Important Strength and Security Facts about Interactive Brokers Group (IB)

A Custodian You Can Trust

 

Asset Safety at Interactive Brokers (IB): We take our role as custodian seriously. When you work with IB you can be assured that we follow stringent internal practices and business standards designed to keep client assets safe. Our strong capital position, conservative balance sheet and automated risk controls are designed to protect our clients.

 

• On a consolidated basis, IBG LLC exceeds $10.48 billion in equity capital, over $7.1 billion in excess of regulatory requirements.

• IBG LLC's owners are our public company, Interactive Brokers Group, Inc. (21.8%) and the firm's employees and their affiliates (76.5%). Unlike at most other firms, where management owns a relatively small share, we participate substantially in the downside just as much as in the upside. Because of this vested interest, we run our business conservatively.

• We manage our brokerage and market making businesses in separate companies, which are registered with local securities and/or commodities regulators. We maintain strict systematic and procedural separation between the two business lines and we do not commingle or utilize client-segregated assets for proprietary operations. Although certain affiliates of IBKR trade for their own account, our client-facing businesses do not conduct proprietary trading.

• We hold no material positions in over-the-counter securities or derivatives. We hold no CDOs, MBS or CDS.

• Our positions are marked to market daily and the resulting payables/receivables are reconciled to outside sources automatically.

• Our real-time margining system marks all client positions to market continuously. All orders are credit vetted before being executed and positions in accounts with inadequate margin deposits are liquidated automatically.

• IBG LLC reported $1.3 billion of pretax profit for 2020.

• IBG LLC have no long-term debt.

• Interactive Brokers LLC is rated 'BBB+'; Outlook Positive by Standard & Poor's.

​​

Click the following links for: Financial Strength   Investor Protection   Account Protection   Login Protection   Privacy   SOC Reports