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At Interactive Brokers, we are committed to providing our clients with the best trading experience possible. Founded in 1978, we have grown to become one of the largest electronic brokers in the world, offering a wide range of products and services to clients in over 200 countries and territories. Our mission is to provide traders and investors with access to global markets and the tools they need to succeed.
Our trading platform is designed to be powerful and user-friendly, providing clients with access to over 135 markets in 33 countries and 23 currencies. We offer a wide range of order types and algorithms to help clients execute their trades quickly and efficiently, and our pricing and commissions are among the lowest in the industry. In addition, we provide clients with access to a wide range of research and market data to help them make informed trading decisions.
Key Takeaways
- Interactive Brokers is a leading electronic broker that offers a wide range of products and services to clients in over 200 countries and territories.
- Our trading platform provides clients with access to over 135 markets in 33 countries and 23 currencies, and our pricing and commissions are among the lowest in the industry.
- We provide clients with access to a wide range of research and market data to help them make informed trading decisions.
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Trading Platform
Our trading platform is designed to provide traders with a comprehensive and intuitive trading experience. We offer a variety of trading platforms to suit different trading styles and needs. Our Trader Workstation (TWS) is a powerful and customizable platform that provides direct access to the markets. It is designed for experienced traders who require advanced trading tools and features.
TWS provides access to over 135 markets in 33 countries, with a wide range of asset classes including stocks, options, futures, currencies, bonds, and more. It also offers advanced trading tools such as real-time market data, advanced order types, and risk management tools. TWS is available for desktop, mobile, and web-based platforms.
In addition to TWS, we offer a variety of other trading platforms to suit different trading styles and needs. Our web-based platform is designed for traders who prefer a simple and intuitive trading experience. It offers real-time market data, advanced charting tools, and is accessible from any device with an internet connection.
We also offer third-party trading platforms such as Trading Technologies, which is a popular platform among professional traders. It offers advanced order routing and execution tools, real-time market data, and customizable trading screens.
Overall, our trading platforms offer a comprehensive and intuitive trading experience for traders of all levels. We provide access to a wide range of markets and asset classes, advanced trading tools, and customizable platforms to suit different trading styles and needs.
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Products and Services
At Interactive Brokers, we offer a wide range of investment products and services to help our clients achieve their financial goals. Our platform allows you to trade stocks, futures, bonds, currencies, funds, ETFs, and mutual funds from a single account.
We provide access to over 135 markets in 33 countries, which means you can trade on a global scale. Our trading platform is designed to be user-friendly and offers advanced trading tools to help you make informed decisions. We also offer low commissions, starting at $0, with no added spreads, ticket charges, platform fees, or account minimums.
Our investment products include:
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Stocks: We offer access to a wide range of stocks, including those listed on major exchanges such as the NYSE, NASDAQ, and LSE.
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Futures: We provide access to futures contracts on a variety of assets, including commodities, currencies, and indices.
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Bonds: We offer access to a range of bonds, including government, corporate, and municipal bonds.
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Currencies: We provide access to over 100 currency pairs, including majors, minors, and exotics.
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Funds: We offer access to a wide range of funds, including mutual funds and exchange-traded funds (ETFs).
Our platform also provides access to a range of trading tools and resources, including real-time market data, research reports, and trading signals. We also provide access to educational resources to help you improve your trading skills.
Overall, our platform is designed to provide our clients with access to a wide range of investment products and services, as well as the tools and resources they need to make informed trading decisions.
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Order Types and Algorithms
At Interactive Brokers, we offer our IBKR Pro Clients using Trader Workstation access to over 100 Order Types and Algorithms to help limit risk, speed execution, provide price improvement, allow privacy, and execute a wide variety of trading strategies.
Order types are directions that get paired with an order that tell the trading venue how to handle that order, namely the constraints that govern how that order can be paired with another to execute a trade. Trader Workstation (TWS) supports over 50 order types, from the most basic limit order to advanced trading to the most complex algorithmic trading. Traders can quickly create and transmit orders directly from the TWS Quote Monitor.
Some of the most popular order types at Interactive Brokers include:
- Market Orders: an order to buy or sell at the best available price.
- Limit Orders: an order to buy or sell at a specified price or better.
- Stop Orders: an order to buy or sell when the market reaches a specified price, known as the stop price.
- Stop-Limit Orders: an order to buy or sell at a specified price or better, once the market reaches a specified stop price.
- Trailing Stop Orders: an order to buy or sell when the market price moves in a favorable direction, but automatically adjusts when the market price moves in an unfavorable direction.
Algorithmic trading, also known as algo trading, is the use of computer programs to automate the process of buying and selling securities. At Interactive Brokers, we offer Third Party Algos, which are algorithms developed by independent third-party vendors, as well as our own IBKR Order Types and Algos. These algorithms can help traders execute complex trading strategies, such as statistical arbitrage, trend following, and mean reversion.
In conclusion, Interactive Brokers offers a wide variety of Order Types and Algorithms to help traders execute their trading strategies with speed, efficiency, and precision. From basic market and limit orders to advanced algorithmic trading, our platform has something for everyone.
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Pricing and Commissions
At Interactive Brokers, we offer low commissions on products across 150 global markets. We do not add spreads, ticket charges, platform fees, or account minimums. Our commissions are tiered, meaning the more you trade, the lower your commission rate.
For U.S. markets, our IBKR Lite account offers commission-free trading for stocks and ETFs for U.S. residents only. For those who require more advanced trading tools, our IBKR Pro account offers a tiered commission structure for stocks, options, futures, futures options, SSFs, spot currencies, metals, fixed income, and mutual funds.
Our commission rates are among the lowest in the industry, making us a cost-effective choice for active traders. Our commission rates for stocks and ETFs on IBKR Pro start at $0.005 per share, with a minimum commission of $1.00 per trade. For options, our commission rates start at $0.25 per contract, with a minimum commission of $1.00 per trade.
At Interactive Brokers, we also offer competitive margin rates. Our margin rates start as low as 0.75% for IBKR Pro accounts and 2.55% for IBKR Lite accounts.
Overall, our low commissions and competitive margin rates make us a cost-effective choice for traders of all levels.
Research and Market Data
At Interactive Brokers, we understand the importance of reliable and timely market data and research for making informed investment decisions. That’s why we offer our clients access to dozens of free and premium market research and news providers.
Our clients can access real-time, comprehensive news, research, fundamentals, and market data from over 100 markets worldwide, all from a single account. We offer a wide range of market data and research subscription packages that cater to different needs and budgets.
Subscription fees are assessed based on the number of users subscribed to the service on an account, and they are charged beginning on the day of subscription and the first business day of each subsequent month for as long as the services are active.
In addition, our clients can customize their market data subscriptions by selecting the specific exchanges, regions, and data types they require. We offer a range of data types, including real-time, delayed, and historical data, as well as options and futures data.
Our research and news providers include some of the most respected names in the industry, such as Bloomberg, Dow Jones, Morningstar, and Zacks. We also offer research and news services from a variety of specialized providers, such as Bespoke Investment Group, Ned Davis Research, and The Hightower Report.
Overall, our goal is to provide our clients with the most comprehensive and reliable market data and research available, so they can make informed investment decisions with confidence.
Account Management
At Interactive Brokers, we pride ourselves on having a comprehensive and user-friendly account management system. Our client portal is a one-stop resource for all your trading needs. From checking quotes to reviewing global market data and news, monitoring account balances, and managing account information, all can be done from the client portal.
One of the key features of our account management system is the ability to fund your account easily. We offer a variety of funding options, including wire transfers, ACH, and online bill payment. Our funding process is fast, secure, and hassle-free, ensuring that you can start trading as soon as possible.
Comprehensive reporting is another important aspect of our account management system. Our reporting tools provide detailed information on your account activity, including trade confirmations, account statements, and tax statements. You can access these reports through our client portal, and they are available in multiple formats, including PDF and CSV.
Our reporting tools are designed to help you keep track of your trading activity and make informed decisions. We provide real-time updates on your account balance, margin requirements, and open positions, so you can stay on top of your investments.
In summary, our account management system at Interactive Brokers is designed to provide you with all the tools you need to manage your trading activity effectively. From our client portal to our funding options and comprehensive reporting tools, we are confident that you will find our system to be user-friendly, reliable, and secure.
Risk Management
At Interactive Brokers, we take risk management seriously. We understand that managing risk is an essential aspect of trading and investing. That’s why we offer a range of tools and services to help you manage your risk exposure effectively.
One of the key tools we offer is the IB Risk Navigator. It’s a real-time market-risk management platform that provides a comprehensive measure of risk exposure across multiple asset classes around the globe. The easy-to-read spreadsheet-like interface lets you quickly identify exposure to risk starting at the portfolio level, with drill-down access into successively deeper levels of detail. With the IB Risk Navigator, you can manage your risk exposure proactively, identify potential areas of concern, and take corrective action before it’s too late.
In addition to the IB Risk Navigator, we also offer pre-trade compliance and real-time monitoring to provide a comprehensive measure of risk exposure. Our compliance team ensures that you are always trading within the regulatory framework and that your trades are executed in compliance with the rules and regulations of the relevant authorities.
At Interactive Brokers, we understand that market-risk management is an essential aspect of trading and investing. That’s why we invest your cash in very short-term government securities maturing in a few months. As they mature, we continuously roll them forward into freshly issued securities. This approach helps us minimize the risk exposure of your cash holdings while providing you with a high level of liquidity.
Overall, we take a conservative and prudent approach to risk management, which helps keep your assets safe. With our range of tools and services, you can manage your risk exposure effectively and trade with confidence.
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Global Investing
At Interactive Brokers, we believe in the power of global investing. With access to 150 markets across 33 countries, we provide a gateway to the world’s markets. Our platform allows you to trade seamlessly in multiple currencies, giving you the flexibility to invest in companies and assets around the world.
One of the advantages of global investing is the ability to diversify your portfolio. By investing in different markets, you can spread your risk and potentially increase your returns. With Interactive Brokers, you can easily access a wide range of securities, including stocks, options, futures, currencies, commodities, fixed income, funds, and ETFs from an Integrated Investment Account.
Our platform also provides 24/6 market data access, so you can stay up-to-date on the latest market trends and make informed investment decisions. Whether you’re a seasoned investor or just starting out, our intuitive trading platform makes it easy to invest globally.
Another benefit of global investing is the opportunity to take advantage of emerging markets. As economies around the world continue to grow, there are many opportunities to invest in companies and industries that may not be available in your home country. With Interactive Brokers, you can easily access these markets and take advantage of these opportunities.
In conclusion, global investing with Interactive Brokers provides access to 150 markets across 33 countries, making it a gateway to the world’s markets. With our platform, you can easily diversify your portfolio, take advantage of emerging markets, and trade seamlessly in multiple currencies.
Additional Services
At Interactive Brokers, we offer a variety of additional services to enhance your trading experience. Here are some of the services we offer:
Interactive Brokers Debit Mastercard
We offer a debit Mastercard that allows you to access your account funds at any ATM or point of sale that accepts Mastercard. You can also use the card to make purchases online or over the phone. The card is linked directly to your account, so you can easily manage your funds and track your spending.
Overnight Trading Hours
We offer overnight trading hours for select markets, which allows you to trade outside of normal market hours. This can be especially useful if you have a busy schedule during the day or if you want to take advantage of market movements that occur outside of regular trading hours.
Interactive Advisors
Interactive Advisors is our automated investing service that provides you with a professionally managed portfolio based on your investment goals and risk tolerance. You can choose from a variety of investment strategies, including socially responsible investing, and have access to a team of experienced investment professionals.
Impact Dashboard
Our Impact Dashboard is a tool that allows you to track the environmental, social, and governance (ESG) impact of your investments. You can see how your investments align with your values and make informed decisions about your portfolio.
Fixed Income
We offer a wide range of fixed income products, including bonds, treasuries, and CDs. Our fixed income specialists can help you navigate the complex fixed income market and find the right products for your investment goals.
Overall, we strive to provide our clients with a comprehensive suite of services to help them achieve their investment goals. From our debit Mastercard to our Impact Dashboard, we are committed to providing innovative solutions that meet the needs of our clients.
Frequently Asked Questions
How can I contact Interactive Brokers?
If you need to contact Interactive Brokers, you can reach out to them through their website’s Contact Us page. You can also call them at their toll-free number listed on their website. Additionally, they have a Live Chat feature available on their website, where you can chat with a representative.
What is the minimum deposit required to open an account with Interactive Brokers?
The minimum deposit required to open an account with Interactive Brokers is $0. However, some accounts may require a minimum deposit of $2,000 or more, depending on the account type.
Are the fees charged by Interactive Brokers high compared to other brokers?
Interactive Brokers is known for having low fees compared to other brokers. They offer competitive pricing for trades and have a transparent fee structure. However, it’s important to note that fees can vary depending on the type of account and the type of trade.
Is Interactive Brokers a good broker for beginners?
Interactive Brokers is a good broker for experienced traders, but it may not be the best choice for beginners. Their platform can be complex and overwhelming for those who are new to trading. However, they do offer educational resources and a paper trading account for beginners to practice with.
Is Interactive Brokers considered a safe broker?
Interactive Brokers is considered a safe broker as they are regulated by multiple financial authorities around the world. They also have a strong reputation in the industry and have been in business for over 40 years.
What are the interest rates offered by Interactive Brokers?
Interactive Brokers offers competitive interest rates on cash balances held in their accounts. The interest rate varies depending on the currency and the amount held in the account. You can find more information on their website’s Interest Schedule page.
