IB Information
IB, or Interactive Brokers, is a discount brokerage firm founded in the United States in 1978. It is headquartered in Greenwich, Connecticut, and has offices in several other countries, including the United Kingdom, Hong Kong, and Australia. The company provides electronic brokerage services to individual and institutional clients, offering a range of financial products, including 150 markets including stocks/ETFs, options, futures, spot currencies, bonds, and mutual funds. Interactive Brokers is regulated by several financial authorities, including ASIC (Australia), FCA (UK), FSA (Japan), SFC (Hong Kong), and CIRO (Canada).
Pros & Cons
Interactive Brokers (IB) has many advantages, including low commissions, access to a wide range of financial products, and a highly customizable trading platform. Additionally, IB is known for its advanced research tools and competitive pricing.
However, complex trading platforms are not suitable for all investors.
Below is a table outlining the pros and cons of Interactive Brokers (IB):
Note: This table is based on general observations and may not represent the experience of every individual user.
Is IB Legit?
Interactive Brokers is a well-established and reputable broker. The company is publicly traded and regulated by multiple top-tier financial authorities around the world, including ASIC (Australia), FCA (UK), FSA (Japan), SFC (Hong Kong), and CIRO (Canada).
Furthermore, the broker has a long history of providing high-quality services to its clients, with a track record of financial stability and reliability. Therefore, based on these factors, it can be concluded that IB is a legitimate broker.
How Are You Protected?
Interactive Brokers (IB) provides a range of security measures to protect its clients' funds and personal information. Some of the key security measures include:
It's important to note that while no investment platform can completely eliminate risk, IB's measures are designed to mitigate risk and protect its clients as much as possible.
Our Conclusion on IB Reliability:
Based on the information provided, Interactive Brokers is a reliable broker with a strong focus on client protection and security measures. It is regulated by multiple authorities and has a history of being in the industry for several decades.
Market Instruments
IB offers 150 markets across multiple asset classes, including:
- Stocks: IB provides access to over 135 markets and 35 countries, with more than 9,000 stocks available to trade.
- Options: IB offers options trading across a variety of markets, including stocks, indices, and futures.
- Futures: IB offers futures trading on over 70 global markets, including indices, commodities, and currencies.
- Forex: IB provides access to forex trading in over 100 currency pairs.
- Bonds: IB offers trading in bonds, including corporate, municipal, and government bonds.
- Funds: IB offers trading in funds from over 250 fund families.
Account Types
Interactive Brokers (IB) offers various types of accounts for different trading needs, including Individual, Joint, Retirement, Trust, Family, and Institutional accounts.
Margin & Leverage
While the margin rates that IB offers are the same for all customers, local regulators may impose different or higher rates. Regulatory requirements for margin deposits in a given jurisdiction will take precedence over those set by the IB if they are greater.
And since high-risk leverage is regulated differently in different countries, your ability to use it will vary based on the trading instrument you use and the law where you live. As a result, IB provides a convenient online tool to let you quickly and easily view all applicable margins, allowing you to select the optimal trading conditions.
For customers who come under the jurisdiction of the Australian Securities and Investments Commission (ASIC), the maximum leverage available on Forex trades is 1:400.
It is important to keep in mind that the greater the leverage, the greater the risk of losing your deposited capital. The use of leverage can both work in your favour and against you.
Spreads & Commissions
Spreads:
- Forex: IB offers competitive spreads on major forex pairs, with typical spreads ranging from 0.1 to 0.3 pips for EUR/USD, 0.1 to 0.6 pips for USD/JPY, and 0.3 to 0.7 pips for GBP/USD.
- Stocks: IB offers tiered pricing for stocks, with spreads ranging from $0.0035 to $0.01 per share, depending on monthly volume. For example, the spread for a trade of 100 shares of Apple (AAPL) would be $0.35 to $1.00, depending on the monthly volume.
- Options: IB offers competitive spreads on options, with typical spreads ranging from $0.10 to $0.30 per contract for major options.
Commissions:
A tiered commission of $0.0035 per share for a monthly volume of fewer than 300,000 shares, $0.002 per share for a monthly volume of 300,001-3,000,000 shares, $0.0015 per share for a monthly volume of 3,000,001-20,000,000 shares, and $0.0015 per share for a monthly volume of 20,000,000 shares. $0.001 per share for a monthly volume of 20,000,001-100,000,000 shares and $0.0005 per share for a monthly volume of 100,000,000 shares or more. The minimum commission is $0.35, and the maximum commission is 1% of the trading volume. The commission for metals trading is 0.15 basic points of the volume, with a minimum of $2.
Trading Platforms
IBKR GlobalTrader, Client Portal, IBKR Mobile, Trader Workstation (TWS), IBKR APIs, IBKR Event Trader, and IMPACT are different trading platforms and tools offered by Interactive Brokers (IB) to its clients.
- IBKR GlobalTrader is a web-based platform designed for trading and managing international accounts. It provides access to 125 global markets and 31 countries. It also allows clients to trade in multiple currencies and offers currency conversion at competitive rates.
- Client Portal is a web-based platform that enables clients to manage their accounts, view balances and positions, access research and news, and monitor trading activity. It also provides account management tools such as funding, withdrawals, and statements.
- IBKR Mobile is a mobile application that allows clients to manage their accounts, place trades, and access real-time market data. It is available for both iOS and Android devices.
- Trader Workstation (TWS) is a desktop trading platform that provides advanced trading tools, real-time market data, and research. It is designed for professional traders and investors who require advanced trading capabilities.
- IBKR APIs are a set of programming interfaces that allow clients to integrate their own software and applications with IB's trading systems. This enables clients to automate their trading strategies and access real-time market data.
- IMPACT (Interactive Brokers Market Place and Corporate Technology) is an online marketplace that offers a range of third-party applications and services to clients. These include trading tools, research, analytics, and other resources to enhance trading capabilities.
Overall, IB offers a variety of trading platforms and tools that cater to the needs of different types of traders and investors. These platforms provide access to a wide range of markets and instruments, advanced trading tools, real-time market data, and research resources. Additionally, the IBKR APIs enable clients to customize and automate their trading strategies.
Deposits & Withdrawals
There are several major options for traders to deposit and withdraw funds from their accounts, including bank wire transfers, ACH, BPAY, EFT, online bill payment and more.
Note that the availability of deposit and withdrawal methods may vary depending on your location and account type.
Minimum deposit requirement
The minimum deposit requirement for Interactive Brokers (IB) varies depending on the account type and the location of the account holder. For example, the minimum deposit for a US-based individual account is $0 for IBKR Lite and $0 for IBKR Pro, while for a non-US-based individual account, the minimum deposit is $0 for IBKR Lite and $10,000 for IBKR Pro. However, the minimum deposit for other account types, such as institutional accounts or margin accounts, may be higher.
IB minimum deposit vs other brokers
Education
Interactive Brokers offers a variety of educational resources for traders, including webinars, courses, videos, and articles.
The education section of their website includes topics such as trading basics, options trading, technical analysis, and trading strategies. They also offer a wide range of educational videos on their YouTube channel.
In addition, Interactive Brokers offers a simulated trading account that allows traders to practice trading with virtual funds before risking real money. This is a useful tool for beginners who are learning to trade.
Conclusion
In conclusion, Interactive Brokers is a reputable and reliable broker that offers a wide range of investment products and trading platforms to its clients. The broker is known for its low commission rates and competitive pricing structure, making it a good choice for active traders and investors.
IB also provides a high level of security and protection to its clients, through various measures such as SIPC and excess SIPC insurance, and two-factor authentication. The broker also offers educational resources, customer support, and a variety of account types to meet the needs of different traders.
However, IB may not be the best fit for beginners due to its complex trading platforms and sophisticated tools.
Overall, Interactive Brokers is a good choice for experienced traders and investors who are looking for a reliable broker with low commissions and a wide range of investment products.
Frequently Asked Questions (FAQs)
老李4458
Hong Kong
According to the requirements, I submitted a lot of documents. They froze and closed my account on the grounds that my account was not compliant. I went to withdraw the remaining funds and confirmed the withdrawal over the phone. Until now, customer service, all consultation forms, and emails have not been replied to. It's really disappointing. This is how they treat us Chinese customers on such a big platform.
Exposure
2024-10-18
Thao3542
Vietnam
Fraudulent platform, intentionally not allowing withdrawals. Up to now, I have intentionally locked my account and not allowed me to access it. Currently, this floor has signs of fraud.
Exposure
2024-04-05
Thao3542
Vietnam
I requested to withdraw the deposited money but I couldn't because the floor required a 3-month VIP upgrade. I sent a message to the customer base asking how to withdraw money but was not informed about this issue.
Exposure
2024-04-01
Mayaz Ahmad
Bangladesh
Many clients have complained about the poor customer service of this broker and so their queries remain unanswered by the broker.
Exposure
2024-01-03
FX3453383040
Taiwan
The money in the account can’t be withdrawn, even if it’s delayed, it’s still asked me to pay the different fees. I can’t get the money. It is ok, but I will not give you any penny, and I want to find other people to be victimized by myself. Serious fraud.
Exposure
2022-05-25
有玲♥浅笑
Hong Kong
This forex trading platform operates fake activities to induce customers to participate. After the customer makes profit, they say that they have to pay 20% of the tax and tax must be paid separately and cannot be deducted from the account. I already deposit all my money and there is no more left for paying tax. This regulation was not stated before activities. This is fraud.
Exposure
2021-11-22
FX5944873722
Malaysia
Stay away from it. They rejected my withdrawal of $7000 and ran away.
Exposure
2021-09-23
Rey
Philippines
I beg you all in the name of God, dont ever trade with Interative Brokers. They are worse than the devil… They wont give me my $7000, i worked hard to earn that amount trading almost 24hours, i asked for withdrawal, they begin stupid stories… They claim they are regulated by cysec… Amy Parker one of the top people in interactive option, was with iOption that went bankrupt before, she knows all about this crime they are committing… She ran with people’s money @ iOption… If you have money there, better take out your funds, they wont even give you. and if you know anyone that wants to deposit with this thief broker, advise them not to ever… Because you will be trading for this company and not yourself… you will make money and they wont give you. Devil is nicer than this company, thats how bad they are…
Exposure
2021-09-21
Mayaz Ahmad
Bangladesh
A client has complained about the very poor customer service of this broker and also claimed they do not allow transfer and steals people's money.
Exposure
2021-07-30
自然26950
Hong Kong
Unable to withdraw money, always fail to pass the review, contact them and ignore it
Exposure
2021-01-16
chương
Vietnam
The chart was manipulated. I wanted to make the withdrawal, while IB gave no access to it, suffering huge losses.
Exposure
2020-08-11
↑笔间字迹，续写，，，，
Hong Kong
The platform gives no access to withdrawal with excises including wrong bank information, inadequate credit score and even unpaid individual tax. I have paid all fees, but the withdrawal is still unavailable.
Exposure
2020-01-22
刚63227
Hong Kong
I’ve never encountered with such situation. I don’t know whether it is a scam.
Exposure
2020-01-03
大光
Hong Kong
The withdrawal hasn’t been received yet for 7 days.No one replies to the email.
Exposure
2019-11-16
黑山老妖1
Hong Kong
I have been in this industry for almost 10 years. I have encountered various platforms over the years, each with its own advantages and disadvantages. However, for beginners, there is still a certain threshold in this industry. At least, that's what I think. First of all, you must have a basic understanding of this industry, including indicators, operations, and so on. Secondly, choose a suitable platform. These basic things are extremely important. The best and fastest way is to practice, get hands-on, learn while playing. Time is the best teacher. Speaking of which, since you have come this far, of course, you can imagine that I am currently using the IB platform. Let me share my experience. First of all, it is undeniable that IB has a good reputation, strength, and a relatively large and formal platform. The spreads are also relatively low, and there are some indicator tools that are beginner-friendly, without a doubt. However, there are also obvious disadvantages, such as slow withdrawal and meticulous review, which may make users feel troublesome. But behind the strictness is actually security and reliability, which I strongly believe in. My evaluation is normal.
Neutral
03-11
Daniel324
United Kingdom
I appreciate the advanced trading tools and analytics that IBKR provides. They cater to both professional and retail investors, which I find beneficial. However, I must admit that the complexity of the platform can be overwhelming for beginners.
Neutral
2024-09-05
Huikn
Belarus
After having some recent issues with the Company, they fully redeemed themselves and when it comes to the quality of the service they really are on top of their game. One thing that tis super annoying, however, is that their site keeps crashing. It's been happening for the past week now. For obvious reason, you don't want this to happen to your stocks. I hope they will address this and fix it soon.
Neutral
2024-04-19
FX1161331972
Singapore
When I first set foot in the trading industry, I used Interactive Brokers as a platform. Big platform transactions are very formal. I did not lose money on this platform, but when I traded later, I found that the transaction fees on this platform were getting higher and higher, and the quality of customer service was not very good, so I switched to other platforms.
Neutral
2022-12-15
Ethan1454
United Kingdom
My experiences with IBKR's customer service have been positive. They are efficient and helpful in resolving issues, which adds to my overall satisfaction with the broker.
Positive
2024-09-06
HenryM
United Kingdom
I love that IBKR offers a wealth of educational resources and webinars. They have really helped me improve my trading skills and market understanding, which I consider a notable strength of the platform.
Positive
2024-09-06