Interactive Brokers Questions

[MotherBuff]

Hi I can't seem to find and reliable information on interactive brokers on the net, so I hope you guys can help me.

1) must the $10k USD initial deposit be maintained?
2) What's the risk of interactive brokers defaulting?
3) If they do default, are there any regulations or risk prevention that prevents this from happening?
4) how easy is it to withdraw money ?

Hope you guys can help, I want to open an account with them but it's rather scary compared to our local banks.

Thanks!

 

[Perisher]

Hi I can't seem to find and reliable information on interactive brokers on the net, so I hope you guys can help me.

1) must the $10k USD initial deposit be maintained?
2) What's the risk of interactive brokers defaulting?
3) If they do default, are there any regulations or risk prevention that prevents this from happening?
4) how easy is it to withdraw money ?

Hope you guys can help, I want to open an account with them but it's rather scary compared to our local banks.

Thanks!

maybe you need to use the right key words.
I googled 'hwz interactive brokers' and found the link below
Interactive Brokers - SGD now available for funding

 

[Shiny Things]

Hi I can't seem to find and reliable information on interactive brokers on the net, so I hope you guys can help me.

1) must the $10k USD initial deposit be maintained?
2) What's the risk of interactive brokers defaulting?
3) If they do default, are there any regulations or risk prevention that prevents this from happening?
4) how easy is it to withdraw money ?

1) No; you can run it down to about $2k or so before they start charging extortionate minimum-balance fees.
2) Very low. IBKR makes a lot of noise about how secure they are; they've got an investment-grade credit rating, they keep customer money strictly segregated, and they've got something like $5 billion in excess capital.
3) Yes there are. The SIPC - Securities Investor Protection Corporation - provides insurance for all US brokerage customers up to about $250,000 of cash and $500,000 of securities; and IBKR carries extra insurance over and above that.
4) Very easy. You can transfer SGD or USD out of your account online - you don't even need to call anyone - and it'll be in your account in a day or so.

Hope you guys can help, I want to open an account with them but it's rather scary compared to our local banks.

Frankly, I'd trust IBKR as much as the local banks - as much as OCBC or DBS or UOB. They're a very serious company with very serious risk management.