Interactive Brokers Investment Account
What services do Interactive Brokers offer?
For individual platforms, Interactive brokers offer two accounts, IBKR Lite and IBKR Pro.
Unlike other brokers with separate bank accounts in which you have to transfer cash back and forth, IBKR’s cash management is integrated into your broker account. This means that you can borrow at low rates without first transferring cash.
IBKR Lite
IBKR Lite is designed for the less active trader, it offers a simplified trading experience for retail clients with $0 commissions on US listed stock and ETF trades, no account minimums and no inactivity fees. This account offers no commission fee on US listed Stocks and ETFs, fixed pricing for others stocks/ETFs, Options, Futures, Mutual Funds and tiered pricing for forex and bonds. It offers $0 as a minimum balance and $0 for maintenance fees.
IBKR Pro
IBKR Pro is the IBKR Plan for sophisticated investors and active traders. IBKR Pro clients access the IB SmartRouting system, which provides $0.47 per 100 shares price improvement vs. the industry. This account offers fixed or tiered pricing on US listed Stocks and ETFs, others stocks/ETFs, Options, Futures, Managed Funds and tiered pricing for forex and bonds. It offers $0 as a minimum balance and up to $10USD per month (less commission paid that month) for maintenance fees.
What trading fees do Interactive Brokers charge?
At the time of writing, Interactive Brokers charges based on your account type and trading behaviour which may suit a more advanced investor.
Brokerage on IBKR Lite
$0 Commissions charged
Trading fees for Australia shares:
0.08% of trade value for the first $3,000,000
0.05% for a trade between $3,000,000 – $30,000,000
0.03% for a trade between $30,000,000 – $100,000,000
0.025% for a trade between $100,000,000 – $300,000,000
0.015% for a trade above > $300,000,000
BKR Pro:
Stocks and ETFs – $0.0005 – $0.0035 per share (plus exchange, regulatory clearing & transaction fees)
Options – $0.15 – $0.65 per contract (plus exchange, regulatory clearing & transaction fees)
Futures – $0.25 – $0.85 per contract (plus exchange, regulatory & carrying fees)
Currencies – they deliver price quotes in 1/10 of a PIP
What products can I invest in using Interactive Brokers?
At the time of writing, Interactive Brokers allows customers to invest in:
- Australian shares
- International shares
- Exchange traded funds
- Options
- Futures
- Bonds
- Forex
- mFunds
Is the market data provided by Interactive Brokers dynamic, real-time, or delayed?
Interactive Brokers provides real-time trade confirmations, margin details, transaction cost analysis and sophisticated portfolio management. These are available across all mediums on desktop, mobile and web.
What reporting tools are offered by Interactive Brokers?
Interactive Brokers provides free trading tools to help you spot market opportunities, analyse results, manage your account and make better informed decisions. They have a tool called Portfolio Analyst which allows you to consolidate, track and analyse your complete financial performance. You can link your investment, checking, savings, annuity, incentive plan and credit card accounts to understand your current financial state and plan for the future.
How is Interactive Brokers’ platform secured?
Interactive Brokers is secured with encrypted communications for sensitive client data. Usernames and passwords are encrypted with Triple Data Encryption Standards (3DES) and nCipher hardware encryption. Data in transit is encrypted using TLS1.2 protocol.
Related article: The Cheapest Share Trading Platforms in Australia
Do Interactive Brokers have a mobile app you can trade from?
Yes, Interactive Brokers offers a mobile app to traders. Using the mobile app, you can buy, sell and trade shares and you can also receive set notifications to your Apple Watch.
Do Interactive Brokers have customer support services available?
Interactive Brokers has a comprehensive range of support options available. Their website has 15 FAQs that should get you started on your investing journey. Should you need further support, they have a 24-hour phone customer service each business day, live online chat room, and option to email or fax them. They also have a community platform for you to discuss any platform feature with other traders.
About Interactive Brokers
Interactive Brokers Group, Inc. was founded by its Chairman Thomas Peterffy. Over the last 43 years, it has grown internally to become one of the premier securities firms with over $9 billion in equity capital. Interactive Brokers conducts its broker/dealer business on over 135 market destinations worldwide.
Compare Online Share Trading Accounts with Canstar
If you’re comparing online share trading companies, the comparison table below displays some of the companies available on Canstar’s database with links to providers’ websites. The information displayed is based on an average of six trades per month. Please note the table is sorted by Star Rating (highest to lowest), followed by provider name (alphabetical). Use Canstar’s Online Share Trading comparison selector to view a wider range of online share trading companies. Canstar may earn a fee for referrals.
