Interactive Brokers Reports Strong Trading Growth And Increased Client Engagement
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Interactive Brokers Group, a leading global brokerage firm, shared its latest monthly performance highlights, reflecting strong trading activity and growing client participation. The update for April also showed continued expansion of its services and global reach.
The company reported 3.818 million Daily Average Revenue Trades (DARTs) for the month. Interactive Brokers said this shows a 63% increase from the same period last year and a 10% rise from the previous month. It said the rise shows more users are actively trading on its platform.
Interactive Brokers Aims To Improve Operational Efficiency
The broker stated that client equity reached $588.1 billion by the end of the month. This amount shows a 28% gain from the same period a year ago and a 3% increase from the prior month. The company believes the increase reflects stronger market activity and higher asset values.
It mentioned that the number of client accounts rose to 3.71 million. This is 32% higher than the same period last year and 3% above the previous month. According to the company, this growth points to a regular flow of new clients joining the platform.
The firm also pointed out that client margin loan balances dropped to $58.2 billion. This is 9% less than the previous month, though still 15% more than a year ago. The broker said this means fewer clients used borrowed funds for trading during the month, even as the longer-term trend remains upward.
In a note on trading costs, Interactive Brokers shared that IBKR PRO clients paid an average of 4.1 basis points for U.S. Reg-NMS stock trades. This was measured against the volume-weighted average price. The average for the past twelve months stood at 3.9 basis points.
The broker revealed it has added the Ljubljana Stock Exchange to its list of markets. Clients can now trade Slovenian stocks alongside assets from over 160 other global exchanges. The company offers access to many financial products like stocks, options, futures, currencies, bonds, and funds through one platform.
It further announced the adoption of Pirum’s CoacsConnect system to help manage corporate actions for its global clients. The tool handles income claims and voluntary actions and processes around $3.8 billion worth of corporate activity each day.
Interactive Brokers Wants To Build Long-Term Client Value
Interactive Brokers, based in Greenwich, Connecticut operates the largest electronic trading platform in the U.S. by daily trade numbers. Its platform processes over 2.6 million trades each trading day and that it acts as a top broker for forex and commodities. The firm also gives clients access to stocks, bonds, mutual funds, cryptocurrencies, and other assets.
The broker stated that it works in 36 countries and supports 28 currencies. As of the latest count, it has 3.337 million clients, with total customer equity of $568.2 billion. Moreover, more than half of its customers live outside the U.S., in around 200 countries.
The firm was started by Thomas Peterffy, who also serves as its chairman. About 25.8% of the company is publicly owned, while the rest is held by IBG Holdings LLC, mostly owned by Peterffy and his affiliates. Interactive Brokers holds a spot on the Fortune 500 list.
The company explained that it began as T.P. & Co., a market maker. It later became Timber Hill Inc. It was the first to use fair value pricing sheets on trading floors. It also introduced handheld computers for trading and developed the first fully automated algorithmic trading system that sends orders directly to markets.
