Interactive Brokers Group Reports Brokerage Metrics and Other Financial Information for August 2021, Includes Reg.-NMS Execution Statistics
GREENWICH, Connecticut, September 01, 2021– (BUSINESS WIRE) – Interactive Brokers Group, Inc. (Nasdaq: IBKR), a global automated electronic brokerage, today released its monthly electronic brokerage performance indicators for August.
Brokerage highlights for the month included:
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2.170 million Average Daily Income (DART) transactions1, 24% more than the previous year and 8% less than the previous month.
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Customer equity at the close of $ 364.6 billion, 53% more than the previous year and 4% more than the previous month.
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Closing customer margin loan balances of $ 49.7 billion, 63% higher than the previous year and 4% higher than the previous month.
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Accounts payable balances of $ 84.7 billion at year-end, including $ 2.7 billion in insured bank deposit transfers2, 16% more than the previous year and 3% more than the previous month.
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1.49 million accounts receivable, 57% more than the previous year and 3% more than the previous month.
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329 annualized average compensated DART1 by customer account.
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Average commission per cleared commissionable order3 $ 2.39 including exchange, clearing and regulatory fees. Featured products :
August 2021 |
Average commission per |
Mean |
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Order giving right to a commission |
Order size |
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Actions |
$ 1.68 |
1,962 shares |
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Stock options |
$ 3.46 |
6.3 contracts |
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Futures contracts |
$ 4.31 |
3.0 contracts |
Futures contracts include options on futures contracts. We estimate exchange, clearing and regulatory fees to be 55% of forward commissions.
Other financial information for Interactive Brokers Group:
For the sake of transparency, we are quantifying below the overall cost of executing transactions for our IBKR PRO customers.
For the full multimedia version with graphic, see the link:
https://www.interactivebrokers.com/MonthlyMetrics
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In August, the total cost to IBKR PRO clients of executing and clearing US Reg.-NMS shares through IB was approximately 2.7 basis points of the trade currency.5, measured against a daily VWAP6 benchmark (3.4 basis points of net cost for the twelve rolling months).
IBKR PRO Clients’ Reg.-NMS Details of Share Trading Fees |
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All amounts are in millions, except% |
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Previous |
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September ’20 |
20 october |
November 20 |
Dec ’20 |
January the 21st |
the 21st of February |
March 21st |
Apr 21 |
May 21 |
21st of June |
July 21 |
21st of August |
12 months |
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# 1a – Number of orders |
||||||||||||||||||||||||||
Purchases |
8.12 |
7.86 |
9.77 |
11.49 |
15.46 |
18.42 |
16.82 |
10.52 |
10.04 |
12.60 |
10.98 |
9.98 |
142.06 |
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Sells |
6.09 |
6.01 |
7.61 |
8.25 |
11.33 |
13.19 |
12.34 |
7.67 |
7.50 |
10:00 a.m. |
8.10 |
7.61 |
105.70 |
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Total |
14.21 |
13.87 |
17.38 |
19.74 |
26.79 |
31.61 |
29.16 |
18.19 |
17.54 |
22.60 |
19.08 |
17.59 |
247.76 |
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# 1b – Number of shares bought or sold |
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Purchased shares |
2,614 |
2,834 |
3,778 |
4,166 |
5,907 |
6,417 |
5,327 |
3 267 |
3,325 |
4 261 |
3 785 |
3 263 |
48 944 |
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Shares sold |
2,512 |
2,660 |
3,574 |
3,824 |
5 488 |
6,052 |
5.163 |
3,072 |
3,265 |
4,157 |
3,608 |
3 202 |
46,576 |
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Total |
5.126 |
5,493 |
7 352 |
7 990 |
11,395 |
12,469 |
10,491 |
6 339 |
6 590 |
8,418 |
7,393 |
6,465 |
95,520 |
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# 2 – trade money including price, commissions and fees |
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2a Buy money |
$ 124,497 |
$ 110,098 |
$ 132,293 |
$ 136,858 |
$ 161,779 |
$ 171,280 |
$ 189,334 |
$ 129,198 |
$ 128,083 |
$ 140,218 |
$ 135,106 |
$ 127,454 |
$ 1,686,197 |
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2b Sell money |
$ 122,504 |
$ 107,298 |
$ 128,291 |
$ 130,548 |
$ 156,739 |
$ 167,064 |
$ 185,529 |
$ 124,045 |
$ 125,904 |
$ 139,592 |
$ 133,527 |
$ 125,694 |
$ 1,646,738 |
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2c Total |
$ 247,002 |
$ 217,396 |
$ 260,584 |
$ 267,406 |
$ 318,518 |
$ 338,344 |
$ 374,863 |
$ 253,243 |
$ 253,987 |
$ 279,810 |
$ 268,633 |
$ 253,148 |
$ 3,332,935 |
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# 3 – Business value at daily VWAP |
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3a Purchase value |
$ 124,425 |
$ 110,073 |
$ 132,284 |
$ 136,867 |
$ 161,613 |
$ 171,092 |
$ 189,194 |
$ 129,131 |
$ 128,053 |
$ 140,148 |
$ 135,050 |
$ 127,439 |
$ 1,685,368 |
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3b Sale value |
$ 122,523 |
$ 107,317 |
$ 128,297 |
$ 130,658 |
$ 156,683 |
$ 167,032 |
$ 185,588 |
$ 124,030 |
$ 125,969 |
$ 139,648 |
$ 133,552 |
$ 125,747 |
$ 1,647,042 |
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3c Total |
$ 246,947 |
$ 217,390 |
$ 260,581 |
$ 267,524 |
$ 318,296 |
$ 338,124 |
$ 374,782 |
$ 253,160 |
$ 254,022 |
$ 279,795 |
$ 268,602 |
$ 253,186 |
$ 3,332,410 |
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# 4 – Total trading expenses including commissions and fees versus daily VWAP |
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4a Purchases (2a-3a) |
$ 72.7 |
$ 25.5 |
$ 9.1 |
($ 9.2) |
$ 166.5 |
$ 187.9 |
$ 139.3 |
$ 67.1 |
$ 29.2 |
$ 69.9 |
$ 56.2 |
$ 15.1 |
$ 829.1 |
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4b Sells (3b-2b) |
$ 18.1 |
$ 19.1 |
$ 6.4 |
$ 109.1 |
($ 55.7) |
($ 32.5) |
$ 58.6 |
($ 15.9) |
$ 64.1 |
$ 55.7 |
$ 25.0 |
$ 52.8 |
$ 304.8 |
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4c Total commercial costs |
$ 90.8 |
$ 44.5 |
$ 15.5 |
$ 99.9 |
$ 110.8 |
$ 155.5 |
$ 197.8 |
$ 51.2 |
$ 93.3 |
$ 125.6 |
$ 81.2 |
$ 67.9 |
$ 1,133.9 |
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Trade expenditure as a percentage of trade currency |
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4c / 2c |
0.037% |
0.020% |
0.006% |
0.037% |
0.035% |
0.046% |
0.053% |
0.020% |
0.037% |
0.045% |
0.030% |
0.027% |
0.034% |
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# 5 – Business expense categories |
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5a Total commissions and fees |
$ 23.8 |
$ 23.9 |
$ 29.3 |
$ 33.1 |
$ 45.8 |
$ 49.1 |
$ 41.4 |
$ 26.2 |
$ 27.0 |
$ 33.5 |
$ 28.7 |
$ 26.1 |
$ 387.9 |
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5b Cost of execution (4c-5a) |
$ 67.0 |
$ 20.6 |
($ 13.9) |
$ 66.8 |
$ 64.9 |
$ 106.4 |
$ 156.4 |
$ 25.0 |
$ 66.4 |
$ 92.1 |
$ 52.5 |
$ 41.8 |
$ 746.0 |
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# 6 – Business expense categories as a percentage of business money |
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Total commissions and fees (5a / 2c) |
0.010% |
0.011% |
0.011% |
0.012% |
0.015% |
0.015% |
0.011% |
0.010% |
0.011% |
0.012% |
0.010% |
0.010% |
0.012% |
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Cost of execution (5b / 2c) |
0.027% |
0.009% |
-0.005% |
0.025% |
0.020% |
0.031% |
0.042% |
0.010% |
0.026% |
0.033% |
0.020% |
0.017% |
0.022% |
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Net spending for IB clients |
0.037% |
0.020% |
0.006% |
0.037% |
0.035% |
0.046% |
0.053% |
0.020% |
0.037% |
0.045% |
0.030% |
0.027% |
0.034% |
The above shows that the average year-over-year rolling all-in cost of an IBKR PRO US Reg.-NMS client’s share trade was 3.4 basis points.
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Note 1: Daily Average Revenue Trades (DART) – client orders divided by the number of trading days in the period.
Note 2: Balances from the FDIC-insured customer bank deposit sweep program with participating banks. These deposits are not presented in the Company’s statement of financial position.
Note 3: Commissionable order – a sales order that generates commissions.
Note 4: As part of our currency diversification strategy, we have decided to base our assets on GLOBAL, a basket of 10 major currencies in which we hold our shares. The full effect of the currency diversification strategy is presented in comprehensive income and the components are presented in (1) other income and (2) other comprehensive income (“OCI”) on the balance sheet. The effect of GLOBAL on our comprehensive income can be estimated by multiplying total equity for the period by the change in the US dollar value of GLOBAL during the same period.
Note 5: Trade money is the total amount of money that customers have spent or received, including all commissions and fees.
Note 6: In accordance with clients’ trading activity, the calculated VWAP benchmark includes extended trading hours.
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Further information, including historical results for each of the above metrics, is available on the Investor Relations page of the Company’s website, www.interactivebrokers.com/ir.
About Interactive Brokers Group, Inc .: Interactive Brokers Group subsidiaries provide automated transaction execution and custody of securities, commodities and currencies around the clock in more than 135 markets in multiple countries and currencies, from a single integrated investment account IBKR to customers all over the world. We serve individual investors, hedge funds, proprietary trading groups, financial advisors and introductory brokers. Our four decades of focus on technology and automation have enabled us to equip our clients with a particularly sophisticated platform to manage their investment portfolios. We strive to provide our clients with competitive execution prices and trading, risk and portfolio management tools, research facilities and investment products, all at low or no cost, positioning them to obtain higher returns on investments. Barron’s ranked Interactive Brokers # 1 with 5 out of 5 stars in its Best Online Broker Review of February 26, 2021.
Caution regarding forward-looking statements:
The foregoing information contains certain forward-looking statements that reflect the current opinions of the company with respect to certain current and future events and financial performance. These forward-looking statements are and will be, as the case may be, subject to numerous risks, uncertainties and factors relating to the operations and the business environment of the Company which may cause the actual results of the Company to differ materially from future results. , expressed or implied, in these forward-looking statements. All forward-looking statements contained in this press release are based on information available to the company at the date of this press release. The company does not undertake to publicly update or revise its forward-looking statements, even if experience or future changes clearly indicate that the statements expressed or implied will not be made. Additional information about risk factors that could affect the Company’s financial results can be found in the Company’s filings with the Securities and Exchange Commission.
See the source version on businesswire.com: https://www.businesswire.com/news/home/20210901005804/en/
Contacts
Contact for Interactive Brokers Group, Inc .:
Rob Garfield – [email protected]