Give me 4 minutes and I'll tell you.
Our commissions are lower than almost any other broker1.
Even more important, our execution prices are better2 than most other brokers'.
How do I know? For the past two years we have been publishing our monthly metrics that demonstrate that our customers' all-in, execution cost is around 0.8 basis points, or 8 cents per $1,000. This includes all third-party fees, commissions and market impact. I assure you, if there were another broker whose execution stats were anywhere near as good as Interactive Brokers, they would have published them by now.
The interest we charge on margin loans is less than half as much as what other brokers charge3.
Unlike most other brokers, we pay interest4 on overnight cash you have in your brokerage account above $10,000 if the value of all assets in your account exceeds $100,000. We pay substantially more interest than most banks pay on similar deposits.
If you sell stocks short, we pay you interest on the short proceeds and if you allow us to lend out your fully paid shares, we share with you any interest we earn on them, 50/50, letting you generate extra yield on your long stock portfolios5.
If you want to borrow money against the securities in your account, you can borrow at less than 2.5% to as low as 1.41%6. How do you borrow? Withdraw money or just use your Interactive Brokers Debit Mastercard for any expense7 for purchasing a car or just a cup of coffee. We pay better interest rates to clients and charge less to borrowers than anyone we know in the banking or brokerage industry8.
All the software we have built in the past 20 years -- the order types and trading algos, account management, research, risk analytics, performance reporting, portfolio modeling and rebalancing tools – are all available to our customers free of any extra charge.
If you do not want to manage your money yourself, many qualified independent Investment Advisors and Hedge Funds9 have chosen to be listed on our Investors' Marketplace and would be happy to help you manage your assets on our platform.
If you just want a reliable and inexpensive manager, look at Interactive Brokers Asset Management Smart Beta Portfolios for an automated solution that will actively manage your investments at an annual cost of 8 basis points.
You can open and fund an Interactive Brokers account in any one of 23 different currencies, and you can buy and sell assets on over 120 trading venues around the world.
Interactive Brokers is truly a global money management platform.
If you have heard that Interactive Brokers is the fastest growing broker and you were wondering why, now you know the answer.
Transfer your account to Interactive Brokers and expect your finances to start improving the next day.10