I'm lucky enough to have $5m of a large-cap, liquid stock that I want to sell off and diversify over the new few weeks, mostly into boring ETFs like VTI and VXUS.
What is the optimal order execution strategy for these larger trades?
My rationale brain says that stock markets are theoretically efficient so I should just place market orders, and not even look at the current price or even whether the market is open (i'm usually busy when the market is open).
My paranoid brain says that there are day traders and HFT algorithms out there taking advantage of lazy & large traders like me, and that I should be doing something more sophisticated, at the least a limit order or using something to split the order up?
Is there a consensus on the best way to execute large orders that must eventually go through? Ideally something I can set up at night-time and needs zero baby-sitting during market hours?
I have already set up an Interactive Brokers account and moved my shares into it.
Submitted March 27, 2017 at 01:22AM by throwaway_trader66 http://ift.tt/2nr3bE4
