How is Forex Trading with MB Trading Different?
MB Trading Futures receives quotes from multiple banks, partners, and pools of liquidity, so we don’t create the spreads that you see. Our customers are displayed an aggregate of these prices in real-time which are immediately available. When you place a Market order with us, our award-winning proprietary routing system sends your order to the destination with the best available price. When you place a Limit order with us, we immediately post it for all clients to see. At MB Trading Futures, there are No re-quotes, stop hunting, or any other trickery, just a fully transparent marketplace.
How Does MB Trading FX Make Money?
MB Trading FX offers two trading plans for Forex traders. With the ECN Pay for Limits plan, we charge 2.95 per 100,000 executed of your base currency for Market orders as a routing fee. With the Free ECN plan, available only on MetaTrader 4, we profit from a very small mark-up of the spread. We offer base currency accounts for our Desktop application in USD, EUR, and GBP, CAD, and JPY denominations. The MetaTrader 4 platform offers only USD and EUR accounts . We are seeking to include additional base currencies soon, so you can trade within the currency that matters most to you.
How Do Spreads Really Work?
Brokers can charge either a routing fee or build the fee into the spread. Put simply, the higher the spread, the more it cost you to trade. Most spread-based brokers fix the spread as a way to include their fees in the price of a trade instead of displaying the quote being received from a bank or market maker. With MB Trading FX’s Free ECN plan there is a very small mark-up with the spread, but we still post customer limit orders for all to see, which can improve liquidity and narrow the spread.
How does your firm make money when offering spreads as low as .1 pip?
True interbank data provides clients with the ability to trade with the narrowest spreads. MB Trading FX charges a small commission of $2.95 per $100,000 in currencies traded for their services. Accounts in some countries may be charged a higher rate. Please visit our comissions page for details. On top of all that, we also pay you for executed limit orders. Click HERE to see how it works.
How do I fund my account?
For complete instructions on funding your account, please see our Deposits page.
Where can I send my funding check?
Please make checks payable to our clearing firm, "MB Trading Futures.” Include your 8-digit MB Trading Futures account number in the memo field, and mail the check to MB Trading Futures at:
MB Trading Futures1926 East Maple Ave
El Segundo, CA 90245
*Checks made payable to any other party other than MB Trading Futures will be returned.
What is the funding minimum when opening a new account?
The current account minimum is $400 and margin leverage is 50:1.
What is the minimum account value to place my Forex trade?
$200
Which currency pairs can I trade?
Click here for the current list.
What is the leverage amount available to me?
50:1 in the US. MB Trading UK will offer 100:1 leverage to international (non-US) clients only.
Do you allow scalping?
Yes.
Do you allow hedging?
No.
Do you have a deal desk?
No, MB Trading Futures does not operate a deal desk. We do, however, have an order desk (866.628.3001) for your convenience that you can use to call in trades or receive quotes for no additional fee. The order desk is available between 5:30pm ET on Sunday and 4:30 ET on Friday.
Why do I pay interest, when is it paid and how is the amount determined?
Trades settle in two business days in the spot Forex market. If you sell 10,000 Euros on Tuesday, you must deliver 10,000 Euros on Thursday, unless the position is held open and rolled over to the next day. As a service to our traders, we automatically roll over all open positions to the next settlement date at 5:00pm EST. Rollover involves exchanging the expiring position for a position expiring the following settlement date. The positions being exchanged are not valued at the same price. If a trader is long the currency bearing the higher interest rate, the position being "sold" is worth more than the position being acquired. The reverse is also true; if a trader is short the currency bearing the higher interest rate, the trader is acquiring a position worth more than the one being "sold". The amount of the difference varies based on the currency pair, the interest rate differential between the two currencies, and fluctuates day to day. At 5:00pm ET each day, funds are subtracted from or added to accounts with open positions because of this automatic roll over.
What are the hours I can trade foreign currencies with MB Trading Futures?
Please refer to the chart below:
Forex Session Times(all times EST)
Main session:
Opens: Sun. at 5:00 pm EST (Start time can vary)
Closes: Fri. at 4:58 pm EST
Trading suspended:
Mon. - Thurs. 4:58 pm EST - 5:06 pm EST
General Live Account Information:
How do I open a live account?
Click here to open an account and during the online application specify MetaTrader 4.0.
What is the difference between the investor and master passwords that I received when I opened my account?
The "master" password allows a person full access to view and place trades in an account. The "investor" password only allows someone to view the account. People who trade for themselves should only use the master password. If someone has a manager trade their account, they would give the manager the master password so that he/she can place trades. The investor password would then be used by the account owner to view the account in real-time but not be able to trade and interfere with what the manager is doing.
Can I have multiple accounts with MT4?
Yes.
Is the quote feed and execution the exact same?
Our Live and Demo quote feeds are identical except that Limit Orders entered into the Demo environment do not affect the Live quotes and vice versa.
Do I have to have the MBT Desktop downloaded in order for MT4 to work properly?
No. The two platforms run independently of each other. However, we do recommend that you also run Desktop or Desktop Pro at the same time as MetaTrader 4, as both offer better messaging and true FIFO accounting.
What are the withdrawals/deposits that read “Account Balance Correction” on my MT4 trade and history tabs?
The execution and FIFO accounting as required by the NFA are handled via our Desktop Platforms. Differences can occur between how MT4 reports balances and the actual numbers due to cost averages, swap charges from different average pricing, and other little differences. In addition, MT4 was not designed to handle partial closes that are common on an EXN. When a trade is split into more than one position on a close, MT4 can show the wrong PnL for the trade initially. These issues cause slight differences in balances between what you see in Desktop, Desktop Pro, and the website versus in the MetaTrader 4 software. Those differences are corrected with a deposit or withdrawal that reads “account balance correction.” These corrections occur if you are flat at 5 pm EST rollover and are posted to the account in the next few hours. If you are not flat at rollover and have a balance difference, it cannot be corrected. We highly recommend that you log into MBT Desktop or MBT Desktop Pro at the same time you are logged into MetaTrader 4. MetaTrader 4 is simply an interface that we enable for MetaTrader 4 accounts to allow you to trade. You cannot trade from the Desktop or Desktop Pro software with your MetaTrader 4 account, but you will find that the Order book, and Account Balance windows are accurate and in real-time.
You can also find accurate FIFO statements by logging into the Client Secure Area of our website.
Can I have both platforms up at the same time?
We encourage you to keep both platforms up and running so that you can properly view your account value, swaps, and cost basis through the Desktop software. However, you cannot trade with the Desktop software with a MetaTrader 4 account.
What will be the minimum trade size I can place?
0.1 lot or 1000 currency units.
Will there be partial fills on large orders?
It is possible that any order will receive a partial fill on a true EXN.
What is a partial fill and why do they happen?
While deal desk platforms, which MetaTrader 4 was originally written for, traditionally work on an "all or none" basis for each deal, this is not realistic in a true EXN/STP environment. Therefore, you can get partial fills on the platform when you want to buy or sell and the trader, bank, or pool of liquidity on the other side of the trade is good for less size than your total order. If you get the rest of your order filled within a minute or so, the prices will be averaged and shown in one order ID. If the order is not completed in a short period of time, it will be split into separate order IDs, one for the executed size, and the remaining for the size that is left. EAs need to be adjusted for the possibility of these partial fills and split order IDs.
Will I be able to contact support if I need assistance with a trade?
Yes, we provide support for the MT4 platform. Please contact us at 877-212-1112 or click on the MBT World and MetaTrader support chat links on the Contact page of our site.
Will I be able to view reports?
FIFO-Compliant reports are handled through the MB Trading website with our standard MBT Desktop statements. Statement reporting in MetaTrader is not available.
Is there a deal desk associated with the MB Trading MT4 platform?
No, we are a non-deal desk broker and our MT4 platform is EXN-based.
Where can I find tutorials to assist me with learning how to use MT4?
Both our MBT World site and our MetaTrader pages include extensive information about using MetaTrader with MB Trading.
Can I use my Mobile if I already have MT4 installed on it?
MB Trading does not have MT4 available yet for Mobile devices.
Live Account Trouble Shooting:
I can’t login?
Ensure that you are logging in with your account number only (not the – ERDY) and using your Master Password. Select ‘File’, then ‘Login’ to enter this information and choose the MB Trading MT4 Live Server option. Are you trying to login to a different computer than the one you originally set MT4 up on? If so you will need to transfer your RSA Key from that computer to your secondary system:
Go to c:/program files/MBT-MetaTrader 4/config on computer number 1, once you have located this file on your computer e-mail the Key file (which should contain your account number and the phrase ‘MBTrading-Live Server’) to yourself and open the email on computer 2. Once it is on computer 2 save it to your desktop, then copy and paste it into the \config folder, (c:/program files/ MBT-MetaTrader 4/config). After this is done you should be able to login to your account on both computers.
I’m getting off-quotes in my live account?
Please ensure that you have logged into to the account with your ‘Master Password’ and not the ‘Investor Password’ to enable trading. Please review your account balance and ensure that you have enough buying power to allow trading. Please ensure that you are logged into your live account, and not into a demo account. You can check this at the top of the platform, it will say ‘MB Trading Live’ and have your account number.
I’m receiving an error with my account balance?
Please restart your MBT MetaTrader platform; this will update your account balance.
If this does not work, please contact us (866.558.3342) with the exact details of what you think the balance should be and what trades or other activity events are causing the discrepancy. (From this point investigate, i.e. my commissions show x amount, explain how the commission structure works).
What are the withdrawals/deposits that read “Account Balance Correction” on my MT4 history?
The execution and FIFO accounting as required by the NFA are handled via our Desktop Platforms. In some cases, when Desktop and MetaTrader 4 balances differ, those differences are corrected with a deposit or withdrawal that reads "account balance correction."
We highly recommend that you log into MBT Desktop or MBT Desktop Pro at the same time you are logged into MetaTrader 4. MetaTrader 4 is simply an interface that we enable for MetaTrader 4 accounts to allow you to trade. You cannot trade from the Desktop or Desktop Pro software with your MetaTrader 4 account, but you will find that the Order book, and Account Balance windows are accurate and in real-time. You can also find accurate FIFO statements by logging into the Client Secure Area of our website.
Why do I get small account adjustments in my MetaTrader 4 software from time to time?
MetaTrader 4 does not use true FIFO accounting. However, the underlying account, which is handled at the account level by our MBT Desktop or MBT Desktop Pro software does. Therefore, small differences in swaps, pricing, and commissions can occur over time. For example, if you buy the EURUSD at two different prices using MetaTrader 4 and then close the second position, MetaTrader 4 will still have the first position open and will charge or credit swaps based on that trade. However, in reality, swaps are handled at the Desktop level and would be based on a slightly different price. Therefore, when your account is flat, the difference will result in an imbalance that will be adjusted. If you follow your account via on-line statements or the MBT Desktop or MBT Desktop Pro software, you will see the correct information there at all times based on FIFO rules.
Additional Account Request for MT4?
Please note we can ONLY duplicate MBT Desktop/Desktop Pro accounts, not Meta accounts. Meta clients will need to re-apply online if they want to open a duplicate account and submit the “Request for Additional Account” form.
General Demo Account/Trouble Shooting Information:
How do I get a demo of MT4 ?
You can download a MB Trading MetaTrader 4 Demo at this link:
https://www.mbtrading.com/MetaTrader4.aspx
Once you install it on your computer, it will prompt you to fill out the information box. After you complete these steps it will generate a login and password.
Please note that your account will be activated and ready for trading at the next 5pm EST rollover.
How long does the demo last?
Indefinitely if used, but expires after 90 days of non-use.
I’m getting off-quotes in my demo?
Ensure that you have passed the 5pm EST rollover period since you downloaded and created the demo profile. Periodically, we do update the demo server as this is a test environment. Please contact MetaTrader 4 support to determine if this is the issue through our contact page: https://www.mbtrading.com/contact.aspx
FIFO:
How is FIFO handled with your platform?
Your trades are run through the MBT Desktop software which has always been FIFO compliant. You can also see your trades by logging into the MBT website where your account will accurately reflect FIFO compliant rules.
Expert Advisors:
Will I be able to upload Expert Advisors?
Yes, although our system has slight differences with a deal desk system in relation to Expert Advisors. If your EAs don’t work immediately, check out our MBT University Forums to seek solutions.
My EA’s aren’t working?
There are some adjustments that need to be made to MetaTrader Query Language scripts (Expert Advisors) due to differences between Generic MetaTrader 4 and MBT MetaTrader 4. These include, but are not limited to:
Scripts that use Instant Executions to place market orders with take profit and/or stop losses attached will not work. Instead, a market execution must be placed and then a take profit and/or stop loss added to the position.
Hard coding of +/- calculation of pips for profits may need to be adjusted to reflect the fifth decimal place of our EXN.
Please ensure that your EA’s meet the requirements of MBT’s EXN MetaTrader 4 before initializing.
If these adjustments have been made, please ensure that your EA is populating in your MBT Desktop window and is available to initialize. If it is not, check your ‘C’ > ‘Program Files’ > ‘MBT MetaTrader 4’ > ‘experts’ folder to ensure it has been placed in the correct location.
When you input the lots, ensure that it matches our lot size in congruence with your account balance. For example, 1 lot on MBT MetaTrader 4 is equal to 1 mini lot ($10,000 in buying power).
Ensure that you have properly setup the EA as detailed in the MetaTrader help guide.
Ensure that ‘live trading’ is enabled in the experts settings.
Ensure that you are using an .ex4 file.
Ensure that you are launching the EA by doing the following: From the toolbar of the MetaTrader you will find Expert Advisors check button. Check button means when you click it enables the expert advisors and goes to pressed figure and when you click it again it disables the expert advisor and goes to un-pressed figure.
What is “Pay for Limits”?
MB Trading will pay 1.95 per 100,000 volume of the base currency executed for Forex Limit orders posted that add liquidity to its FOREX ECN. This applies to every non-marketable Limit1 order that you place that gets filled.
What defines a “non-marketable” order?
Non-marketable refers to a an order which is not immediately executable and rests on the internal limit order book for some period of time, thus adding liquidity when another order of equal or greater value fills with the resting order.
Do I get charged the normal retail rate of 2.95 per 100k and then receive the Credit?
No. You only pay us 2.95 per 100k for marketable orders. You only get paid 1.95 per 100k for non-marketable Limit orders. There is no fee and then a credit for Limit orders, it is just the credit.
What about Stop Limit orders?
A Stop Limit where the stop is one price and the limit is set just beyond that to control slippage is a “marketable” order which would not qualify for the Pay for Limits scenario.
What platforms does this apply to?
This applies to any platform or front-end connected to the MBT Forex ECN including MetaTrader4 and MBT Desktop and Desktop Pro.
Is a Take Profit on MetaTrader 4 considered a Limit order?
Yes, and that is the case whether or not you also have a Stop Loss in place on the trade.
Is the Take Profit part of the TTO on Desktop considered a Limit order?
No, with a TTO order the server holds until either price is hit and then fires market order. Therefore, this order type is not credited.
Do I get paid both ways in the trade if I use Limit orders?
Yes, if you entered with a Pending Limit and then have a Take Profit, you would get paid both ways.
Does it matter if it is a partial fill?
Partial or not doesn’t matter. The only thing that matters is whether you posted a Limit order up. Any piece or total of that order that gets filled, you get paid.
Is there a limit on how many rebates someone can receive?
No, there is no limit to how many credits at this time. However, due to higher cost of business in China, “Get Paid for Limit Orders” is not available for Chinese residents. All Chinese residents have a fee of 2.95 per base currency for all order types.
How much is rebated/credited for non USD based pairs such as the EUR/USD, GBP/USD, NZD/USD, AUD/USD, etc….?
In these cases you would calculate the amount from the base currency. For example:
EUR/USD current rate 1.35
100K traded
1.95 x 1.35 = 2.63 credit
Where can I see an example of how this works?
You can view a video of Pay for Limits at this location: http://www.youtube.com/user/MBTradingFutures?feature=mhum#p/c/0/0xgfqVVfY1w
Do you charge to use your trading platform?
We do not charge for MBT Desktop/Desktop Pro, MBT MetaTrader 4, MBT Mobile, and MBT Web. We only charge for supplemental quotes & the MBT LightWave platform.
Can I trade Forex, stocks, options, and futures from one account?
No, you will need one account for Forex and the other for stocks, options, and futures. Both accounts can be linked to the same username but the funds will be totally separate.
I have a demo account. How can I open a live account? The sign-up page tells me my e-mail address is already in use.
Please use your demo username and log into the website in order to apply for a live account. Click on Applications under the My Profile section.
How do I open an MB Trading account?
To open an account, click the "Get Started Now" link on our home page and complete the online application.
What is the fastest way to open an account?
The fastest way to open an account is by filling out an application online. You will be guided through a series of forms appropriate for the type of account you choose to open. You will be assigned an account number immediately and you can use this number to fund your account. Once your account is funded, you can begin trading.
What is the minimum amount required to open an account?
You can open a cash account with just $1,000, an IRA for $500, or a margin account with $2,000.
Where can I send my funding check?
Please make checks payable to our clearing firm, "Penson Financial Services"> include your 8 digit MB Trading account number (start with number 7xxxxxxx) in the memo field, and mail the check to MB Trading at:
MB Trading
1926 East Maple Ave
El Segundo, CA 90245
*Checks madee payable to MB Trading or any other party other than Penson Financial Services will be returned.
Can I transfer my existing brokerage account to MB Trading?
Yes, you can transfer an account to MB Trading by ACAT (Automated Customer Account Transfer) or by DTC (Depository Trust Company) transfer. An ACAT can be used to fund an account and/or transfer securities and/or cash from one financial institution to your MB Trading account. A DTC transfer can be used to transfer a partial account from one financial institution to your MB Trading account. Please visit our "Deposits" page for details.
Can I transfer open positions from another firm?
Yes, please use this form: http://www.mbtrading.com/f/acat.pdf
What is the difference between a cash account and a margin account?
A cash account is not issued any margin or short selling abilities. A margin account is issued 4:1 intraday and 2:1 overnight buying power as well as the ability to short sell securities. Margin accounts with balances less than $25,000 are limited to three (3) day trades in five (5) business days, whereas cash accounts are limited to their aggregate cash per day. Margin accounts with balances greater than $25,000 have no restriction on the number of trades placed.
I do not live in the United States can I open an account with your company?
Yes, if you live in one of our approved countries listed here: http://www.mbtrading.com/stocksAccountRequirements.aspx
We will need a copy of your passport or government issued identification, a utility bill to verify your address, and a W-8BEN tax form which we will provide to you.
Can I fund in a currency other than USD?
No
Do you charge any other fees?
There are no additional fees for manual phone orders, any order types other than market and limit orders, orders placed during extended trading hours, and any orders placed when the MBTR route is unavailable.
Is MB Trading a broker-dealer?
What is your current commission rate?
Our MBTR Plan offers flat fee, unlimited trading with market and limit stock orders for the single rate of $4.95*. The MBTX Plan is slightly more expensive than the MBTR Plan, but generally offers access to more liquidity and more order types. The cost is $0.0075 per share with a $4.95 minimum per trade.
Click here to view our Fees page.
Why are my commissions slightly higher on the sell side?
Under Section 31 of the Securities Exchange Act of 1934, Financial Industry Regulatory Authority (FINRA) and national securities exchanges, such as the New York Stock Exchange (NYSE) and the American Stock Exchange (ASE), must pay transaction fees to the Securities Exchange Commission (SEC). Each brokerage firm passes along the fees it collects to FINRA and the exchanges, and these fees are ultimately forwarded to the U.S. Treasury. SEC fees are only assessed when you sell a stock. Click for more details.
Am I charged a new commission every time I cancel an order?
No. If an order is partially filled, you can use our change feature order ("cancel/replace") to modify the order's price and/or size, without incurring an additional commission per day.
Am I charged a new commission for each partial fill?
No. You will only be charged one commission per day, regardless of the number of partial fills an order produces.
I signed up for Plan B. Why do I see commission charges greater than $4.95?
Each individual ECN and Exchange charges small "pass-through" fees for each share executed. In order for MB Trading to continue providing the same excellent service and support that we are known for, these fees must be added to your base commission price.
Is there a minimum ticket size?
You can place a trade for as little as 1 share, however, please keep in mind that our "per share" commission plan has a minimum ticket charge of $4.95.
What is a day trade?
A day trade is defined as the opening (buying or short selling) and closing (selling or covering) of the same security on the same day.
What is a day trading account?
A day trading account is an account with a balance of at least $25,000 or an account that has displayed day trading tendencies. Any account that exceeds three (3) day trades in five (5) business days is automatically considered a day trading account and will be required to maintain a balance of $25,000 to retain margin ability.
How do I fund my account?
You can fund your account by ACH, check, wire, or ACAT or DTC transfer of securities. Please visit our "Deposits" page for details.
Can I trade before and after normal market hours?
Yes, MB Trading offers extended hours trading from 7:30am to 8:00pm EST.
Can I enter "stop" orders on NASDAQ, NYSE, and AMEX?
Yes, you can now enter stops for NASDAQ securities in addition to NYSE and AMEX securities; the NASDAQ does not accept them, but our dedicated servers do.
What is mark-to-market and when/how does it apply?
First, here are several definitions found on the WWW:
- 1. An arrangement whereby the profits or losses on [a futures contract or various securities in your account] are settled each day.
- 2. The act of recording the price or value of a security, portfolio or account to reflect its current market value rather than its book value.
- 3. Recording the price or value of a security, portfolio, or account on a daily basis, to calculate profits and losses or to confirm that margin requirements are being met.
The cost basis for each security in your portfolio is adjusted to its closing price each day. If you hold a security overnight, your true purchase basis goes away in lieu of the new "closing price" cost basis assigned to each security each day.
As an example: If you buy the security on Monday for $10/share and it closes at $11/share on Monday, Tuesday's cost basis is $11/share, and your account will see a PnL of $1/share for Monday. If the security ends Tuesday at $10.50/share then a -$0.50/share PnL is booked to your account for Tuesday and Wednesday's cost basis becomes $10.50/share.
Does MBT provide any instructional material for the MBT Desktop?
Yes, we offer a user manuals, tutorials and Webinars through the main MB Trading website and on our education and community site, MBT World.
What is the difference between MBTR and MBTX? Which should I use?
You can see the differences HERE
Do you provide an end of year tax report?
Yes, most clients receive a 1099 tax form. Detailed cash transactions and trade history reports are also available via Penson's website.
Do you trade Options on Futures?
No
Can I trade Futures in an IRA?
No
Do you charge to use your trading platform?
We do not charge for MBT Desktop/Desktop Pro, MBT MetaTrader 4, MBT Mobile, and MBT Web. We only charge for supplemental quotes & the MBT LightWave platform.
Can I trade Forex, stocks, options, and futures from one account?
No, you will need one account for Forex and the other for stocks, options, and futures. Both accounts can be linked to the same username but the funds will be totally separate and transactions cleared through two different institutions.
I have a demo account. How can I open a live account? The sign-up page tells me my e-mail address is already in use.
Please use your demo username and log into the website in order to apply for a live account. Click on Applications under the My Profile section.
I do not live in the United States can I open an account with your company?
Yes, if you live in one of our approved countries listed here: http://www.mbtrading.com/stocksAccountRequirements.aspx
We will need a copy of your passport, a utility bill to verify your address, and a W-8BEN tax form which we will provide to you.
How do I open an MB Trading account?
To open an account, click the "Get Started Now" link on our home page and complete the online application. Then simply print and sign the application and mail it to MB Trading within 30 days.
What is the fastest way to open an account?
The fastest way to open an account is by filling out an application online. You will be guided through a series of forms appropriate for the type of account you choose to open. You will be assigned an account number immediately and you can use this number to fund your account once your account is approved. Once your account is funded, you can begin trading.
What is the minimum amount required to open an account?
You can open a futures account with $2,000.
How do I fund my account?
You can fund your account by ACH transfer, check, wire, or ACAT or DTC transfer of securities. Please visit our DEPOSITS page for details.
Where can I send my funding check?
Please make checks payable to our clearing firm, "Penson Financial Services" include your 8-digit MB Trading account number (start with number 7xxxxxxx) in the memo field, and mail the check to MB Trading at:
MB Trading
Attn: Cashiering Department
1926 East Maple Ave
El Segundo, CA 90245
Can I transfer my existing brokerage account to MB Trading?
You can transfer a securities account to MB Trading by ACAT (Automated Customer Account Transfer) or by DTC (Depository Trust Company) transfer. A partial or full ACAT can be used to close an account and/or transfer securities and/or cash from one financial institution to your MB Trading account within 7 to 10 business days. A DTC transfer can be used to partially transfer cash and fully paid for securities from one financial institution to your MB Trading account. Please visit our "Deposits" page for details. If you wish to transfer your futures account, you will need to complete the Penson Futures External Transfer form.
What is the difference between a cash account and a margin account?
A cash account is not issued any margin or short selling abilities. A margin account is issued 4:1 intraday and 2:1 overnight buying power as well as the ability to short sell securities. Margin accounts with balances less than $25,000 are limited to three (3) day trades in five (5) business days, whereas cash accounts are limited to their aggregate cash per day. Margin accounts with balances greater than $25,000 have no restriction on the number of trades placed.
Can I fund in currency other than USD?
No, any funds received in other denominations may be returned or subject to additional conversion fees.
Can I transfer open positions from another firm?
Yes, you can transfer a securities account to MB Trading by ACAT (Automated Customer Account Transfer) or by DTC (Depository Trust Company) transfer. Futures positions can be transferred by completing the Penson Futures External Transfer Form.
What types of orders are accepted for futures?
Click HERE for a list of all order types.
Is MB Trading registered?
Yes, MB Trading Futures, is registered as a RFED with the CFTC and a member of NFA.
What is your current commission rate?
Click HERE to view our Fees page.
When is options expiration?
The 3rd Friday of the month
Do you offer weekly options?
Yes
Do you offer options on Index's?
Yes
Do you offer options on Futures?
No
Do you offer options on Forex?
No
Can I use margin to trade options?
No
Can I trade options in an IRA?
Yes, but you can only buy calls, buy puts & covered calls in an IRA.
What happens when I am in the money on an option at expiration?
At expiration, any equity option that is .01 of a point or more in the money will be automatically assigned.
Are there any extra charges to make an option trade over the phone?
There are no additional fee's to make option trades over the phone.
What times do options trade?
Options trade from 9:30 am EST - 4:00 pm EST; Broad based Index options trade until 4:15pm EST.
What is your current commission rate?
Click here to view our Fees page.
Why are my commissions slightly higher on the sell side?
Under Section 31 of the Securities Exchange Act of 1934, Financial Industry Regulatory Authority (FINRA) and national securities exchanges, such as the New York Stock Exchange (NYSE) and the American Stock Exchange (ASE), must pay transaction fees to the Securities Exchange Commission (SEC). Each brokerage firm passes along the fees it collects to FINRA and the exchanges, and these fees are ultimately forwarded to the U.S. Treasury. SEC fees are only assessed when you sell a stock. Click for more details.
Am I charged a new commission every time I cancel an order?
No, your commission costs is based on the quantity of contracts filled. Even if an order is partially filled, you can use our change feature order ("cancel/replace") to modify the order's price and/or size, without incurring an additional commission per day.
Am I charged a new commission for each partial fill?
No, we do not charge you on a per ticket basis, your commission costs is based on the quantity of contracts filled.
What is the fastest way to open an account?
The fastest way to open an account is by filling out an application online. You will be guided through a series of forms appropriate for the type of account you choose to open. You will be assigned an account number immediately. Once your account is approved you will be sent a welcome e-mail & then can fund your account. Once the account is funded you can begin trading.
What is the minimum amount required to open an account?
You can open a cash account with just $1,000 and a margin account with $2,000
What is the difference between a cash account and a margin account?
A cash account is not issued any margin or short selling abilities. A margin account is issued 4:1 intraday and 2:1 overnight buying power as well as the ability to short sell securities. Margin accounts with balances less than $25,000 are limited to three (3) day trades in five (5) business days, whereas cash accounts are limited to their aggregate cash per day. Margin accounts with balances greater than $25,000 have no restriction on the number of trades placed.
How do I fund my account?
You can fund your account by ACH, check, wire, or ACAT or DTC transfer of securities. Please visit our "Deposits" page for details.
Where can I send my funding check?
Please make checks payable to our clearing firm, "Penson Financial Services" include your 8 digit MB Trading account number (start with number 7xxxxxxx) in the memo field, and mail the check to MB Trading at:
MB Trading
1926 East Maple Ave
El Segundo, CA 90245
*Checks not made payable to MB Trading or any other party other then Penson Financial Services will be returned.
Can I transfer my existing brokerage account to MB Trading?
You can transfer an account to MB Trading by ACAT (Automated Customer Account Transfer) or by DTC (Depository Trust Company) transfer. An ACAT can be used to fund an account and/or transfer securities and/or cash from one financial institution to your MB Trading account. A DTC transfer can be used to transfer a partial account from one financial institution to your MB Trading account. Please visit our "Deposits" page for details.
Can I trade before and/or after normal market hours?
Yes, MB Trading offers extended hours trading from 7:30am to 8:00pm EST.
Does MBT provide any instructional material for the MBT Desktop or the rest of its platforms?
Yes, we offer a wide variety of education on all of our platforms and products, including free seminars on our MBT World website and tutorials on the Options page of MBTrading.com.
Who Is MB Trading?
MB Trading is a direct access brokerage firm that develops and markets sophisticated yet simple-to-use direct access trading technology to online investors, institutions, and qualified destinations. Using a proprietary order routing system called MBTX the company allows investors to bypass the middleman and trade directly to the NASDAQ, NYSE and AMEX markets, as well as offers direct access executions in the futures and options arena. In addition, MB Trading Futures, the registered Retail Foreign Exchange dealer (RFED), offers customers direct access to a plethora of qualified destinations of liquidity in the Forex markets without the usual burdens of a deal desk.
When Was MB Trading Started?
Based in El Segundo, California, MB Trading was founded in 1999 by CEO Ross Ditlove and a veteran management team with years of experience in the brokerage and technology industries.
Why Was MB Trading Created?
The progressive management team sensed a growing frustration among active online traders of traditional web-based brokers because of delays in trade executions, frequent system failures, and poor customer support. To provide better service, MB Trading built a company that provides high-end technology products encompassing fast executions, the flexibility of either low or no commissions and unmatched customer service.
What is MB Trading's Mission?
MB Trading not only prides itself on providing high-quality technology to their customers, but also places tremendous importance on live customer service. Some online brokerages leave customers waiting on hold for service or require their customers to send questions via email, but MB Trading offers round the clock support, education, and training throughout the trading week via phone, live on-line chat, e-mail, and Skype. The phones are staffed with knowledgeable representatives and information technology specialists, so investors can get their questions answered immediately. With the launch of MBT World, the company seeks to raise the bar in round-the-clock customer support.
What exactly do you offer?
MB Trading offers several platforms to meet your trading needs: MBT Desktop/Desktop Pro, MetaTrader 4, MBT Web, MBT WebLite and MBT Mobile. These platforms offer professional level direct access trading system for NASDAQ, NYSE and AMEX securities, Forex, options, and e-mini futures.
The MBT Desktop seamlessly integrates into some of the industry's leading quote applications, including QCharts, and eSignal, providing a complete and advanced online trading system. We offer real time comprehensive support via our internet based chat room and a fully staffed Trade Desk that is available from 7:30am to 8:00pm EST. We are confident that you will not find a more reliable, convenient, and efficient trading platform.
How does your technology differ from other online brokers?
Our trading platforms directly access the markets for quicker trades and lower costs. Your trade isn’t delayed by being routed to us before we send it to the market. We don’t like to call ourselves a discount broker, just a more efficient and effective one.
How does your service differ from other online brokers?
With MB Trading, your orders are sent directly to the exchange or marketplace for your asset class for fast executions, with some of the lowest trading costs available. In contrast, most traditional online brokers route your orders to the broker who then places the order for you, thereby raising your trading costs and slowing down the order process. Additionally, we have customer service professionals on staff 24 hours a day during the trading week (Sunday 5 p.m. EST – Friday 5 p.m. EST) to assist you with software and trading needs.
Is MB Trading a public company?
No, MB Trading and MB Trading Forex are privately held companies.
Have you won any awards?
We have won several awards over the years. We were recently given a top Online Broker rating (4.5 of 5 stars) from Barron’s and were also top ranked for trade experience, trading technology, usability, research amenities, portfolio analysis and reports, and customer service and education. We have had top rankings from Barron’s since 2005!
We received a 2011 award from IB Times for Best Forex Execution, with Excellence Awards for North American Forex Broker, ECN Forex Broker, and Mobile Forex Broker. Additionally, Stockbrokers.com called us “The broker with the cheapest Forex trading” in 2011.