Concerns About Fidelity’s International Trade Routing
Summary of User’s Concerns and Solutions Discussed:
- The main problem reported is that Fidelity routes international trade orders to third parties, which poses a significant risk for the user who trades large share sizes in Asian markets.
- A possible solution mentioned is that Fidelity may offer special routing for international trades, albeit with a commission charge. The user is advised to contact the International Trading team for more details.
- The user inquired about portfolio margin and prime brokerage services, which Fidelity confirmed may be available depending on eligibility and recommended further discussion with their Active Trader Services team.
Here’s the full thread
I Spoke to someone at fidelity and they’ve confirmed that fidelity routes their international trade orders to third parties, i’m curious if you can directly route to local ECN’s. Thank you.
I trade large share sizes in Japanese and other asian markets so if Fidelity routes to third parties thats a huge issue for me. I’ve already set up my accounts under my businesses and wired US dollars and converted a large portion to Yen and other currencies and even took a trade on 7974:JP (Nintendo) So if fidelity routes their orders to third parties and theres no way around it that would be a disaster for me.
I like that Fidelity offers services for Ultra High Net Worth Clients but if they route international orders to third parties that exposes me to a lot of risk.
I’m with many other brokers like Morgan Stanley and interactive brokers which offer me prime brokerage services, If fidelity can do something similar to help with order routing that would be great.
If not I’ll need to think of possibly just moving back my capital to interactive brokers even though I like the fact fidelity offers a few markets iBKR does not the risk is too large for me to stick around.
Hey @brian, thanks for stopping by!
So it may be possible to do a special routing for your International trade, but please be aware that there is a commission charge for this process. To discuss your choices in more depth, we recommend working with our International Trading team. They are available through the link below from Monday to Friday, 5:00 a.m. to 7:00 p.m., ET. Make sure to say “international trading” when the system prompts to get routed correctly.
Contact Us: https://www.fidelity.com/customer-service/phone-numbers/overview
Thank you Taylor I will call them. And does fidelity offer portfolio margin and prime brokerage services by chance?
We do offer margin! You can learn more about it below.
Margin Overview: https://www.fidelity.com/trading/margin-loans/overview
Margin FAQs: https://www.fidelity.com/trading/faqs-margin
As far as prime brokerage services, can you tell me more about what you mean/what you’re looking for?
As far as prime brokerage services I would like Execution and clearing
as well as Margin financing. I’ve already gotten my margin rate lowered by quite a large amount so thats no issue but execution and clearing as well as some sort of portfolio margin would work nicely.
Thanks for clarifying! Again, this may be available to you depending on eligibility, so it’s best to have that conversation with our Active Trader Services team. You can reach them through the Contact Us link above, and they’re open from Monday to Friday, 8:00 a.m. to 5:00 p.m., ET.
Perfect.