All of our clients are backed by funds safeguards, account insurance and full capital protection for our broker, Interactive Brokers (IBKR). Our clients' money is stored and serviced by our broker, Interactive Brokers (IBKR). Our clients send money to Interactive Brokers (IBKR), the broker is responsible for the safety of the funds and only the broker sends money back to our clients.
Interactive Brokers is safer than a bank
Here are some of the reasons why our broker Interactive Brokers Group (IBG) is safer to store money than a bank:
Financial strength. The market capitalization of IBG LLC exceeds $ 50 billion and is constantly growing, and the net worth of IBG LLC is more than $ 10.01 billion, which exceeds the regulatory requirements by $ 6.2 billion. IBG LLC's annual net income before taxes exceeds $ 1.5 billion.
The credibility of the company. With over 1 million clients, the IBG broker is a public company with full financial statements, the broker's shares are listed on the NASDAQ stock exchange ticker IBKR. Interactive Brokers LLC has been rated 'A- / A-2' by Standard & Poor's, with a positive outlook. IBKR has been recognized many times as the best broker in the world by reputable independent experts and magazines.
The globality of the company. IBG is headquartered in Greenwich, Connecticut, and has offices in the United States, Switzerland, Canada, Hong Kong, United Kingdom, Australia, Hungary, Russia, Japan, India, China, Luxembourg, Singapore, Ireland and Estonia. IBG has 2,400+ employees and supports its clients in all languages.
Insurance and safety. IBG is under the supervision of the world's leading regulatory bodies, such as SEC, FINRA, NYSE, FCA and other regulatory bodies in the countries where the IBG office is open and a prerequisite is the presence of a national license of the regulator of the country where the office is located.
Account insurance
Each client account is held in accordance with the strict rules of the Securities Investor Protection Corporation. The amount of $ 500 corresponds to a sublimit of $ 250, the account is also insured by IBG - the London company Lloyd's for the amount of $ 30 million, where the sublimit is $ 900 thousand, taking into account the total level of $ 150 million. These guarantees protect the account of any client, as well as provide protection against broker-dealer failures, company ruin or bankruptcy.
Securities Investor Protection Corporation is a non-profit member of the financial markets corporation that oversees and monitors broker-dealers that are part of this company. So that you are confident in our guarantees, and can directly ask your questions about the work of SIPC, as well as the specifics of ensuring guarantees and much more, go to the following sites:
https://www.SIPC.org
https://www.finra.org
We trust only the best and therefore our partner in insurance is the world market leader Lloyd's in London.
SOC reports
The IBG LLC brokerage / operating platform is audited annually by independent third party auditors based on a Systems and Organization Controls (SOC) plan. An audit of the IBG LLC brokerage platform includes an assessment of security, availability, processing integrity and confidentiality in accordance with the trust principles of SOC 2 and 3 reports.
With the help of an independent certified accountant, IBG LLC generates SOC 1 (Type 2) and SOC 3 reports to provide customers and contractors with information about the processes for the provision and control of the company's services.
Typically, a SOC 1 report can be obtained as follows:
Customer auditors - submit an inquiry via www.confirmation.com
Customers - contact your sales agent
The SOC 3 report is in the public domain and can be accessed at this link.
- Understanding SOC 1, 2, and 3 Reports
The American Institute of Certified Public Accountants (AICPA) has developed a plan called Systems and Operations Control (SOC), a standard by which the effectiveness of operational controls is guaranteed. It is similar to the International Standard on Assurance Engagements (ISAE) applicable to international service organizations.
The SOC audit is divided into two categories, SOC 1 and SOC 2 & 3, applicable to IBG LLC brokerage services.
A SOC 1 review for auditing firms that audits financial statements examines the appropriateness and effectiveness of IBG's internal control systems.
The SOC 2 review evaluates the IBG brokerage platform and its divisions based on the structure and operational effectiveness of the company's controls, which are subject to the current AICPA Trust Services Principles and Criteria.
Upon completion of the SOC 1 or SOC 2 review, the auditor expresses his opinion in a SOC 1 (Type 2) or SOC 2 (Type 2) report, where he describes the brokerage activities and platforms of IBG, and also determines how objectively IBG characterizes its control systems. It also assesses whether the IBG control systems are optimally designed, whether they functioned on a specific date, and how effective they have been over a specified period of time.
A SOC 3 report, a shortened version of a SOC 2 report (type 2), is generated, allowing IBG to provide assurances about its control systems without disclosing details of their design.
The Auditing Standards Statement and the International Standards for Assurance of Information (ISAE) are the standards within which auditing is carried out and which serve as the basis for SOC 1, 2 & 3 reports.
IBKR Financial Strength
Account protection using the IB Key mobile application
Securing an account with the IB Key mobile app guarantees more security for a customer's account than just using a username and password.
Two-factor client authentication and secure login to a brokerage account using the IB Key mobile app.
The use of IB Key provides our customers with security when logging into all devices available to our customers:
Client Portal (Account Management)
Trader Workstation (TWS)
WebTrader
Mobile TWS
Fast and convenient
Eliminate the hassle of carrying a separate security device and log in directly from the mobile app. Use your fingerprint or Face ID to log into your brokerage account.
