In light of what is happening with the US Banks, if you are a client of Interactive Brokers LLC (IBKR) or Interactive Brokers Singapore (IBSG), you might wonder about your brokers when compared to the situations of these US Banks.
I hold my securities and cash mainly in both IBKR
Interactive Brokers Group has over $11.6 billion in equity (12/31/22 equity), comprised of highly liquid assets, primarily cash in banks and reverse-repos collateralized by US Treasury securities.
Here is the other information regarding their financial health and incentives.
Interactive Brokers’ Exposure to Distressed Banks
Interactive Brokers do not have exposure to:
- Silicon Valley Bank
- First Republic Bank
- Signature Bank
IBKR also updated that they did not have material margin loan losses due to the client’s holdings in SVB or other banks’ failing values.
How IBKR Manages Client’s Money
IBKR earns the majority of their revenue from:
- Margin loans from trading.