- Joined
- 17 November 2008
- Posts
- 136
- Reactions
- 0
Is IB really only $3 a trade for ASX shares? no minimum trades?
Whats the cost to trade US stocks?
Cheers
Rob
Whats the cost to trade US stocks?
Cheers
Rob
IB brokerage
- Thread starter hotbmw
- Start date
Hi Rob.
I believe the brokerage is $6 for Aussie shares. It is only $1 USD for US shares. Just bear in mind the margin rate is 50%. I cannot recommend IB highly enough. They have a great platform as well enabling you to perform a variety of order types.
Regards.
Lachlan.
I believe the brokerage is $6 for Aussie shares. It is only $1 USD for US shares. Just bear in mind the margin rate is 50%. I cannot recommend IB highly enough. They have a great platform as well enabling you to perform a variety of order types.
Regards.
Lachlan.
I do not like the Citi's share price. How protected is the citi account of IB in Australia? Is it secured by Australian or US Govt. guarantee?
chops_a_must
Printing My Own Money
- Joined
- 1 November 2006
- Posts
- 4,636
- Reactions
- 3
It is guaranteed.
If it wasn't, I'd be pulling money out quick smart!
IB needs to find another bank in Australia I believe.
chops_a_must
Printing My Own Money
- Joined
- 1 November 2006
- Posts
- 4,636
- Reactions
- 3
I remember reading that Citibank is on the guarantee list.
WaySolid
Learner
- Joined
- 10 July 2004
- Posts
- 222
- Reactions
- 0
If I could bump this thread.
Also curious about IB and their citibank deposits, I will talk to them as a next step but am curious as to whether there are alternatives for Aussie traders using IB?
As I understand the deposits are included under the guarantee, though I have read that only from Citi's website so far... Better double and triple check this one.
Anybody got some concrete info?
Also curious about IB and their citibank deposits, I will talk to them as a next step but am curious as to whether there are alternatives for Aussie traders using IB?
As I understand the deposits are included under the guarantee, though I have read that only from Citi's website so far... Better double and triple check this one.
Anybody got some concrete info?
- Joined
- 7 November 2008
- Posts
- 49
- Reactions
- 0
Been trading with them for awhile. Deposits and withdrawals are promptly serviced. Really nothing much to complain (if any at all). $6 brokerage for asx to a small investor is just great! For a $1000 investment, brokerage = 12/1000 is only 1.2% while the online brokers here are at least $15 each way which is already 3% of the investment.
I also spoke to IB recently regarding this, and was given pretty much the above. I think the rep was prepared with a scripted response, must have been a lot of similar enquiries.
Here is a thread at ET, which discusses the same issue,
http://www.elitetrader.com/vb/showthread.php?s=&threadid=145508
On a side note, if Citi does go down, that would be a pretty scary day!
- Joined
- 14 June 2007
- Posts
- 1,130
- Reactions
- 3
About the guarantee..... There appear to be two Citi operations in Australia. Citibank Australia and Citibank N.A. The CA deposits are guaranteed and the Citibank N.A. deposits are not. So far as I can tell, our deposits are held with Citibank N.A.
http://www.citibank.com.au/global_docs/CustomerQ_A_Deposits.pdf
Deposits are backed by Lloyds in event of a collapse of IB but I'm not sure if that protects us from a Citi collapse.
http://www.citibank.com.au/global_docs/CustomerQ_A_Deposits.pdf
Deposits are backed by Lloyds in event of a collapse of IB but I'm not sure if that protects us from a Citi collapse.
BSB of the IB account at Citi is 24200, which according to bsbnumbers.com, belongs to Citigroup Pty Limited Corporate Banking. Now I have no idea about the reliability of the website, so I'm going to double check with IB and Citibank Australia.
Even if the deposit is guaranteed, a bank collapse is still going to be a huge inconvenience.This is not a good situation at all.
WaySolid
Learner
- Joined
- 10 July 2004
- Posts
- 222
- Reactions
- 0
Thanks, that would be useful info.
- Joined
- 14 June 2007
- Posts
- 1,130
- Reactions
- 3
Sent a message to IB. Here it is, with reply:
"Hi, I'm writing on behalf of myself and a group of traders in Australia who hold accounts with IB. Our funds with IB are held in Australia, and so far as I can tell they are held at Citibank N.A. in Sydney.
What will happen if Citigroup collapses? Will the insurance IB has with Lloyd's cover our deposits?
Thank you in advance for any clarification you can provide. "
----------------------------------
2008/11/24
00:20:31 IBCS How Much Exposure Does IB Have to a Single Bank?
IB spreads its assets in segregated accounts for the benefit of customers across at least six of the largest banks (as of September 2008). IBs customer segregation account at Citibank is used as the conduit account for deposits and withdrawals but funds are then spread across these federally-appro ved depositories.
It is our belief that the U.S. government would do everything in its power to prevent the failure of any of the major money-center banks with whom IB maintains deposits. In the event that such a bank did fail, and in the further event that the federal government did not arrange assistance for the bank, then IBs own, significant, proprietary capital would be required to be used to guarantee IBs obligations to our customers.
"Hi, I'm writing on behalf of myself and a group of traders in Australia who hold accounts with IB. Our funds with IB are held in Australia, and so far as I can tell they are held at Citibank N.A. in Sydney.
What will happen if Citigroup collapses? Will the insurance IB has with Lloyd's cover our deposits?
Thank you in advance for any clarification you can provide. "
----------------------------------
2008/11/24
00:20:31 IBCS How Much Exposure Does IB Have to a Single Bank?
IB spreads its assets in segregated accounts for the benefit of customers across at least six of the largest banks (as of September 2008). IBs customer segregation account at Citibank is used as the conduit account for deposits and withdrawals but funds are then spread across these federally-appro ved depositories.
It is our belief that the U.S. government would do everything in its power to prevent the failure of any of the major money-center banks with whom IB maintains deposits. In the event that such a bank did fail, and in the further event that the federal government did not arrange assistance for the bank, then IBs own, significant, proprietary capital would be required to be used to guarantee IBs obligations to our customers.
- Joined
- 10 August 2008
- Posts
- 2,136
- Reactions
- 315
How do you guys tranfer cash between your aussie bank account and the IB account, is it just a matter of doing a pay anyone transaction, and is there something like a pay anyone facility in the IB account to put cash back into your aussie account?
- Joined
- 7 November 2008
- Posts
- 49
- Reactions
- 0
I just do it through online banking transfer fund via bsb+account number.
To withdraw money from IB, you can set up a standing instruction by entering your banking details.
There continues to be negative news day in and out regarding the financial sector. It is important you understand the risk measures IB takes to protect our clients money. Not all client funds are sitting in Citibank, IB distributes clients funds among a variety of banks and counterparts to avoid concentrated exposure to any single counterpart. Also, investments are in highly liquid and short term instruments which undergo a rigorous analysis by our Credit Committee. Most importantly we have over 4 billion in equity capital backing, and there is Securities Account Protection on all customer accounts: http://institutions.interactivebrokers.com/en/accounts/accountProtection.php?ib_entity=inst
I have attached further information on the Strength and Security of IB, and a recent letter from our chairman addressing these tough times.
Below are IB’s 3Q results. The 3rd quarter was the groups second best quarter ever (the best quarter ever was 1q08.), though for the brokerage business 3Q was actually our best quarter ever. IB continues to achieve record results amid times which are challenging for many other financial institutions.
http://www.interactivebrokers.com/en/general/about/mediaRelations/10-23-08.php
http://www.reuters.com/article/etfNews/idUSBNG36142020081023
Please contact me if you require further information: (02.9240.5148)
View attachment 25926 View attachment 25927
I have attached further information on the Strength and Security of IB, and a recent letter from our chairman addressing these tough times.
Below are IB’s 3Q results. The 3rd quarter was the groups second best quarter ever (the best quarter ever was 1q08.), though for the brokerage business 3Q was actually our best quarter ever. IB continues to achieve record results amid times which are challenging for many other financial institutions.
http://www.interactivebrokers.com/en/general/about/mediaRelations/10-23-08.php
http://www.reuters.com/article/etfNews/idUSBNG36142020081023
Please contact me if you require further information: (02.9240.5148)
View attachment 25926 View attachment 25927
