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) universal 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 | |||
Pursuant to the Treasury Laws Amendment (Design and Distribution Obligations and Product Intervention Powers) Act 2019, Interactive Brokers Australia Pty. Ltd. has prepared the following target market determinations relating to certain financial products for which it is deemed to be the issuer. Our Target Market Determinations are located here: Target Market Determinations.
Product Disclosure Statements are also available for each of these products. You should carefully consider these Disclosures in deciding whether to acquire, or to continue to hold, the relevant financial product.