Interactive Brokers (IB)

[saha-med]

Yep - they're held in street name at IB, similar to how Stanchart does it (except without the annoying regular tech failures).


Uh, not sure what you're asking here. You mean, what would happen to your holdings if IB went tits up?

(If that's what you're asking, then your cash and your US stocks would be covered by the SIPC's coverage. I don't know if Singaporean stocks held by a US broker-dealer would be covered, though.)

Okay its fairly safe then...Before this i though sipc only covered US residents only

 

[d5dude]

How are SG stocks held when trading with IB? As a nominee?


*Touch wood... one day IB gg how? There is no record of your stocks held?

You can't do sg stocks with IB unless you are a foreigner.

 

[saha-med]

Downside with IB is the high minimum deposit required

 

[Mancunian2]

Downside with IB is the high minimum deposit required

how much do they need?

 

[saha-med]

how much do they need?

varies

frm 2k usd onwards

 

[sAVaGEmP5]

1 down side i realize is the margin, they are charging at 20% pa for the long term SMA account margin according to their website ?

I used to leverage to 1.5 on my OX account, borrow at 6%, get yield at 8%, earn 2% spread... Seems like I cannot do this on IB hehe.

 

[sAVaGEmP5]

varies

frm 2k usd onwards

I think its 10k worth of equity, be it stocks or cash

 

[Shiny Things]

how much do they need?

USD 10k, or USD3k if you're under 21.

 

[Shiny Things]

You can't do sg stocks with IB unless you are a foreigner.

Oh crud, you're right.

Stanchart for SG stocks, then, I guess, until IB gets this sorted.

 

[Shiny Things]

1 down side i realize is the margin, they are charging at 20% pa for the long term SMA account margin according to their website ?

I used to leverage to 1.5 on my OX account, borrow at 6%, get yield at 8%, earn 2% spread... Seems like I cannot do this on IB hehe.

You can absolutely do this, and you don't have to pay 6% to do it.

Once you've set up your account, you can upgrade it to a "Reg T Margin" account, which lets you leverage up against your current holdings.

The interest rate they charge (assuming you're borrowing USD) is 1.5% over Fed funds - and because Fed funds are basically zero thanks to Helicopter Ben, the interest rate on your margin loan is 1.58%.

(Where on earth did you get 20% from?)

 

[sAVaGEmP5]

You can absolutely do this, and you don't have to pay 6% to do it.

Once you've set up your account, you can upgrade it to a "Reg T Margin" account, which lets you leverage up against your current holdings.

The interest rate they charge (assuming you're borrowing USD) is 1.5% over Fed funds - and because Fed funds are basically zero thanks to Helicopter Ben, the interest rate on your margin loan is 1.58%.

(Where on earth did you get 20% from?)

Yea im getting soon for the 4 x leverage after i trx my remainings stk over, hoping to get that >100k intra day.
I tink misread the interest thing and thought it was a daily thing on that P.A %. went thru the site to confirm its 1.58%, thx btw.

Now I can put quite abit of leverage up haha

 

[tarui04]

I am using Metastock using QuoteCenter live data, trading both SIMSCI and DAX, with Phillip securities. I start to dislike Metastock and Phillip. Metastock was great 10 years ago but not anymore. It didn't improve with new technology. Still stuck with very old technology, user interface. Same for Phillip. It was great 10 years ago then they first started phone trading, internet trading. Not again didn't improve with new technology.

TMI is about $100 per month, though you need to pay 1 year upfront. Rate is low compare without TMI. If you are going to trade with Phillip, Ongfirst, it is better to sign up TMI. $100 per month is worth about 4 round turns.

I like IG markets the best. Good reports for me to anlyse/review my trading. Very details about every move I made : how I adjust my limit, my stop loss, open position, close position. Charting software very intuitive to use, trade on chart, easy to create alert, even auto-trade base on alert (if you want). But it is not a open exchange. They are the market maker.

I just open tradestation. The rate for DAX, S&P is as good as TMI rate. No Asia market though, just US and Europe. Will provide some feedback on tradestation after i spend some times on it. One thing I know is it is expensive to transfer fund in and transfer fund out.

Will definitely explore IB for other shortcoming of tradestation, such as Asia market, cheap to transfer fund in/out.

I am currently focus on futures, but will explore forex later.

metastock can trade futures ?

they had a booth recently and they told me they cant do futures..

 

[fmTrade]

IB Sweep

You want to sweep into the securities account so you get the SIPC insurance on your spare cash - that's the point of the sweep option. IB will always keep enough cash in your commodities account (the futures account) to cover margin calls, and the rest will have insurance coverage.

This is incorrect information. Your cash from commodities trading or forex trading is not covered by SIPC even if it is swept by IB into the securities account.

SIPC may deny your claim for coverage in these instances. Check with SIPC via their website to confirm this and ask IB for clarification.

Cash from forex trading is not covered by SIPC at IB or anywhere else.

 

[dao]

metastock can trade futures ?

they had a booth recently and they told me they cant do futures..

Metastock is just charting software. I know it can link up with some brokers so that you can initiate a trade from Metastock. I don't use it to trade. Just simply using its charting software. With QuoteCenter real time data, you can have have futures real time chart.

 

[Wolfnet]

Hey guys!

Just checked with Citibank and found out that transfers worldwide within Citibank accounts are free. Only cost you pay is the FX rate.

Oh do note that there is a limit of 50k per transfer per day.

IB uses Citibank for USD deposits. Only catch is that you have to maintain 2k in your account or else it is $10 per month account fees. I am going to open my account tomorrow.

Cheers

 

[leotan]

Hey guys!

Just checked with Citibank and found out that transfers worldwide within Citibank accounts are free. Only cost you pay is the FX rate.

Oh do note that there is a limit of 50k per transfer per day.

IB uses Citibank for USD deposits. Only catch is that you have to maintain 2k in your account or else it is $10 per month account fees. I am going to open my account tomorrow.

Cheers

Please note Citibank global does not applies to institutional account and IB USD Citibank is institutional, so you still have to TT.

 

[Wolfnet]

Please note Citibank global does not applies to institutional account and IB USD Citibank is institutional, so you still have to TT.

Oh thanks for the info leotan. Damn. Well as least I save a trip to the bank tomolo. I had my hopes up for a moment.

 

[sAVaGEmP5]

Hey guys!

Just checked with Citibank and found out that transfers worldwide within Citibank accounts are free. Only cost you pay is the FX rate.

Oh do note that there is a limit of 50k per transfer per day.

IB uses Citibank for USD deposits. Only catch is that you have to maintain 2k in your account or else it is $10 per month account fees. I am going to open my account tomorrow.

Cheers

I did tried to find a cheaper way but couldn't. One way we could try is to open 1 Citibank US account in the US, by flying there and open a normal acct. With that we'll be able to trx there for "free" since its personal to personal acct.

And then try means of "local" transfer from US to US, your ** acct to IB's ** acct as local rate.

 

[Wolfnet]

I did tried to find a cheaper way but couldn't. One way we could try is to open 1 Citibank US account in the US, by flying there and open a normal acct. With that we'll be able to trx there for "free" since its personal to personal acct.

And then try means of "local" transfer from US to US, your ** acct to IB's ** acct as local rate.

Yah that may be the only cheapest alternative. But the trip to USA wun be cheap.

I just checked and found out that Oanda Asia Pacific has a Singapore Office and a money transfer service. The spread they gave online was 40 pips beyond the current bid-ask spread and the fee is 25USD. Good thing is that you can deposit SGD into their Standard Chartered Singapore Bank Account and then initiate the transfer online.

Problem is I do not know of anyone who has used this service so am quite hesitant. Has anyone here ever used them? I have used Ozforex to transfer money back to Spore before but not Oanda. Ozforex is very good and professional.

 

[sAVaGEmP5]

Yah that may be the only cheapest alternative. But the trip to USA wun be cheap.

I just checked and found out that Oanda Asia Pacific has a Singapore Office and a money transfer service. The spread they gave online was 40 pips beyond the current bid-ask spread and the fee is 25USD. Good thing is that you can deposit SGD into their Standard Chartered Singapore Bank Account and then initiate the transfer online.

Problem is I do not know of anyone who has used this service so am quite hesitant. Has anyone here ever used them? I have used Ozforex to transfer money back to Spore before but not Oanda. Ozforex is very good and professional.

Well what a coincidence Im with Oanda for FX operations. what USD 25 fee ? Their comms. fee is already included in the spread, so I don't hv to calculate the fees, just use the current spread. And the money transfer is totally free, and more secure IMO.