What would you Like to Know?

How Do You Charge for Partial Fills?

When an Any Part order is placed and the order is filled in more than one portion throughout the day, only 1 commission is charged. If a Good Through Any Part order is placed and the order is filled in more than one portion over several days, 1 commission per day is charged.

Example:

If the order was filled in 3 parts and 2 were on the day the order was placed and the 3rd was on the following day, 2 commissions are charged. If a client places two separate orders through the same channel for the same stock on the same side of the market on the same day, 2 commissions are charged. If a client places a market order online to buy 200 RY at market in the morning and then places another order online to buy 400 more RY at a limit price and gets filled on that order in the afternoon, 2 commissions are charged.

What Are Fast Markets?

The term fast market is used when a stock or a group of stocks are subject to wide price fluctuations and heavy volume. A fast market can result from a sudden demand to buy or sell shares in a particular company or sector due to rumours, news, earnings announcements, or Initial Public Offerings. In addition, the morning market opening can be a very volatile time because the exchanges are executing orders investors have placed since the marked closed the day before.

As an investor, you must understand the risks associated with fast markets and the steps you can take to protect yourself from them. There are three main risks to be aware of:

Price quotes may not be accurate

In a fast market, the price of a stock may move so rapidly that even real time quotes are inaccurate by the time they are communicated from the exchange to investors. By the time the quote reaches investors, the stock may be trading at a much higher or lower price.

Market order execution prices may differ from your quote

If you place a market order in a fast market after viewing a real time quote, the stock may have already risen or fallen by a considerable margin by the time your order reaches the exchange. The quote you received may be more of an indication of what has already happened in the market than an indication of the trade execution price you will receive. In the short time between when your order is placed and when it is executed, other orders already on their way to the exchange can affect the stock price.

It is safer to place a limit order instead of a market order. In other words, place a limit buy order for the maximum price that you would be willing to buy the stock atm or a limit sell order for the minimum price you would be willing to sell the stock for. This will protect you from getting filled at an unacceptable price. This will not stop you from getting the best available price once your order reaches the exchange.

Delays in trade executions and/or trade reports

There may also be delays in trade execution and/or trade reports due to the sheer volume of trades being processed in a fast market. To avoid creating duplicate orders, you should consider these delays and the chance that your order has already been executed but not yet reported before you change or cancel your order multiple times.

It is also important to understand that during a fast market, it is possible that your order may be filled during the day but not reported until after the market has closed.

When Can I Use Transferred Funds?

Funds transferred to your RBC Direct Investing account online will be available immediately when the request is made between 4:01 a.m. and 7:54 p.m. ET, seven days a week. If the transfer is requested after 7:54 p.m. the funds will be available in your RBC Direct Investing account by 4:01 a.m. This applies to cash investment, margin, RSP and TFSA accounts.

Funds transferred online from your RBC Direct Investing account will be available immediately when the request is made between 9:00 a.m. and 4:30 p.m. Monday to Friday (except holidays). If the transfer is requested outside these hours, the funds will be available in your RBC Royal Bank account by 9:00 a.m. the next business day. This applies to cash investment and margin accounts only.

For other funds transfer questions, please speak with an investment services representative.

What are the Most Common Reasons for Rejections?

Insufficient Funds/Margin

All orders for stocks, options, mutual funds and fixed income are settled directly to or from your RBC Direct Investing account. Your RBC Direct Investing account must be in good standing. There must be sufficient funds, excess margin available or a confirmed sale transaction in your RBC Direct Investing account to cover the purchase transaction.

Inadequate Position

When placing an order to sell, verify that you hold sufficient shares to sell and that these shares are held in the account selected in the Account # field.

If there is an existing open order to sell a security and a subsequent order to sell is submitted such that the total number of shares exceeds the number of shares held, the subsequent order will not be accepted.

Please verify your account holdings (by checking your ‘positions’) and order status before placing any equity sell orders.

Can You Provide Some Online Trading Tips?