Interactive Brokers Reports Surge in Client Accounts

Interactive Brokers Reports Surge in Client Accounts

Time Stamp: December 1, 2023 2:29 PM
Source Node: 2406587

Interactive Brokers
has released its brokerage monthly performance metrics for November,
highlighting a significant rise in clients’ accounts. This metric increased by
22% year-over-year (YoY) to 2.52 million, representing a marginal uptick of 2% from
the preceding month.

During this period, the global electronic broker disclosed 1.898 million
daily average revenue trades (DARTs). Despite experiencing a dip of 3% compared to the previous year in DARTs, the firm reported positive uptick in various
key areas. Notably, client equity stood at $404.3 billion, showcasing a
remarkable upsurge of 27% from the prior year and a notable rise of 10% from
the previous month.

Client margin loan balances jumped 8% compared to the previous
year, maintaining a steady trend in line with the figures for the previous
month. Additionally, ending client credit balances, including insured bank
deposit sweeps, saw a commendable gain of 6% and 5% compared to the previous year
and month, respectively.

Interactive Brokers‘ average commission per cleared commissionable order stood at $3.21, encompassing exchange, clearing, and regulatory fees. The insight into the all-in cost of trade execution for IBKR PRO clients
regarding U.S. Reg-NMS stock trades revealed an average cost of $24,591.30 in
November.

Interactive Brokers delivered an exceptional performance in the third quarter of 2023, highlighting a substantial surge in
net revenue, which soared to $1.145 billion. This represented an upturn of 45%
YoY and a growth of 14.5% quarter-over-quarter. The adjusted figures closely
mirrored this impressive growth, standing at $1.139 billion.

Rising Earnings and
Investor Incentives

The quarter witnessed a significant rise in diluted
earnings per share, reported at $1.56 and adjusted to $1.55. This displayed a
substantial improvement from the prior year’s $0.97 and $1.08, respectively.
The broker’s reported pre-tax income stood at a staggering $840 million, with
the adjusted figure at $834 million. This marked a substantial growth from the
previous year’s $523 million and $580 million.

Meanwhile, Interactive Brokers recently offered an opportunity to investors in the UK for a promotion for stocks and shares in
investment savings accounts (ISAs). This offer grants eligible residents the
chance to receive a commission credit of £55, subject to specific terms and
conditions.

This promotion serves as a gateway for investors to
access a range of global securities while benefiting from the tax benefits
provided by ISAs, Interactive Brokers mentioned. These accounts facilitate access to various investment
products, encompassing stocks, bonds, and exchange-traded funds, both within
the UK and internationally.

Interactive Brokers
has released its brokerage monthly performance metrics for November,
highlighting a significant rise in clients’ accounts. This metric increased by
22% year-over-year (YoY) to 2.52 million, representing a marginal uptick of 2% from
the preceding month.

During this period, the global electronic broker disclosed 1.898 million
daily average revenue trades (DARTs). Despite experiencing a dip of 3% compared to the previous year in DARTs, the firm reported positive uptick in various
key areas. Notably, client equity stood at $404.3 billion, showcasing a
remarkable upsurge of 27% from the prior year and a notable rise of 10% from
the previous month.

Client margin loan balances jumped 8% compared to the previous
year, maintaining a steady trend in line with the figures for the previous
month. Additionally, ending client credit balances, including insured bank
deposit sweeps, saw a commendable gain of 6% and 5% compared to the previous year
and month, respectively.

Interactive Brokers‘ average commission per cleared commissionable order stood at $3.21, encompassing exchange, clearing, and regulatory fees. The insight into the all-in cost of trade execution for IBKR PRO clients
regarding U.S. Reg-NMS stock trades revealed an average cost of $24,591.30 in
November.

Interactive Brokers delivered an exceptional performance in the third quarter of 2023, highlighting a substantial surge in
net revenue, which soared to $1.145 billion. This represented an upturn of 45%
YoY and a growth of 14.5% quarter-over-quarter. The adjusted figures closely
mirrored this impressive growth, standing at $1.139 billion.

Rising Earnings and
Investor Incentives

The quarter witnessed a significant rise in diluted
earnings per share, reported at $1.56 and adjusted to $1.55. This displayed a
substantial improvement from the prior year’s $0.97 and $1.08, respectively.
The broker’s reported pre-tax income stood at a staggering $840 million, with
the adjusted figure at $834 million. This marked a substantial growth from the
previous year’s $523 million and $580 million.

Meanwhile, Interactive Brokers recently offered an opportunity to investors in the UK for a promotion for stocks and shares in
investment savings accounts (ISAs). This offer grants eligible residents the
chance to receive a commission credit of £55, subject to specific terms and
conditions.

This promotion serves as a gateway for investors to
access a range of global securities while benefiting from the tax benefits
provided by ISAs, Interactive Brokers mentioned. These accounts facilitate access to various investment
products, encompassing stocks, bonds, and exchange-traded funds, both within
the UK and internationally.

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