Portfolio, is the default selection. Click OK.If you have created other
portfolios, you may select another from the list.
3. The positions in your portfolio are added to the What-if scenario from the Option Portfolio solution
list.

Below you can see the What-if portfolio outlined in red, and below, your actual portfolio. The highlighted
positions are common to both, but distinct at this point.

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After you elect to Add your portfolio, the two sets of positions are summed in the new, integrated What-if
Portfolio, shown below.

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ScaleTrader
To use the ScaleTrader algo to manage blotter orders, right-click a blotter ticket and select Trading Tools
and then select ScaleTrader.

The ScaleTrader can help prevent increasingly deteriorating prices on large sized orders. Use to create a
simple scale order, a pair trade, or a multi-leg combo.

About ScaleTrader 468

Basic Scale Orders 470

Example 1: Basic Scale Order 473

Basic Scale with Profit Orders 474

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Example 2: Scale order with Profit-Taking Orders 477

Scale Profit Orders with Initial Component 479

Example 3: Scale with Profit and Initial Component size 482

Scale Profit with Restore Size 484

Example 4: Scale order with Restore Size 487

Example 5: Restart ScaleTrader 489

Example 6: Restart ScaleTrader with Filled Initial Component Size 490

ScaleTrader for Pairs 491

Use the ScaleChart 493

View Scale Progress 495

Scale Order Examples 496

Combo Orders 497

ScaleTrader Summary 498

About ScaleTrader
ScaleTrader is a flexible trading tool that implements a sophisticated trading algorithm, allowing you to
scale into a large position without being subject to increasingly deteriorating prices, or to trade continually
over a specified price range to capture a user-defined profit offset amount. ScaleTrader supports all
products traded at IB except Mutual Funds.

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ScaleTrader Summary and Status

Below the Scale chart, the Summary and Status sections give you more information on the current scale
order.

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The Summary shows the number of price levels in your scale, the average price of the total order, the
amount, and the range of the scale between the top and bottom prices.

The Status displays the displays the size of your filled position, and shows the latest Buy price and Sell
price working for the active scale order.

Use the Start and Stop buttons to start and stop the algo. Use Dismiss to close the ScaleTrader.

Basic Scale Orders

ScaleTrader provides many “add ons” that allow you to customize your order based on your trading
strategy. A basic scale order might involve simply scaling into or out of a position, with or without a profit
trade.

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To create a basic scale order

Select the action, Buy or Sell.

Maximum Position - Enter the total order size. Note that this value refers only to the position for this algo
order. It does not take into account or affect any current position in the underlying that you may hold.

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Initial Component Size - The initial component size refers to the number of units that will be submitted at
the starting price, and is used in determining the number of components and price levels needed to achieve
the Maximum Position. The component size must be entered in round lots.

If you do not enter a value in the Subsequent Comp. Size field, this value will be used for both initial and
subsequent components

Subsequent Comp. Size - The number of units that will be submitted at subsequent price levels. Must be
entered in round lots.

Starting Price - The price at which the initial component will be submitted. The starting price defaults to
the ask, but can be changed directly in the field or by dragging the blue line in the scale chart.

Price Increment - Used to define the price levels for each scale component. The increment will be
subtracted from the last price level for a buy order, and added to the last price level for a sell order.

The number of components along with the Starting Price and Price Increment are used to calculate the
Bottom Price, which is the lowest price at which any of the order components will be submitted. If you
change the Bottom Price, the Price Increment is recalculated.

For an example of how a basic scale order like this one will behave, see Example 1: Basic Scale Order.

To view the progress of your scale order, use the View Scale Progress feature.

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Example 1: Basic Scale Order

Data Assumptions:

Label Value

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NBBO $26.31 - $26.32

Action Buy

Total Order Size 10,000

Initial/Subsequent 400
Component Size

Starting Price $26.28

Price Increment .02

Order Type Limit

Time in Force GTC (this is set on the Basic tab of

the order ticket)

This is an order to buy 10000 shares scaled into 25 components of 400 shares each.

The first 400 share component is submitted as a buy limit order at the Starting Price of $26.28.

When the complete order fills, the next component of 400 shares is submitted at $26.26 (starting price -
price increment).

If price movement results in this order becoming unmarketable, the remainder of the order is held.

Once the price level fills, the next component for 400 shares is submitted at $26.26 (last filled price level -
price increment).

This pattern continues until all components have filled, or you cancel the order.

Basic Scale Orders topic.

Basic Scale with Profit Orders

ScaleTrader provides many “add ons” that allow you to customize your order based on your trading
strategy. A basic scale order might involve simply scaling into or out of a position, with or without a profit

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trade. The Profit taking orders are submitted against a filled order component at a specific price level,
where the price is calculated using the component price level +/- the defined profit offset.

To create a basic scale with profit orders

Select the action, Buy or Sell.

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Maximum Position - Enter the total order size. Note that this value refers only to the position for this algo
order. It does not take into account or affect any current position in the underlying that you may hold.

Initial Component Size - The initial component size refers to the number of units that will be submitted at
the starting price, and is used in determining the number of components and price levels needed to achieve
the Maximum Position. The component size must be entered in round lots.

If you do not enter a value in the Subsequent Comp. Size field, this value will be used for both initial and
subsequent components

Subsequent Comp. Size - The number of units that will be submitted at subsequent price levels. Must be
entered in round lots.

Randomize Size - Check to help ensure the components are not easily detected in the market. Resulting
component sizes will be plus or minus 55 percent rounded up or down to the nearest round lot. For a 400
component size, submitted sizes could be 200, 300, 400, 500 or 600.

The Randomize feature cannot be used with profit taker orders.

Starting Price - The price at which the initial component will be submitted. The starting price defaults to
the ask, but can be changed directly in the field or by dragging the blue line in the scale chart.

Price Increment - Used to define the price levels for each scale component. The increment will be
subtracted from the last price level for a buy order, and added to the last price level for a sell order.

The number of components along with the Starting Price and Price Increment are used to calculate the
Bottom Price, which is the lowest price at which any of the order components will be submitted. If you
change the Bottom Price, the Price Increment is recalculated.

Check Create profit taking order and enter a profit offset amount.

For an example of how a basic scale order like this one will behave, see Example 2: Scale order with Profit-
Taking Orders.

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Example 2: Scale order with Profit-Taking Orders

Data Assumptions:

Label Value

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NBBO $26.31 - $26.32

Action Buy

Total Order Size 10,000

Initial/Subsequent 400
Component Size

Starting Price $26.28

Price Increment .02

Order Type Limit

Time in Force GTC (this is set on the Basic tab of

the order ticket)

Create profit taking Check to enable

order

Profit Offset 0.20

Like example 1, this is an order to buy 10000 shares scaled into 25 components of 400 shares each. In
addition, we have instructed TWS to submit profit-taking sell orders against each order component, with a
.20 profit offset. This means the profit orders will be submitted at the last filled price level plus the .20 cent
offset.

The first 400 share component is submitted as a buy limit order at the Starting Price of $26.28. When the
component order fills two things happen. The next component of 400 shares is submitted at $26.26
(component price - price increment), and a sell order is submitted for 400 shares at $26.48 (component
price + profit offset).

When the $26.26 price level fills, a sell order for 400 shares at $26.46 (component price + profit offset) is
submitted. This pattern continues until all components have filled, or you cancel the order.

The order will be held if any parent component becomes unmarketable, but the profit orders can continue
to work without holding up the order.

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Basic Scale with Profit Orders topic.

Scale Profit Orders with Initial Component

ScaleTrader provides many “add ons” that allow you to customize your order based on your trading
strategy. A basic scale order might involve simply scaling into or out of a position, with or without a profit
trade. The Profit taking orders are submitted against a filled order component at a specific price level,
where the price is calculated using the component price level +/- the defined profit offset. If you use a
higher Initial Component size, the profit orders are submitted against a component size AS IF the
components were submitted at the Starting Price + Price Increment.

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To create a scale profit order with Initial Component

Select the action, Buy or Sell.

Maximum Position - Enter the total order size. Note that this value refers only to the position for this algo
order. It does not take into account or affect any current position in the underlying that you may hold.

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Initial Component Size - The initial component size refers to the number of units that will be submitted at
the starting price, and is used in determining the number of components and price levels needed to achieve
the Maximum Position. The component size must be entered in round lots.

If you do not enter a value in the Subsequent Comp. Size field, this value will be used for both initial and
subsequent components

Subsequent Comp. Size - The number of units that will be submitted at subsequent price levels. Must be
entered in round lots.

Randomize Size - Check to help ensure the components are not easily detected in the market. Resulting
component sizes will be plus or minus 55 percent rounded up or down to the nearest round lot. For a 400
component size, submitted sizes could be 200, 300, 400, 500 or 600.

Starting Price - The price at which the initial component will be submitted. The starting price defaults to
the ask, but can be changed directly in the field or by dragging the blue line in the scale chart.

Price Increment - Used to define the price levels for each scale component. The increment will be
subtracted from the last price level for a buy order, and added to the last price level for a sell order.

The number of components along with the Starting Price and Price Increment are used to calculate the
Bottom Price, which is the lowest price at which any of the order components will be submitted. If you
change the Bottom Price, the Price Increment is recalculated.

Check Create profit taking order, and enter the profit offset.

Once the price increment has been entered, the Top Price is calculated, and will be higher than the starting
price by the price increment times the number of component sizes higher the initial price is compared to the
subsequent component size. in the above example, the initial size is one component size larger than the
subsequent size, so the calculation is 1 x .02 = .02. The top price will be .02 (or one price increment) higher
than the starting price.

For an example of how a scale profit order with a larger initial component will behave, see Example 3:
Scale with Profit and Initial Component size.

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Example 3: Scale with Profit and Initial Component size

Data Assumptions:

Label Value

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NBBO $26.31 - $26.32

Action Buy

Total Order Size 10,000

Initial Component Size 800

Subsequent Com- 400

ponent Size

Starting Price $26.28

Price Increment .02

Order Type Limit

Time in Force GTC (this is set on the Basic tab of

the order ticket)

Create profit taking Check to enable

order

Profit Offset 0.20

The difference between this order and the order in Example 2 is that the Initial Component Size is larger
than the subsequent component size by one full size. This feature works in conjunction with the profit taking
orders, which we have enabled at an offset of $.20.

To understand the larger initial component, let’s first look at the mechanics of using the same component
size of 400 with the $.02 profit offset. In this case, a BUY order would be submitted at the starting price of
$26.28 and after it fills, the profit SELL order would be submitted at the component price + profit offset, or
$26.48. When this fills, you have bought at $26.28 and sold at $26.48 for a profit of $.20 per share.

Now let’s look at the example above with the Initial Component of 800. TWS submits the first component
as a BUY order for 800 at the Starting Price, or $26.28. But when this fills, the profit sell orders are
submitted in Subsequent Component-sized lots AS IF the 800 shares were sent in as two BUY orders at

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$26.28 and $26.26, right up to the non-editable Top Price. So two sell orders for 400 shares each are
submitted for $26.48 and $26.46. Once these fill, the subsequent 400-share components kick in for the
remainder of the 10000-share order.

Scale Profit Orders with Initial Component topic.

Scale Profit with Restore Size

ScaleTrader provides many “add ons” that allow you to customize your order based on your trading
strategy. If you elect to Restore size after taking profit, the algo will restore the size component at the last
filled price level once the associated profit order has filled.

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To create a scale profit order with Restore Size

Select the action, Buy or Sell.

Maximum Position - Enter the total order size. Note that this value refers only to the position for this algo
order. It does not take into account or affect any current position in the underlying that you may hold.

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Initial Component Size - The initial component size refers to the number of units that will be submitted at
the starting price, and is used in determining the number of components and price levels needed to achieve
the Maximum Position. The component size must be entered in round lots.

If you do not enter a value in the Subsequent Comp. Size field, this value will be used for both initial and
subsequent components

Subsequent Comp. Size - The number of units that will be submitted at subsequent price levels. Must be
entered in round lots.

Randomize Size - Check to help ensure the components are not easily detected in the market. Resulting
component sizes will be plus or minus 55 percent rounded up or down to the nearest round lot. For a 400
component size, submitted sizes could be 200, 300, 400, 500 or 600.

Starting Price - The price at which the initial component will be submitted. The starting price defaults to
the ask, but can be changed directly in the field or by dragging the blue line in the scale chart.

Price Increment - Used to define the price levels for each scale component. The increment will be
subtracted from the last price level for a buy order, and added to the last price level for a sell order.

The number of components along with the Starting Price and Price Increment are used to calculate the
Bottom Price, which is the lowest price at which any of the order components will be submitted. If you
change the Bottom Price, the Price Increment is recalculated.

Check Create profit taking order and enter a profit offset amount.

Check Restore size after taking profit.

For an example of how the Restore size scale feature will behave, see Example 4: Scale order with
Restore Size.

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Example 4: Scale order with Restore Size

Data Assumptions:

Label Value

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NBBO $26.31 - $26.32

Action Buy

Total Order Size 10,000

Initial/Subsequent 400
Component Size

Starting Price $26.28

Price Increment .02

Order Type Limit

Time in Force GTC (this is set on the Basic tab of

the order ticket)

Create profit taking Check to enable

order

Profit Offset 0.20

Restore size after tak- Check to enable

ing profit

The Restore Size feature restores the component size at a specific price level after the opposite side order
for the price level fills.

In this example, the order is scaled into 25 components of 400 shares each.

The first 400-share component is submitted at $26.28. After this level fills, the next limit order for 400 is
submitted at $26.26, and at the same time an opposite-side profit order is submitted for 400 at $26.48
(component price + profit offset).

Once the sell order fills at $26.48 taking the profit, the filled quantity of 400 is put back in to the original order
at its same price level of $26.28, and the $26.26 price level component is canceled.

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When using the Restore size feature, you may want to consider making the profit offset closer to the price
increment to help ensure the orders fill.

Scale Profit with Restore Size topic.

Example 5: Restart ScaleTrader

Data Assumptions:

Label Value

NBBO $10.12 - $10.15

Action Buy

Total Order Size 1000

Initial Component 100

Size

Subsequent 100
Component Size

Starting Price $10.10

Price Increment .02

Order Type Limit

Time in Force GTC (this is set on the Basic tab of

the order ticket)

Create profit taking Enabled

order

Profit Offset .03

Restore size after Enabled

taking profit

Restart ScaleTrader Enabled

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Initial Position 200

The Restart feature helps you resume a busted ScaleTrader order from the point of the bust. A bust results
in a lost connection between the scale and profit order processes, leaving two independent scaled orders.
You can cancel these orders and create a new ScaleTrader Restart order.

The Existing Position value of 200 tells ScaleTrader that two of the components have filled, at $10.10 and
$10.08, respectively. It "restarts" the scale order beginning with the 3rd component. The first buy order is
for 100, and is submitted at $10.06. The profit-taker orders are set up for all three components, 100 at
$10.13, 100 at $10.11, and 100 at $10.09, which are submitted. When the sell order for 10.13 fills, the size
is restored at the 10.10 price level.

The Existing Position feature is only available if the profit-taking order and Restore Size instructions are
used.

Example 6: Restart ScaleTrader with Filled Initial Component

Size
A busted scale order results in a lost connection between the scale and profit order processes, leaving only
two independent scaled orders. The Restart instruction is designed to help you resume a cancelled or
busted ScaleTrader order, starting from the point at which the scaled sequence left off. First, cancel the
two separated scale orders. Next, create a new ScaleTrader Restart order by identifying your current
position and telling ScaleTrader how much of the initial component size filled in the busted order.
ScaleTrader will restart the order at the appropriate component and price level.

Note: Note: The Filled Initial Component Size field only becomes active if the Existing
Position value is less than the Initial Component Size.

Profit Offset: $0.02

Restore Size after taking profit: box checked on Order Ticket Scale tab

Restart ScaleTrader: box checked on Order Ticket Scale tab

Existing Position value: 500

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Filled Initial Component Size: 1200 (this value must be greater than or equal to the Existing
Position value, up to a maximum of the Initial Component Size).

The Filled Initial Component Size of 1200 tells ScaleTrader that there is an unfilled quantity of 800 (of the
2000 Initial Component Size). The first buy order for 800 is submitted at $10.15, and profit-taker orders of
1000 and 200 are set at $10.17 and $10.18, respectively.

Activate the Restart ScaleTrader instruction using the checkbox on the Scale tab of the Order Ticket. This
feature is only available if the profit-taking order and Restore Size instruction is used, and if the value in the
Existing Position field is less than the Initial component size.

ScaleTrader for Pairs

A pair trade involves trading two stocks simultaneously, buying one and selling the other at predefined
price differences. Usually, the two stocks selected have displayed a close price relationship in the past, or
the relationship is dictated by fundamentals. When this relationship approaches a certain, extreme level, a
position is established in which the relatively overvalued stock is sold short and the other one is bought for
approximately equal dollar values. It is expected that eventually the relationship will return to a normal level,
at which time the position is unwound at a profit.

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Stock-stock pair combinations can only be traded as non-guaranteed. To help increase the chances that
both legs will fill, stock-stock scale pairs can only be sent as:

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LMT + MKT, where one or both legs are submitted as marketable limit orders when the combo
becomes marketable. If only one leg fills, the second leg is resubmitted as a market order.
REL + MKT, where one or both of the legs are submitted as simulated relative orders (at the bid for a
buy and at the ask for a sell). If only one leg fills, the second leg is resubmitted as a market order.

To create a scale stock pair trade based on price difference

Open the ScaleTrader.

From within Mosaic, use the New Window dropdown and select More Advanced Tools and
then ScaleTrader.
From within the Advanced Order Management quote monitor, use the Trading Tools
menu.

Select the Pair tab and click the Edit Pair button.

Create tickers for each of the stock-stock pair:

Enter the higher priced of the pair in the Buy line.

Enter the lower priced (but relatively overvalued) of the pair in the Sell line.

Choose price difference and click Create.

At this point you will be required to acknowledge that the combo is non-guaranteed.

The scale chart shows the price difference between the two contracts over time. The starting price
illustrates the beginning level of price difference between the two contracts at which you want to submit an
order.

Use the ScaleChart

The ScaleChart provides a visual method of modify the scale prices. Use the lines and handles in the chart
to set the Starting Price and bottom price and have TWS calculate the price increment.

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To move the prices, grab a line in the chart.

When you move the blue Starting Price line, the other lines move in the same increment.
When you move the Bottom Price line, the Price Increment is recalculated since the distance between
the starting and bottom prices have changed. If the Initial Component is higher than the Subsequent
Component size, the Top Price is also recalculated.

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If you move the top price, the Initial Component Size, Price Increment and Bottom Size are all recal-
culated.

View Scale Progress

You can monitor the progress of your scale orders using the Scale Progress box.

To View Scale Progress

Right-click the scale order line and select View Scale Progress.

The Scale Progress Box

The Scale Progress box displays the complete scale price ladder, the Open/Filled component list for the
parent scale order, and the Open/Filled component list for the child profit orders.

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Scale Order Examples

The data assumptions in the table below are repeated for all examples, with other variables described as
needed. These examples do not encompass all of the potential algorithmic results that would occur on
partially filled component levels.

Example 1: Basic Scale Order

Example 2: Scale order with Profit-Taking Orders

Example 3: Scale with Profit and Initial Component size

Example 4: Scale order with Restore Size

Example 5: Restart ScaleTrader

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Example 6: Restart ScaleTrader with Filled Initial Component Size

Combo Orders
When using ScaleTrader for creating generic combination orders, note the following:

When you create a STK STK generic combo, the ratios are automatically simplified when you save the
combo. This means that the combo you define in the Combo Selection box to Buy 300 XYZ and sell
700 ABC ends up on the ticker line as Buy 3 XYZ and Sell 7 ABC.
Scale parameters such as Total Order Size and Initial and Subsequent Component sizes are
expressed in terms of the total combo. For example, if you buy a generic STK STK combo defined as
Buy 10 DELL, Sell 1 IBM, and set the Initial Component Size to 5, the first component order would be:
Buy (5 x 10) DELL, Sell (5 x 1) IBM.

Guaranteed combination pairs including US stock-option and option-option pairs, and which can be traded
from the Combo tab, can use the following order types:

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LMT + LMT, where one or both legs are submitted as marketable limit orders when the combo
becomes marketable. If one fills, the other is resubmitted as a limit order.
REL + LMT, where one or both of the legs are submitted as a simulated relative order (at the bid for a
buy and at the ask for a sell). If only one leg fills, the second leg is resubmitted as a limit order.
LMT + MKT, where one or both legs are submitted as marketable limit orders when the combo
becomes marketable. If only one leg fills, the second leg is resubmitted as a market order.
REL + MKT,where one or both of the legs are submitted as a simulated relative order (at the bid for a
buy and at the ask for a sell). If only one leg fills, the second leg is resubmitted as a market order.

Use ScaleTrader for combination orders

1. Click the Combo tab in ScaleTrader.

2. If you opened ScaleTrader with an underlying selected, click the Edit Combo button; otherwise,
enter an underlying and select from the combo type, including EFP, Futures Spread or Option
Combo.
3. Use the ComboTrader box to define a strategy, and click Create.

You can monitor the progress of your scale orders by right-clicking on the order line and selecting View
Scale Progress.

ScaleTrader Summary
Use the Scale Summary page to view real-time status of your scale orders, including filled and total
quantity, filled, remaining, and total value, and the percent filled for each scale. The Scale Summary is a
system-generated page with its own layout.

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To create a Scale Summary

1. Use the right-click menu fromAdd Tab indicator and select ScaleTrader.

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Order Types
Discover more than 60 different order types including basic and advanced orders, algos, attributes and
times in force.

Basic Order Types 506

Limit 507

Limit if Touched 508

Limit-On-Close 509

Market 510

Market if Touched 511

Market-On-Close 511

Market-to-Limit 512

Stop 513

Stop Limit 514

VWAP 515

Advanced Order Types 515

Auto Trailing Stop 517

Bracket 518

Box Top 520

Conditional 520

Funari Orders 522

IBDARK Orders 523

Iceberg/Reserve 524

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Limit + Market 525

Market with Protection 526

Minimum Quantity 526

NYSE Closing Auction D-Quote 527

Passive Relative 528

Pegged-to-Market 529

Pegged to Midpoint 530

Pegged to Stock 531

Pegged to Benchmark 533

Price Improvement Auction 534

Relative/Pegged-to-Primary 535

Relative + Market 537

Retail Price Improvement Orders (RPI) 538

Snap to Market 539

Snap to Midpoint 540

Snap to Primary 541

Stop Order with Protection 542

T + 1 Stock Settlement 543

Trailing Stop 544

Trailing Stop Limit 546

Trailing Market if Touched 547

Trailing Limit if Touched 548

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Trailing Limit + Market 550

Trailing Relative + Market 551

Attached Orders 552

Attach a Beta Hedge Order 552

Attach a Delta Hedge Order 553

Attach an FX Order 555

Attach a Pair Trade 556

Auto Combo Limit Order 557

Auto Combo Market Order 558

Order Attributes 559

All or None (AON) 560

Block 561

Discretionary 561

Hidden 563

One Cancels Other 564

One-Cancels-Other (OCO) 566

Sweep-to-Fill 567

Volatility Orders 568

Pegged-to-Primary Volatility Order 568

Pegged to Market Volatility Order 570

Pegged to Midpoint Volatility Order 571

Pegged to Surface Volatility Order 572

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Volatility Trading 574

Times in Force 577

Times in Force for Orders 578

Regular Trading Hours 580

Good After Time 580

Fill or Kill 582

Auction 582

Market-on-Open 583

Limit-On-Open 584

Basic Order Types

Limit 507

Limit if Touched 508

Limit-On-Close 509

Market 510

Market if Touched 511

Market-On-Close 511

Market-to-Limit 512

Stop 513

Stop Limit 514

VWAP 515

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Limit
A limit order is an order to buy or sell a contract ONLY at the specified price or better.

To create a Limit order

Populate the Order Entry panel by selecting an instrument in a linked window or typing the symbol in the
entry box.

Click Buy or Sell.

Select LMT from the list of order types, and enter a limit price.

Click Submit to send the order.

From within the Classic Interface:

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1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select LMT as the order type.
3. In the Lmt Price field, enter the price at which you want the order to execute.
4. To transmit the order, click the "T" in the Status field.

For a more detailed description of limit orders and the products and exchanges on which they're supported,
visit the Order Types information page.

Short Video

Limit if Touched
A limit if touched order is designed to buy (or sell) a contract below (or above) the market, at the limit price
or better. The Aux. Price value is the trigger to submit the limit order at the specified limit price.

To create a Limit if Touched order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select LIT as the order type.
3. In the Lmt Price field, enter the price at which you want the order to execute.
4. In the Aux. Price field, enter the "touched" price to trigger the order.
5. To transmit the order, click the "T" in the Status field.

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For a more detailed description of Limit if Touched orders and the products and exchanges on which
they're supported, visit the Order Types information page.

Limit-On-Close
An LOC (limit-on-close) order will fill at the closing price if that price is at or better than the submitted limit
price. Otherwise, the order will be canceled.

To create an LOC order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field, select LOC as the order type.
3. To transmit the order, click the "T" in the Status field.

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For a more detailed description of LOC orders, visit the Order Types information page.

Market
A market order is an order to buy or sell an asset at the bid or offer price currently available in the
marketplace. When you submit a market order, you have no guarantee that the order will execute at any
specific price.

To create a Market order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select MKT as the order type.
3. To transmit the order, click the "T" in the Status field.

For a more detailed description of market orders, visit the Order Types information page.

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Market if Touched
A market if touched order is designed to buy (or sell) a contract when the market goes below (or above) the
current price. The Aux. Price value is the trigger to submit the market order.

To create a Market if Touched order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select MIT as the order type.
3. In the Aux. Price field, enter the "touched" price to trigger the order.
4. To transmit the order, click the "T" in the Status field.

For a more detailed description of Market if Touched orders visit the Order Types information page.

Market-On-Close
An MOC (market-on-close) order will execute as a market order as close to the closing price as possible.

To create an MOC order

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1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field, select MOC as the order type.
3. To transmit the order, click the "T" in the Status field.

For a more detailed description of MOC orders, visit the Order Types information page.

Market-to-Limit
A market-to-limit order is sent in as a market order to execute at the current best price. If the entire order
does not immediately execute at the market price, the remainder of the order is re-submitted as a limit
order with the limit price set to the price at which the market order portion of the order executed.

To create a market-to-limit order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select MTL as the order type.
3. To transmit the order, click the "T" in the Status field.

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For a more detailed description of market-to-limit orders, visit the Order Types information page.

Stop
A Stop order becomes a market order to buy or sell securities or commodities once the specified stop price
is attained or penetrated. A Stop order is not guaranteed a specific execution price.

To create a Stop order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select STP as the order type.
3. Enter the Stop Election price in the Aux. Price field.
4. To transmit the order, click the "T" in the Status field.

For a more detailed description of stop orders, visit the Order Types information page.

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Stop Limit
A Stop Limit order is similar to a stop order in that a stop price will activate the order. However, unlike the
stop order, which is submitted as a market order when elected, the stop limit order is submitted as a limit
order. Use the Lmt Price and Aux. Price fields on the trading screen to enter orders requiring multiple
prices or values.

To enter a Stop Limit order

1. Click in the Ask Price field to initiate a BUY order, or the Bid Price field to initiate a SELL order.
2. Click in the Type field and select STP LMT as the order type.
3. Enter the Limit price in the Lmt Price field.
4. Enter the Stop Election price in the Aux. Price field.

Note: You can enable the system to automatically adjust the limit price if you change the stop
price. To activate this feature, on the Edit menu select Global Configuration and then select Order
in the left pane. Check Auto-adjust limit price for STP LMT and LIT orders. The limit price will move
based on the offset implied when you set the original limit and stop election prices.

For a more detailed description of stop limit orders, visit the Order Typesinformation page.

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VWAP
VWAP (Volume-Weighted Average Price) orders are supported for large cap securities only. You can also
use the non-guaranteed VWAP Algo.

To create a Guaranteed VWAP order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select VWAP as the order type.
3. If desired, change the VWAP cut-off time using the TIF field.
4. To transmit the order, click the "T" in the Status field.

Note: A transmitted VWAP order is accepted immediately and CANNOT BE CANCELLED.

VWAP orders are automatically routed.

For a more detailed description of VWAP orders, visit the Order Types information page.

Advanced Order Types

Includes pegged, relative, trailing orders and more.

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Auto Trailing Stop 517

Bracket 518

Box Top 520

Conditional 520

Funari Orders 522

IBDARK Orders 523

Iceberg/Reserve 524

Limit + Market 525

Market with Protection 526

Minimum Quantity 526

NYSE Closing Auction D-Quote 527

Passive Relative 528

Pegged-to-Market 529

Pegged to Midpoint 530

Pegged to Stock 531

Pegged to Benchmark 533

Price Improvement Auction 534

Relative/Pegged-to-Primary 535

Relative + Market 537

Retail Price Improvement Orders (RPI) 538

Snap to Market 539

Snap to Midpoint 540

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Snap to Primary 541

Stop Order with Protection 542

T + 1 Stock Settlement 543

Trailing Stop 544

Trailing Stop Limit 546

Trailing Market if Touched 547

Trailing Limit if Touched 548

Trailing Limit + Market 550

Trailing Relative + Market 551

Auto Trailing Stop

You can attach a trailing stop order to a limit order. The attached trailing stop order is automatically
activated when the limit order is filled.

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To attach an auto trailing stop

1. Right-click on a limit order and select Attach, then select Auto Trailing Stop.

To modify the trailing amount, change the value in the Aux. Price field.

To change the default trailing amount used to calculate the stop election price, use the Order > Order
Defaults page of Global Configuration.

2. When the limit order executes, the trailing stop order is submitted. The stop election price will be cal-
culated using the (parent order limit price + trailing amount) for Buy orders, and the (parent order
limit price - trailing amount) for Sell orders.

The relationship between the parent and attached order can be seen in the Trailing Key field. Related
orders are assigned the same trailing key.

Bracket
Bracket orders are designed to limit your loss and lock in a profit by "bracketing" an order with two
opposite-side orders. A BUY order is bracketed by a high-side sell limit order and a low-side sell stop (or
stop-limit) order. A SELL order is bracketed by a high-side buy stop (or stop-limit) order and a low side buy
limit order.

The order quantity for the bracketing orders is the same as that of the original order. By default, the amount
off the current price to which a bracket order is set is 1.0. This offset amount can be manually changed on
the order management line for a specific order, or you can modify the default offset amount using the Order
Preset in Global Configuration.

In addition, if you display the OCA Group field on your order line, you will see that the two child bracket
orders are automatically put into an OCA group. This means that when one of the orders executes, the
other will automatically be cancelled.

When including bracket orders in a basket, display the Key field in the BasketTrader to see the parent/child
relationship between orders.

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Note: If you attach a bracket to a working order, you will need to transmit the child orders
manually. However, the system does recognize that the parent and child orders are designed to
work as a bundled group, which you can see by the matching values in the Trailing Key field if you
display this field on your order line. If you attach a bracket to a working order and modify the parent,
when you re-transmit the parent order the children are then transmitted automatically.

To create a Bracket order

1. Click the "Ask" or "Bid" price of an asset to create an Order Management line.
Click the Ask Price to create a Buy order.
Click the Bid Price to create a Sell order.

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2. On the right-click menu, select Attach and then select Bracket Orders.
3. Verify that the order parameters are correct.
4. Transmit the order.

For more information on Bracket orders, visit the Order Types information page.

Box Top
A BOX TOP order is sent in as a market order to execute at the current best price. If the entire order does
not immediately execute at the market price, the remainder of the order is re-submitted as a limit order with
the limit price set to the price at which the market order portion of the order executed.

To create a BOX TOP order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select BOX TOP as the order type.
3. To transmit the order, click the "T" in the Status field.

Available for options routed to BOX.

For details on Box Top orders, visit the Order Types information page.

Conditional
A conditional order is an order that will automatically be submitted or cancelled ONLY IF specified criteria
for one or more defined contracts are met. You can use stocks, options, futures or security indexes to

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trigger a conditional order.

To create a conditional order

1. Select an order line.

2. From the right-click menu, select Modify and then select Condition.
3. From the Conditional tab on the order ticket click Add Condition.
4. Enter contract information for the contingent asset in the Conditional Order box.
5. Enter the trigger information for the contingent asset:

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Select the trigger method.

Select whether the price of the contingent asset should be less than or equal to (<=) or
greater than or equal to (>=) the trigger price.
Enter the trigger price.

If you select the double bid/ask trigger method, the greater than or equal to operator (>=) will
use the BID price and the less than or equal to operator (<=) will use the ASK price.

6. Click OK. The condition appears in the Current Conditions list.

To set multiple conditions, use the Add Condition button and click AND or OR in the Current
Conditions area.

Field/Button Description

Add Condition Invokes the Conditional Order entry box.

Delete Deletes the selected condition.

Modify Opens the Conditional Order entry box for the selected
condition to allow you to make changes.

Allow condition Lets the selected condition activate the order if it is satisfied
to be satisfied... outside of regular trading hours.

Action to take... If selected conditional order is satisfied, you can elect to have
the primary order submitted OR cancelled.

Funari Orders
A Funari order is submitted as limit order, with any remaining unfilled quantity resubmitted as a Market-On-
Close order at the end of trading.

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To create a Funari order

1. Click in the Ask Price field to initiate a BUY order, or the Bid Price field to initiate a SELL order.
2. In the Dest. field ensure that the destination is TSEJ.
3. Click in the Type field and select FUNARI as the order type.
4. Specify the limit price.

This order type is only available for stock orders direct-routed to the Tokyo Stock Exchange.

IBDARK Orders
Non-marketable U.S. stock orders routed to IBDARK are tagged "post only” and are held in IB's order
book where incoming SmartRouted orders from other IB customers are eligible to trade against them.

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To route an order to IBDARK

From the market data line of a US Stock, click the Bid to create a SELL order or the Ask to create a BUY
order.

In the Destination field, select IBDARK.

Transmit the order.

For more information on how the IBDARK order works, see the IBDARK Order Type page.

Iceberg/Reserve
An Iceberg/Reserve order allows you to submit an order (generally a large volume order) while publicly
disclosing only a portion of the submitted order at a time.

To create an Iceberg/Reserve order

1. Show the Display Size field on an order management line:

Hold your mouse over any order row field until the "+" sign appears to the left of the field
title.
Click the "+" sign to invoke the order fields dropdown list.
In the Order Attributes list select Display Size.

2. On the trading screen, create an order (click the Ask Price to create a BUY order, or the Bid Price
to create a Sell order).
3. In the Display Size field, enter the quantity that you want publicly disclosed.

For a more detailed description of iceberg/reserve orders visit the Order Types information page.

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Limit + Market
The LMT + MKT order type is available for certain multi-leg combinations, and when used with a non-
guaranteed combination order it could help to increase the chances of all legs in the order being filled.
Initially one or more legs are submitted as limit orders, but if the first leg fills or partially fills, the remaining
legs are resubmitted as market orders.

To create a combination Limit + Market order

1. Create a Combination Order line on the Quote Monitor.

2. Click the Bid or Ask to create a Sell or Buy order line.
3. From the Type dropdown, select LMT + MKT.

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When you select LMT + MKT, the limit price field becomes inactive and the Trigger Price field requires the
combo price input.

Market with Protection

A Market with Protection order is sent in as a market order to execute at the current best price. If the entire
order does not immediately execute at the market price, the remainder of the order is re-submitted as a
limit order, with the limit price set by the exchange to a price slightly higher/lower than the current best
price.

To create a market with protection order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select MKT PRT as the order type.
3. To transmit the order, click the red "T" in the Transmit field.

For a more detailed description of market with protection orders, visit the Order Types information page.

Minimum Quantity
Use the Minimum Quantity order attribute to ensure that the minimum specified number of units is filled for
your order.

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To create a Minimum Quantity order

1. Show the Min Quantity field: Hold your mouse over any field title until the "+" and "x" Insert and
Remove icons appear. Click the "+ " to display the list of available fields. Note that if you hover your
mouse over an order field, all available order fields are displayed. If you hover over a market data
field, all available market date fields are displayed.

2. On the trading screen, create an order (click the Ask Price to create a BUY order, or the Bid Price
to create a Sell order).
3. In the Min. Quantity field enter the minimum number of contracts that must be available for any part
of the order to execute.

Available for bonds and Smart-routed options orders.

NYSE Closing Auction D-Quote

The D-Quote order provides greater flexibility, execution speed and enhanced representation during the
NYSE closing auction.

To create a D-Quote order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Destination field, select NYSEFLOOR.

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3. In the Type field, select LMT or MKT as the order type.

Market orders will receive the closing print price.

Limit orders will receive the closing print price if the order is priced at or better than the closing auction
price.

4. To transmit the order, click the "T" in the Status field.

For a more detailed description of D-Quote orders, visit the Order Types information page.

Passive Relative
The Passive Relative order submits a limit order at a less aggressive price than the National Best Bid and
Offer (NBBO). Your price is automatically adjusted when the market moves. For a buy order, your bid is
pegged to the NBB by a less aggressive offset amount*, and if the NBB moves up, your bid will also move
up. For sales, your offer is pegged to the NBO by a less aggressive offset, and if the NBO moves down,
your offer will also move down. In addition to the offset, you can define an absolute cap, which works like a
limit price, and will prevent your order from being executed above or below a specified level.

For passive relative orders with a "0" offset, the order is submitted as a limit order at the best bid/ask, and
will move up and down with the market to continue to match the inside quote.

Note: If you have tooltips enabled, you can hold your mouse over the Limit price of the relative
order and see the current exchange price for that order.

*The offset is the amount that will be subtraced from the best bid (for a buy order) and added to the best
ask (for a sell order) to create the limit price at which the order will be submitted.

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To enter a Passive Relative order

1. Click in the Ask Price field to initiate a BUY order, or the Bid Price field to initiate a SELL order.
2. Click in the Type field and select PASSV REL as the order type.
3. Enter the offset amount in the Offset Price field, or set a percent using the Pct. Offset field. If both
fields have values the higher of the two will be used as the offset. To display the Pct. Offset field, hold
your mouse over the Offset Price field until the “+” and “x” icons appear, and click the “+” icon. From
the Prices category select Pct Offset.

For a more detailed description of Passive Relative orders, visit the Order Types information page. 

Pegged-to-Market
Submit an aggressive order that is pegged to buy on the best offer and sell on the best bid.

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To create a Pegged-to-Market order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Dest. field ensure that the destination is Island.
3. In the Type drop-down select PEG MKT.
4. If desired, modify the offset amount in the Aux. Price field.
5. To transmit, click the "T" in the Status field.

Available for stock orders direct routed to Island.

For a more detailed description of pegged-to-market orders, visit the Order Types information page.

Pegged to Midpoint
Pegged to Midpoint orders seek to execute at the midpoint of the National Best Bid and Offer (NBBO). The
order price adjusts automatically to peg the midpoint if the market moves. If the market moves in the
opposite direction, the order will execute.

The limit price acts as a price cap to prevent your order from being executed above or below a specified
level.

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To create a pegged to midpoint order

1. Click in the Ask Price field to initiate a BUY order, or the Bid Price field to initiate a SELL order.
2. In the Dest. field ensure that the destination is Island.
3. Click in the Type field and select PEG MID as the order type.

This order type is only available for US Equity orders direct-routed to Island.

For a more detailed description of pegged to midpoint orders, visit the Order Types information page.

Pegged to Stock
Sometimes referred to as Relative to Stock, a pegged to stock order specifies that the option price will
adjust automatically relative to the stock price, using a calculated value based on data you enter.

Note: A Pegged to Stock order direct-routed to BOX puts you in BOX's Price Improvement
auction.

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To create a Pegged to Stock order

1. Click the Ask price to create a BUY options order, or the Bid price to create a SELL options order.
2. Select PEG STK in the Type field. Ensure that the supporting Pegged order fields are visible.If you
don't see PEG STK in the Type list, check to be sure that your option is routed to SMART (or an
exchange that supports this order type). This order type is only valid for US Equity options.
3. In the Delta field, enter an absolute value which will be used as a percent, eg. "5" equals 5%.

This percent value is signed positive for calls and negative for puts. This value is multiplied by the
change in the underlying stock price, and the product is added to the starting price to determine the
option price.

4. The Stock Reference Price used is the midpoint of the NBBO at the time of the order. You can
change this value if desired.
5. Define an optional high/low stock range if desired. If the stock price moves outside of the range, your
order will be canceled. Use the Underlying Range (High) and Underlying Range (Low) fields.

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6. The Starting Price for the option order is the midpoint of the option NBBO at the time of the order.
You can change this value if desired.

When you create a pegged to stock order using the Order Ticket, use the Basic tab to select the order type
and set the Starting price. Use the Pegged tab to set the Stock Ref. price, the high and low underlying
range limits, and the Delta value.

For more details and an example of a pegged-to-stock order, visit the Order Types information page.

Pegged to Benchmark
Similar to a Pegged to Stock order, a Pegged to Benchmark order specifies that the order price will adjust
automatically relative to changes in the price of a user-specified reference asset. To determine whether the
reference asset price has changed, the system monitors changes to the Last price for indexes, and
changes to the Bid (for buy orders) and to the Ask (for sell orders).

To create a Pegged to Benchmark order

From the Quote Monitor, click the Bid for SELL order, click the Ask for a BUY order.

From the Type field in an order line select PEG BENCH.

Within the inline algo parameters you can define the following fields:

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With a starting price of: Enter the price for the current order. By default the starting price for a Buy
order = bid (at the time the order is created), for a Sell order = ask (at the time the order is created).
Decrease price by/Increase price by: Specify an offset by which the price will increase/decrease in
response to the same-direction movement in the price of the reference contract.
For every price decrease (or increase) of: Enter the reference contract price-change increment
that will drive the increase/decrease of the order price.
in reference contract: Enter the underlying symbol for the reference contract.
Starting reference price is: You must enter a starting price for the reference contract. The reference
price is the current bid (for a buy order) and the current ask (for a sell order).
Order will be active only while reference price is between: If desired, set a defining "valid" price
range for the reference contract. If the price moves outside the defined range, the order will be can-
celed.

Click Transmit to send the order.

For an example of using an All or None order, visit the Order Types information page.

Price Improvement Auction

For options routed through BOX, you may elect to participate in the Price Improvement Auction to better
your price.

To submit a Price Improvement Auction order

1. Create an options order routed to BOX.

2. In the Type field, select either LMT, REL, or PEG STK.
For Limit orders, enter the limit price in the Lmt. Price field in penny increments.
For Relative orders, set a relative offset amount (in penny increments) in the Aux. Price field.
For PEG STK orders, you enter the starting price in the Aux. Price field, the delta in the
Delta field, the optional stock reference price in the Stock Ref. Price field, the low side of the
optional stock range in the Underlying Range (Low) field, the high side of the optional stock
range in the Underlying Range (High) field. Use the Order Ticket, or display these fields from the
Order Columns tab in page layout.
3. Transmit the order by clicking the "T" in the Status field.

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For a more detailed description of box auction orders, visit the Order Types information page.

Relative/Pegged-to-Primary
The relative order provides a means for traders to seek a more aggressive price than the National Best Bid
and Offer (NBBO). By becoming liquidity providers, and placing bids or offers into the book that are more
aggressive than what is currently quoted, traders increase their odds of execution. Quotes are
automatically adjusted when other market participants become more aggressive. For a buy order, your bid
is pegged to the NBB by a more aggressive offset amount*, and if the NBB moves up, your bid will also
move up. For sales, your offer is pegged to the NBO by a more aggressive offset, and if the NBO moves
down, your offer will also move down. In addition to the offset, you can define an absolute cap, which works
like a limit price, and will prevent your order from being executed above or below a specified level.

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For relative orders with a "0" offset, the order is submitted as a limit order at the best bid/ask, and will move
up and down with the market to continue to match the inside quote.

Note: If you have tooltips enabled, you can hold your mouse over the Limit price of the relative
order and see the current exchange price for that order.

To enter a Relative order

1. Click in the Ask Price field to initiate a BUY order, or the Bid Price field to initiate a SELL order.
2. Click in the Type field and select REL as the order type.
3. Enter the offset amount in the Aux. Price field, or set a percent using the Pct. Offset field. If both
fields have values the higher of the two will be used as the offset. To display the Pct. Offset field:

Hold your cursor over a field in the order row fields until the green “+” sign appears. Click
the “+” sign to show the list of order fields.
In the Price category, select Pct Offset. The field is added to the left of the selected field.

Note: If you submit a relative order with a percentage offset, you are instructing us to calculate an
order price that is consistent with the offset, but that also complies with applicable tick increments.
Therefore we will calculate the order price rounded to the appropriate tick increment (e.g., pennies

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for a U.S. stock trading at a price over $1.00). Buy orders will be rounded down to the nearest
acceptable tick increment and sell orders will be rounded up.

You can modify the offset amount for several relative orders on the same trading page at one time. To do
this, select multiple relative orders by holding the Ctrl key and clicking on each order. After you have
selected all relative orders, right-click on one of the selected orders and select Modify. In the Relative
Order Modification box, define an offset or percent offset amount and click OK. All selected orders will be
changed.

Please note that you can change the name of the Relative order to Pegged-to-Primary using the Settings
page of the Display group in Global Configuration.

For a more detailed description of relative orders visit the Order Types information page. 

*The offset is the amount that will be added to the best bid (for a buy order) and subtracted from the best
ask (for a sell order) to create the limit price at which the relative order will be submitted.

Relative + Market
The REL + MKT order type is available for certain multi-leg combinations, and when used with a non-
guaranteed combination order it could help to increase the chances of all legs in the order being filled.
Although the order type uses the term "Relative," this refers to the behaviour of the limit order initially
submitted, which is pegged to the bid for a buy and to the ask for a sell similiar to a Relative order, in an
attempt to add rather than remove liquidity. Initially one or more legs are submitted as limit orders, but if the
first leg fills or partially fills, the remaining legs are resubmitted as market orders.

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To create a combination Relative + Market order

1. Create a Combination Order line on the Quote Monitor.

2. Click the Bid or Ask to create a Sell or Buy order line.
3. From the Type dropdown, select REL + MKT.

When you select REL + MKT, the limit price field becomes inactive and the Trigger Price field requires the
combo price input.

Retail Price Improvement Orders (RPI)

This order is similar to a Relative order, but requires an offset greater than zero (which may be submitted in
sub-pennies). RPI orders are routed to a separate book at the NYSE to trade against qualified orders.

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To submit an RPI order

Click the Ask price to create a Buy order or the Bid price to create a Sell order.

From the Type field, select RPI.

If you don't see RPI in the order type list, ensure that your Destination is set to SMART and that the stock is
listed on either the NYSE or NASDAQ.

Specify an offset greater than zero.

Transmit the order.

For more information, see the Order Types page on the website.

Snap to Market
The Snap to Market (SNAP MKT) order is similar to a pegged order, as the original order price is
determined by the current bid/ask plus or minus an offset. But unlike the pegged order price, the "snap to"
order price doesn't continue to peg as the price moves.

A Snap to Market BUY order snaps to the ask minus the offset, to set the order price. For a SELL order, it
snaps to the bid plus the offset.

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To create a Snap to Market order

Create a buy or sell order.

From the Type field select SNAP MKT.

Specify an offset amount that will be subtracted from the bid (for a buy order) to determine the limit price.

Transmit.

For a more detailed description of relative orders visit the Order Types information page. 

Snap to Midpoint
The Snap to Midpoint (SNAP MID) order is similar to a pegged order, as the original order price is
determined by the current bid/ask plus or minus an offset. But unlike the pegged order price, the "snap to"
order price doesn't continue to peg as the price moves.

A Snap to Midpoint BUY order snaps to the midpoint of the bid/ask minus the offset to set the order price.
For a SELL order, it snaps to the midpoint of the bid/ask plus the offset.

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To create a Snap to Midpoint Order

Create a buy or sell order.

From the Type field select SNAP MID.

Specify an offset amount that will be subtracted from the midpoint of the bid/ask to determine the limit price.

Transmit.

For a more detailed description of relative orders visit the Order Types information page. 

Snap to Primary
The Snap to Primary (SNAP PRIM) order is similar to a pegged order, as the original order price is
determined by the current bid/ask plus or minus an offset. But unlike the pegged order price, the "snap to"
order price doesn't continue to peg as the price moves.

A Snap to Primary BUY order snaps to the bid plus the offset to set the order price. A SELL order snaps to
the ask minus the offset.

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To create a Snap to Primary Order

Create a buy or sell order.

From the Type field select SNAP PRIM.

Specify an offset amount that will be added to the bid (for a buy order) to determine the limit price.

Transmit.

For a more detailed description of relative orders visit the Order Types information page. 

Stop Order with Protection

A Stop with Protection order is similar to a stop limit order. The order is submitted with a Stop Price. When
the contract trades at the stop price the order triggers, and is submitted as a limit order at the exchange-
defined "protection" limit price.

To create a stop with protection order

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1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select STP PRT as the order type.

3. Define the Stop Price.

4. Transmit by clicking the "Transmit" button.

For a more detailed description of stop orders with protection, visit the Order Types information page.

T + 1 Stock Settlement
Clients who write covered calls can elect to purchase shares that settle in T+1 to satisfy their delivery
obligations, instead of using existing shares and potentially incurring a higher tax liability.

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To specify T+1 for a US stock order, from the Destination field select TPLUS1 as the routing destination.

Trailing Stop
A trailing stop sell order sets the initial stop price at a fixed amount below the market price as defined by the
Trailing Amount. As the market price rises, the sell stop price rises one-to-one with the market but always
at the interval set initially by the trailing amount. If the stock price falls, the stop price remains the same.

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When the stop price is hit, a market order is submitted. Reverse this for a buy trailing stop order. This
strategy may allow an investor to limit the maximum possible loss without limiting possible gain.

To create a trailing stop order

1. Click in the Ask Price to initiate a BUY order, or the Bid Price to initiate a SELL order.
2. Click in the Type field and select TRAIL from the dropdown list of order types.
3. Enter a value in the Trailing Amt field. This amount is used to calculate the initial Stop Price, and
the amount by which you want the limit price to continue to trail the stop price. To change the abso-
lute value to a percent of the best bid/ask, click in the field to initiate a dropdown arrow, and then
choose Amt or %.

Stop Price - This field is optional. By default, the initial Stop Price is calculated as: mar-
ket price - trailing amount. You can modify the stop price, but if it is lower than the calculated
value, it will be discarded when the order is submitted. Note that the value you enter may dis-
play in the Stop Price field even if it is not used.
Limit Price - this value defaults to the current best bid/ask. The limit price will move with the
trailing stop price based on the delta between the two prices (initial stop price - initial limit
price = limit delta). If the limit price and stop price are equivalent, they will move together
with a zero delta.

4. To transmit the order, click the "T" in the Status field.

For a more detailed description of Trailing Stop orders visit the Order Types information page.

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Trailing Stop Limit

A trailing stop limit order lets you create a trailing stop order that works in conjunction with a dynamically-
updating limit order. When the stop order triggers, a limit order is submitted at the last calculated price
(instead of a market order which would be submitted with a regular trailing stop order).

The Trailing Stop Limit order uses four components: Stop price, Trail amount, Limit price, and Limit Offset.

To enter a trailing stop limit SELL order

1. Click in the Bid Price to initiate a SELL order.

2. Click in the Type field and select TRAIL LIMIT.
3. Display the Stop Price and Lmt Offset fields (Hold your mouse over any field title until the "+" and
"x" Insert and Remove icons appear. Click the "+ " to display the list of available fields. Note that if
you hover your mouse over an order field, all available order fields are displayed. If you hover over a
market data field, all available market date fields are displayed. ).
4. Enter values in the following fields:

a. Trailing Amount (Aux Price) (Trailing Amt) - This amount is used to calculate the initial
Stop Price, and the amount by which you want the limit price to continue to trail the stop
price. Use the dropdown to choose Amt or %. The trailing percent is calculated off the cur-
rent best bid/ask. Note that you can define a default Trailing Amount in the Order
Defaults Default Order Offset Amounts area.
b. Stop Price - You must enter an initial stop price. Unlike a trailing stop order, the initial
stop price is not automatically calculated by TWS when you transmit the order, since the

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stop price is needed to calculate the limit price or limit offset. The stop price is continually
recalculated when the market price rises. If the initial stop price is higher than the (market
price - trail amount) it will not be modified.
c. Limit Price OR Limit Offset - The limit order piece of the trailing stop limit is submitted
once the stop price is penetrated. While the market price and stop price continue to fall,
the limit price is also recalculated using the limit offset, and moves with the stop price.
If you enter a limit offset, the limit price is calculated using (stop price - limit offset).
If you enter a limit price, the limit offset is calculated using (stop price - limit price)
when the order is submitted.
If the limit price and stop price are equivalent, they will move together with no offset.

5. To transmit the order, click "T" Status field.

For a more detailed description and example of Trailing Stop Limit orders, visit the Order Types information
page.

Trailing Market if Touched

A trailing market if touched is similar to a trailing stop order, except that the sell order sets the initial stop
price at a fixed amount above the market price instead of below. As the market price falls, the stop trigger
price falls by the user-defined trailing amount, but if the price rises, the stop price remains the same. When
the stop trigger is touched, a market order is submitted. Reverse this for a buy trailing market if touched
order.

To create a Trailing Market if Touched order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. In the Type field select TRAIL MIT as the order type.
3. In the Aux. Price field, enter the trailing amount.
4. In the Stop Price field, enter the trigger price.
5. To transmit the order, click the "T" in the Status field.

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For a more detailed description of relative orders visit the Order Types information page. 

Trailing Limit if Touched

A trailing limit if touched is similar to a trailing stop limit order, except that the sell order sets the initial stop
price at a fixed amount above the market price instead of below. As the market price falls, the stop trigger
price falls by the user-defined trailing amount, but if the price rises, the stop price remains the same. When
the stop trigger is touched, a limit order is submitted. Reverse this for a buy trailing limit if touched order.

To create a Trailing Limit if Touched order

1. Click the Ask price to create a BUY order, or the Bid price to create a SELL order.
2. If not already visible, display the Stop Price and Lmt Offset fields (right-click in the column headers
and select Customize Layout, then use the Order Columns tab to add fields).
3. Enter values in the following fields:

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a. Aux Price (Trailing Amt) - This value is added to the bid price to continually recalculate
the stop price, if the market price drops. Use the dropdown to choose Amt or %. The trail-
ing percent is calculated off the current best bid/ask. Note that you can define a default
Trailing Amount in the Order Defaults Default Order Offset Amounts area.
b. Stop Price - You must enter an initial stop price. Unlike a trailing market if touched
order, the initial stop price is not automatically calculated by TWS when you transmit the
order, since the stop price is needed to calculate the limit price or limit offset. The stop
price is continually recalculated when the market price falls. If the initial stop price is
higher than the (market price - trail amount) it will not be modified.
c. Limit Price OR Limit Offset - The limit order piece of the trailing stop limit is submitted
once the stop price is penetrated. While the market price and stop price continue to fall,
the limit price is also recalculated using the limit offset, and moves with the stop price.
If you enter a limit offset, the limit price is calculated using (stop price - limit offset).
If you enter a limit price, the limit offset is calculated using (stop price - limit price)
when the order is submitted.
If the limit price and stop price are equivalent, they will move together with no offset.

4. To transmit the order, click "T" Status field.

For a more detailed description of relative orders visit the Order Types information page. 

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Trailing Limit + Market

The TRAIL LMT + MKT order type is available for certain multi-leg combinations. You define the trailing
amount, and when the order triggers it behaves the same as the Limit + Market order.

To create a combination Trailing Limit + Market order

1. Create a Combination Order line on the Quote Monitor.

2. Click the Bid or Ask to create a Sell or Buy order line.
3. From the Type dropdown, select TRAIL LMT + MKT.
4. Set or confirm the Trailing Amount and Trigger Price.

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When you select TRAIL LMT + MKT, the limit price field becomes inactive and the Trigger Price field
requires the combo price input.

Trailing Relative + Market

The TRAIL REL + MKT order type is available for certain multi-leg combinations. You define the trailing
amount, and when the order triggers it behaves the same as the Relative + Market order.

To create a combination Trailing Relative + Market order

1. Create a Combination Order line on the Quote Monitor.

2. Click the Bid or Ask to create a Sell or Buy order line.

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3. From the Type dropdown, select TRAIL REL + MKT.

4. Set or confirm the Trailing Amount and Trigger Price.

When you select TRAIL REL + MKT, the limit price field becomes inactive and the Trigger Price field
requires the combo price input.

Attached Orders
Use attached orders to hedge a parent order. The attached hedge orders are considered child orders of
the parent order, and are submitted one time when the parent order is submitted. These orders are not
continuously updated.

Attach a Beta Hedge Order 552

Attach a Delta Hedge Order 553

Attach an FX Order 555

Attach a Pair Trade 556

Auto Combo Limit Order 557

Auto Combo Market Order 558

Attach a Beta Hedge Order

Attach a Beta Hedge order to hedge a stock order with an ETF.

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To attach a beta hedge order

1. Create a buy or sell stock order.

2. Right-click in the order line, and select Attach, then select Beta Hedge.
3. Click the Attributes box in the Status field to show the hedge attributes on the inline editor.

4. Enter a hedging contract, generally an ETF. The system beta of the stock relative to the selected
ETF is calculated and displayed next to the hedging contract.
5. Hold your mouse over the Beta icon to see the calculated estimated quantity of the hedging contract.
6. If desired, adjust the beta by entering a new value in the User Beta field. The quantity of the child
hedge order is recalculated.
7. Click T to transmit the original order. The attached beta hedge is automatically transmitted.

Attach a Delta Hedge Order

Attach a delta hedge order to an options order, and as an alternative to setting a hedge order attribute in
the original Volatility order line.

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To attach a Delta Hedge order

1. From the right-click menu, select Attach and then select Delta Hedge.

A new linked delta hedge order line displays. The link between the parent and child orders is
illustrated in the Key field.

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2. Select an order type for the hedging order (Limit, Market or Relative).

Please note that when you attach a delta hedge order to a Volatility order with Continuous Update or to a
Relative/Pegged-to-Stock order, the system will use the delta associated with the parent order instead of
using the current delta of the option based on market data at the time of trade. For Volatility orders, this
delta is calculated from the user-defined Implied Volatility specified at the time of the most recent order
modification or price update. For Relative/Pegged-to-Stock orders, this is the delta specified by the user.

For a Limit delta hedge order, a snapshot of the stock bid/ask price is taken at the time the parent order fills,
and the best available price is used as the limit price (best ask for a buy and best bid for a sell).

Attach an FX Order
You can elect to attach an FX Order in cases where you are buying a contract in a currency other than your
base, and want to convert base currency to the currency of the contract to cover the cost of the trade.

To attach an FX Order

1. Create a buy order on a contract.

2. Right-click in the order line, and select Attach, then select FX Order.

3. Click the Attributes box in the Status field to show the hedge attributes on the inline editor. The appro-
priate currency pair is displayed.

Hold your mouse over the FX icon to see the calculated estimated quantity of the hedging contract.

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4. Transmit the parent order. The attached fx order will sell your base currency and buy a quantity of
the needed currency to cover the parent trade.

Attach a Pair Trade

The attached Pair Trade can be used to hedge one contract against another, generally in the same
industry. Offset a price discrepancy between the two contracts with a ratio.

To attach a Pair Trade

1. Create a buy or sell stock order.

2. Right-click in the order line, and select Attach, then select Pair Trade.
3. Click the Attributes box in the Status field to show the hedge attributes on the inline editor.

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4. Enter a contract to hedge the parent contract.

5. In the Hedging Ratio field, enter a value as a whole number or a decimal. This value is the first term
in the ratio.

Hold your mouse over the Pair icon to see the calculated estimated quantity of the hedging contract based
on the entered ratio. For example, if the parent order quantity is 500 and you enter a Hedge Ratio of 2, the
estimated quantity of the hedge order will 1000, i.e. a 2:1 ratio.

Auto Combo Limit Order

Attach an opposite-side limit order to a complex multi-leg combination order. The limit price is determined
using the Combo Order Preset values for the "Target Order." The attached order is a child order and will be
linked to the parent order automatically with the OCA (one-cancels-other) tag. This order will be auto-
submitted when the parent order fills.

TWS Guide