For questions about interest rate issues, please use the Inquiry Ticket or Chat system located in the Support menu of Account Management / Client Portal. When determining the quoted spread, IBKR will use the set benchmark rate or a benchmark rate of 0 for all benchmark rates less than 0.
For all below examples assume benchmark rates as follows:
Benchmark (BM) | Rate |
---|---|
US Dollar Fed Funds Effective | 2.18% |
GBP LIBOR (Overnight Rate) | 0.62% |
EONIA (Euro Overnight Index Average) | 0.0% |
CHF LIBOR (Overnight Rate) | 0.0% |
When you borrow money, we'll charge you daily interest on your borrowed money as follows:
USD | Securities | Commodities | UKL | Total |
---|---|---|---|---|
Ending Settled Cash | -500,000 | 0 | -100,000 | -600,000 |
US Dollar Fed Funds Effective: 2.18%
Tier Balance | Tier Rate | Cash | Interest in USD | Calculation |
---|---|---|---|---|
0 - 100,000 | 1.50% | -100,000 | 10.22 | 100,000 x (2.18% + 1.50%)/360 |
100,000.01 - 1,000,000 | 1.00% | -500,000 | 44.17 | 500,000 x (2.18% + 1.00%)/360 |
1,000,000.01 - 3,000,000 | 0.50% | 0 | 0 | |
> 3,000,000 | .30% | 0 | 0 | |
Total | 54.39 | |||
Distribution | Interest in USD | Calculation | ||
Debit interest charged (securities) | 45.32 | 54.39 x (500,000/600,000) | ||
Debit interest charged (UKL) | 9.06 | 54.39 x (100,000/600,000) | ||
Total | 54.39 |
When you have a negative (debit) cash balance in your combined securities and commodities account and a negative (debit) balance in your UKL account, we'll charge you daily interest on the net debit balance as follows:
GBP | Securities | Commodities | UKL | Total |
---|---|---|---|---|
Ending Settled Cash | -70,000 | 10,000 | -100,000 | -160,000 |
Commodity Maintenance Margin | 0 | |||
Commodity Option Value | 0 |
GBP LIBOR (Overnight Rate): 0.62%
Tier Balance | Tier Rate | Cash | Interest in GBP | Calculation |
---|---|---|---|---|
0 - 80,000 | 1.50% | 80,000 | 4.64 | 80,000 x (0.62%+1.50%)/365 |
80,000.01 - 800,000 | 1.00% | 80,000 | 3.55 | 80,000 x (0.62%+1.00%)/365 |
> 800,000 | 0.50% | 0 | 0 | |
Total | 8.19 | |||
Distribution | Interest in GBP | Calculation | ||
Debit interest charged (securities) | 4.095 | 8.19 x (80,000/160,000) | ||
Debit interest charged (UKL) | 4.095 | 8.19 x (80,000/160,000) | ||
Total | 8.19 |
When your combined security and commodity accounts are negative (debit) and your UKL account is positive (credit) leading to a combined negative (debit) Integrated Investment account balance interest will be calculated as follows:
EUR | Securities | Commodities | UKL | Total |
---|---|---|---|---|
Ending Settled Cash | -50,000 | 20,000 | 20,000 | -10,000 |
Commodity Maintenance Margin | 0 | |||
Commodity Option Value | 0 |
EONIA (Euro Overnight Index Average): 0.00%
Tier Balance | Tier Rate | Cash | Interest in EUR | Calculation |
---|---|---|---|---|
0 - 100,000 | 1.50% | -10,000 | 0.42 | 10,000 x (0.0%+1.50%)/360 |
100,000.01 - 1,000,000 | 1.00% | 0 | 0 | |
> 1,000,000 | 0.50% | 0 | 0 | |
Total | 0.42 | |||
Distribution | Interest in EUR | Calculation | ||
Debit interest charged (securities) | 0.42 | |||
Credit interest paid (UKL) | 0 | No credit interest is paid | ||
Total | 0.42 |
When you borrow money in CHF, interest will be calculated as follows:
CHF | Securities | Commodities | UKL | Total |
---|---|---|---|---|
Ending Settled Cash | -500,000 | 0 | -100,000 | -600,000 |
CHF LIBOR (Overnight Rate): 0.00%
Tier Balance | Tier Rate | Cash | Interest in CHF | Calculation |
---|---|---|---|---|
0 - 100,000 | 1.50% | -100,000 | 4.17 | 100,000 x (0.00% + 1.50%)/360 |
100,000.01 - 1,000,000 | 1.00% | -500,000 | 13.89 | 500,000 x (0.00% + 1.00%)/360 |
> 1,000,000 | 0.50% | 0 | 0 | |
Total | 18.06 | |||
Distribution | Interest in CHF | Calculation | ||
Debit interest charged (securities) | 15.05 | 18.06 x (500,000/600,000) | ||
Debit interest charged (UKL) | 3.01 | 18.06 x (100,000/600,000) | ||
Total | 18.06 |
Interactive Brokers Canada Inc. is a member of the Investment Industry Regulatory Organization of Canada (IIROC) and Member - Canadian Investor Protection Fund. Know Your Advisor: View the IIROC AdvisorReport. Trading of securities and derivatives may involve a high degree of risk and investors should be prepared for the risk of losing their entire investment and losing further amounts. Using borrowed money to finance the purchase of securities involves greater risk than using cash resources only. If you borrow money to purchase securities, your responsibility to repay the loan and pay interest as required by its terms remains the same even if the value of the securities purchased declines. Interactive Brokers Canada Inc. is an order execution-only dealer and does not provide investment advice or recommendations regarding the purchase or sale of any securities or derivatives. Our registered office is located at 1800 McGill College Avenue, Suite 2106, Montreal, Quebec, H3A 3J6, Canada.
Know Your Advisor: View the IIROC AdvisorReport