Interactive Brokers’ fee-generating trades jump to 2.2 million a day

abdelaziz Fathi

Interactive Brokers LLC (NASDAQ:IBKR) saw 2.2million daily average revenue trades, or DARTS, in January 2024 compared to 1.97 million transactions in the prior month. The figure is 11 percent higher on a monthly basis, and also increased 12 percent from a year earlier.

In terms of equity balance in customers’ accounts during January, the figure totaled $424.0 billion, which is 26% higher than the previous year and roughly even with the prior month.

Additionally, the ending client margin loan balances stood at $44.3 billion, up 12% from the previous year and remaining steady compared to the previous month. Interactive Brokers’ client credit balances, including insured bank deposit sweeps, totaled $102.5 billion. This figure is 3% higher than the previous year, although it represents a 2% decrease from the prior month.

The number of client accounts continued to grow, reaching 2.63 million, which is 23% higher than the previous year and 2% higher than the previous month. On average, there were 190 annualized cleared DARTs per client account.

The Greenwich, Connecticut-based company also revealed that on average it charged clients commission fees of $3.03 per order in January. This figure includes exchange, clearing and regulatory fees, with the key product metrics coming out as follows:

  • For stocks, the average order size was 958 shares, with an average commission of $1.95 per order.
  • Equity options saw an average of 6.5 contracts per order, with a commission of $4.08.
  • Futures, including options on futures, averaged 3.1 contracts per order, with a commission of $4.51. Around 56% of the futures commissions are related to exchange, clearing, and regulatory fees.

Interactive Brokers made headlines in November when it obtained a license to engage in virtual asset trading for retail clients. This development is also part of a larger wave of regulatory approvals in the region, with Hashkey historically being the first crypto exchange in Hong Kong to be licensed for retail crypto asset offerings back in August.

Interactive Brokers already offers low-fee cryptocurrency trading for professional investors in Hong Kong. The firm, one of the largest brokerages in the US, opened an early-access waitlist to eligible clients including individuals with over HKD 8 million in assets or institutions with assets greater than HKD 40 million. They are able to trade and custody Bitcoin (BTC) and Ethereum (ETH) alongside stocks, options, futures, bonds, mutual funds and exchange-traded funds, creating a unified client experience.

  • Read this next

    Retail FX

    Lark Funding reopens to US traders, MyFundedFX picks cTrader

    Canada-based prop trading firm Lark Funding announced it will once again welcome clients from the United States.

    Institutional FX

    Cboe FX volume falls to lowest level since summer

    Cboe’s institutional spot FX platform, known as Cboe Spot, today announced its trading volume for the month ending February 2024, which took a step back after a strong rebound in December.

    Retail FX

    ThinkMarkets secures lucrative DFSA license in Dubai

    Melbourne-based broker ThinkMarkets has secured a license from the Dubai Financial Services Authority (DFSA) after it has already incorporated its new subsidiary in the Dubai International Financial Center (DIFC).

    Digital Assets

    New Horizen Lays Out Its Vision Of A Modular, Proof Verification Layer For Web3 Networks

    Horizen is forging a new path for the future of blockchain with its New Horizen initiative, which is building a modular Proof Verification layer that’s dedicated to verifying cryptographic proofs for any settlement layer, beginning with Ethereum. 

    Digital Assets

    Karma3 Labs Raises a $4.5M Seed Round Led By Galaxy and IDEO CoLab to Build OpenRank, a Decentralized Reputation Protocol

    Using OpenRank, developers and web3 companies can build consumer apps where people can discover, use, fund, read, or buy something on-chain without worrying about getting spammed or scammed.

    Digital Assets

    Worldcoin down as Elon Musk sues OpenAI CEO Sam Altman

    Worldcoin’s (WLD) token dropped following news of a lawsuit against related company OpenAI. The lawsuit was filed by Elon Musk and accused OpenAI and CEO Sam Altman of breach of contract.

    Institutional FX

    Exegy’s Liquidity Lamp adds intraday data to outperform S&P 500 by 31.8%

    Exegy has incorporated intraday signals into its AI-powered iceberg order detection tool, Liquidity Lamp. By adding intraday data to a baseline mean reversion strategy, Exegy’s model outperformed the baseline by 10.5% and the S&P 500 (SPY) by 31.8%, respectively in the out-of-sample testing.

    Industry News

    Think Elon Musk backed your crypto exchange? ASIC’s latest reveal may shock you

    In an absolutely shocking turn of events that nobody could have possibly seen coming, the Australian Securities and Investments Commission (ASIC) has bravely stepped forward to reveal that, yes, those videos of Elon Musk passionately endorsing a cryptocurrency exchange are as fake as a three-dollar bill.

    Fundamental Analysis

    Global FX Market Summary: EUR, USD March 1st, 2024

    The ISM’s February Manufacturing PMI is expected to show a slight increase, but remain below the expansionary threshold, while inflationary pressures persist and a Fed rate cut in June is still possible.