Best Execution

Best Execution

Many investors focus mainly on picking the right stocks and believe that paying a slightly higher price doesn’t make much difference. While choosing good investments is crucial, the small extra costs from poor order execution can add up significantly over time and impact your portfolio’s performance. For large, liquid stocks, these costs are usually tiny fractions of a percent per trade, but for less liquid stocks, they can reach 1% or more.

Today’s financial markets are complex and fragmented. In the US, a single stock can trade on over 50 different venues, including stock exchanges, multilateral trading facilities (MTFs), and dark pools. Europe is seeing the same trend. While some stocks, like Polish or Bulgarian shares, typically trade on just one exchange, bigger markets list the same stock across multiple platforms, all settling through the same central depository.

So, how can you be sure your broker sends your order to the venue that offers you the best price or execution? At Intercapital Markets, we partner exclusively with brokers who prioritize our clients’ interests by acting solely as agents, never trading against them. For international stocks, we route orders through Neonet, a Stockholm-based broker specialising in Best Execution across European and US markets. Neonet leverages advanced, continuously updated technology to ensure your trades are executed on the best possible terms.