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Money games for kids
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We live in a world accustomed to immediate gratification. When Web users click on "submit," they expect an immediate reaction. Similarly, when traders enter an order, they expect a response upon execution. A common problem has been investors entering an order, waiting beyond their patience threshold for a confirmation and ultimately trying to cancel the order. However, fast execution and the receipt of a time-stamped confirmation are entirely different things. The Process: After our trader hits the "submit" button, the order moves to the execution agent or "the market." Execution of market orders occurs almost instantaneously, but the subsequent execution report or "confirmation" can create a lag. Orders are processed at a physical or virtual desk where executions enjoy priority status and confirmations come second. Hence, after submitting a trade, a trader might be forced to wait in a state of apoplectic anxiety for a confirmation - despite the fact that the order has already been executed. Herein lies the problem: Troubled investors often attempt to cancel executed orders. Execution speed is measured by the time stamp on the confirmation, not necessarily by the receipt of the confirmation itself. The stamp shows the time of submission and the time of execution. Canceling orders as the market moves seemingly under your feet only confuses the issue. In fact, you effectively can't cancel market orders once submitted. The challenge for brokers and execution agents is to deliver a better reporting system that allays investor anxiety. In the mean time, make sure you're entering what you want and sit tight. Canceling and re-entering orders will only create headaches. If the time stamp does reflect an egregiously slow or erroneous execution, then you've got a legitimate beef.Do you have a time or money saving idea that wasn't included in this article? Please send it to tips @stretcher.com. We get the best ideas from our readers!
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