06 February 2018
Interactive Brokers - How to Close Your Account
Complete the following steps to close your account at IB. Note that for USD-based accounts, we will initiate an ACH transfer based on an ACH bank instruction you have on file. If you have more than one ACH bank instruction on file, you will have the opportunity to select one. If you do not have any ACH bank instructions, we will issue a check to your U.S. mailing address on file. For all non-USD based accounts, we will issue a wire based on the banking instruction on file.
1.
Liquidate or Transfer Positions
Accounts with positions cannot be closed. You must either liquidate, or transfer all positions to another brokerage firm. Please contact your broker for transfer instructions.
To check your positions, log in to Account Management and select Reports > Activity. View your latest statement to verify that all positions have been liquidated or transferred.
2. Convert Foreign Currencies
Closing withdrawals may only be made in your base currency. You must convert any foreign currency you may hold back to your account's base currency. Be sure to check your statement and consider any dividend or interest accruals. The conversion can be processed using the Trader Workstation FXTrader. IB will automatically convert non-Base currency balances when you submit a close account request and the balances are below USD 1,000 equivalent. If you need assistance with the conversion process please contact our Trade Desk.
3.
Verify Bank Wire Instructions
For all non-USD based accounts, we will issue a wire based on the saved bank information (instruction) on file. If you do not have any saved bank information (instruction) for a Wire Withdrawal, create one.
4.
Return Secure Login Device
If you participate in the Secure Login System, you must return your secure login device. Cash balances will be reduced by the cost of the device (between USD 20 and USD 150 depending on device) until the secure login device is returned.
For more information regarding how to return the device please contact our Technical Assistance Department or visit our web site: http://ibkb.interactivebrokers.com/node/975
5.
IRA Accounts Withdrawals
IRA account holders will need to complete an IRA Withdrawal on the Funding > Fund Transfers page in Account Management and specify the type of withdrawal for government tax reporting purposes.
6. Ensure Recent Deposits Have Cleared
All recent deposits, such as ACH, check and wire transfers, must have time to clear according to the Customer Deposit Credit and Hold Periods policy before your request to close your account can be honored.
See the Funding Reference for details on credit and hold periods:
7.
Check Statements and Tax Forms
To access activity statements and tax forms, log in to Account Management and open the Reports menu.
This information will only be available for a limited time after your account is closed. You will need to save your username and password for future access to statements.
8.
Close Account
1. After you have completed all of the previous steps, log in to Account Management and select Manage Account > Settings > Close Account.
• For USD-based accounts only, we will initiate an ACH transfer if you have an existing ACH bank instruction. If you have more than one ACH bank instruction, select the ACH bank instruction you wish to use from the drop-down list on the Close Account page.
• For USD-based accounts only, if you do not have an existing ACH bank instruction, you can either create one in Account Management on the Fund Transfers page or we will issue a check to your U.S. mailing address on file. In the latter case, confirm that we have your correct U.S. mailing address by checking the address displayed on the Close Account page.
To make changes, open the Profile page in Account Management by selecting Manage Account > Account Information > Details.
2.Specify the reason you are closing your account by clicking the appropriate check boxes.
3. Click the Submit button to submit your request.
Your account will generally be held open for up to three months after you receive your closing withdrawal to collect any possible future fees, dividends, interest, or corporate actions. After that time, your account will be closed permanently.
4.Check back to see if any balance has been created on future statements.
5.You can view the status of your request to close your account by logging in to Account Management and selecting Manage Account > Settings > Close Account > Status.
If the above criteria are not met, our system will be unable to process your account closure request. Inactivity fees will continue to be deducted from an account until the above steps are completed, including the return of any Secure Login System device. Also note that funds held to secure the return of the security device may not be withdrawn until the device has been returned, and will be applied to meet any inactivity or market data fees.
1.
Liquidate or Transfer Positions
Accounts with positions cannot be closed. You must either liquidate, or transfer all positions to another brokerage firm. Please contact your broker for transfer instructions.
To check your positions, log in to Account Management and select Reports > Activity. View your latest statement to verify that all positions have been liquidated or transferred.
2. Convert Foreign Currencies
Closing withdrawals may only be made in your base currency. You must convert any foreign currency you may hold back to your account's base currency. Be sure to check your statement and consider any dividend or interest accruals. The conversion can be processed using the Trader Workstation FXTrader. IB will automatically convert non-Base currency balances when you submit a close account request and the balances are below USD 1,000 equivalent. If you need assistance with the conversion process please contact our Trade Desk.
3.
Verify Bank Wire Instructions
For all non-USD based accounts, we will issue a wire based on the saved bank information (instruction) on file. If you do not have any saved bank information (instruction) for a Wire Withdrawal, create one.
4.
Return Secure Login Device
If you participate in the Secure Login System, you must return your secure login device. Cash balances will be reduced by the cost of the device (between USD 20 and USD 150 depending on device) until the secure login device is returned.
For more information regarding how to return the device please contact our Technical Assistance Department or visit our web site: http://ibkb.interactivebrokers.com/node/975
5.
IRA Accounts Withdrawals
IRA account holders will need to complete an IRA Withdrawal on the Funding > Fund Transfers page in Account Management and specify the type of withdrawal for government tax reporting purposes.
6. Ensure Recent Deposits Have Cleared
All recent deposits, such as ACH, check and wire transfers, must have time to clear according to the Customer Deposit Credit and Hold Periods policy before your request to close your account can be honored.
See the Funding Reference for details on credit and hold periods:
7.
Check Statements and Tax Forms
To access activity statements and tax forms, log in to Account Management and open the Reports menu.
This information will only be available for a limited time after your account is closed. You will need to save your username and password for future access to statements.
8.
Close Account
1. After you have completed all of the previous steps, log in to Account Management and select Manage Account > Settings > Close Account.
• For USD-based accounts only, we will initiate an ACH transfer if you have an existing ACH bank instruction. If you have more than one ACH bank instruction, select the ACH bank instruction you wish to use from the drop-down list on the Close Account page.
• For USD-based accounts only, if you do not have an existing ACH bank instruction, you can either create one in Account Management on the Fund Transfers page or we will issue a check to your U.S. mailing address on file. In the latter case, confirm that we have your correct U.S. mailing address by checking the address displayed on the Close Account page.
To make changes, open the Profile page in Account Management by selecting Manage Account > Account Information > Details.
2.Specify the reason you are closing your account by clicking the appropriate check boxes.
3. Click the Submit button to submit your request.
Your account will generally be held open for up to three months after you receive your closing withdrawal to collect any possible future fees, dividends, interest, or corporate actions. After that time, your account will be closed permanently.
4.Check back to see if any balance has been created on future statements.
5.You can view the status of your request to close your account by logging in to Account Management and selecting Manage Account > Settings > Close Account > Status.
If the above criteria are not met, our system will be unable to process your account closure request. Inactivity fees will continue to be deducted from an account until the above steps are completed, including the return of any Secure Login System device. Also note that funds held to secure the return of the security device may not be withdrawn until the device has been returned, and will be applied to meet any inactivity or market data fees.
Labels: brokerage
26 June 2017
Which FX and CFD Brokerage Firm Should You Use?
We’ll make that choice simple by focusing on just three main factors:
Fees and charges
Diversity of products offered
Additional features and resources
1. Fees and charges
The first point of consideration is arguably what Singaporeans look at the most, and that is the cost of trading. Even the best investment with the most attractive returns may turn out to be a mistake if the cost of making that investment ends up eating into your profits.
The key here, to no one’s surprise, is to look out for brokers with the lowest fees and charges. Because these charges are quite different for each investment product, we’ll be comparing them separately.
Forex minimum spread
PhillipCapital CMC Oanda Saxo
EUR/USD 0.6 1.1 0.7 1.0 0.8
AUD/USD 0.6 1 0.7 1.0 0.8
USD/JPY 0.7 1 0.7 1.0 0.8
GBP/USD 0.9 1 0.9 2.5 0.8
EUR/JPY 1.5 1 1.5 1.4 1.4
Forex transactions work on the basis of spreads. It works similar to a commission, in that the broker earns a percentage of your transaction amount. You’ll want the spread to be as low as possible, of course.
However, because of the more volatile nature of Forex, what most brokers can only assure you of is the minimum spread they’ll charge. Still, knowing the minimum spread is a pretty good indicator of how much more you might end up paying.
Indices spread
PhillipCapital CMC Oanda Saxo
Germany 30 1 N/A 1 1 1.5
US 30 Wall Street 1.8 4 1.4 2 2.5
Hong Kong HS50 6 8 5 5 12
S&P 500 0.4 0.5 5 0.5 0.5
China A50 12 10 20 N/A 12
FTSE 100 2 N/A 1 1 1
Similar to Forex, when investing in stock index CFD, brokers also charge a spread.
Share CFD fees and charges
PhillipCapital CMC Oanda Saxo
SG shares commission 0.10% (min. S$15) from 0.128% (min. S$25) CMC 0.10% (min. S$10) N/A 0.12% (min. S$15)
US shares commission 2 cents/share (min. US$15) from 0.18% (min. US$15) 2 cents/share (min. US$10) N/A 1 cent/share (min. US$9.90)
When it comes to buying and selling shares, commission prices are a fixed percentage of the total price. Do note that for leveraged trading, all brokers also have a funding cost to keep the position open overnight. This cost is usually pegged to interbank rates and can become quite substantial if you decide to hold a position over a longer timeframe.
2. Diversity of products offered
When you’re starting out on your investment journey, you may only want to focus on one product that you’re more familiar with. But as you build your confidence and your portfolio, you may find yourself wanting to expand your horizons and diversify the kind of products you’re investing in.
Here’s a quick overview of what products types are being offered, as well as the number of choices in each product type each broker offers. We’ve narrowed it down to 5 brokers and the more popular investment product types available today.
IG PhillipCapital CMC Oanda Saxo
Forex 90 35 338* 40 182
Shares CFD Over 10,000 Over 2,700 Over 9,000 N/A Over 8,800
Indices 30 14 87 14 29
Commodities 20 2 111 8 19
Binaries Yes N/A Yes N/A N/A
*For CMC, 338 includes both cash and forward pairs.
As you can see, most brokers on our list are already offering investment products we’re looking at, with the exception of binaries. Binaries, as mentioned in a previous article, are a simple product that allows you the benefit of being aware of your risk, while still being able to profit from short-term market movements.
3. Additional features and other resources
While cost is definitely an important factor when choosing a broker, it’s always good to see what other features and resources each broker offers. You definitely want a broker that has a convenient platform that loads quickly both on mobile and desktop, and is preferably customisable to your needs.
Certain additional technological features like risk management tools, in the form of guaranteed stops or alert tools, can also set a broker apart. For more advanced traders, access to algorithmic trading systems to automate the trading process could also be something to look out for in a platform.
Fees and charges
Diversity of products offered
Additional features and resources
1. Fees and charges
The first point of consideration is arguably what Singaporeans look at the most, and that is the cost of trading. Even the best investment with the most attractive returns may turn out to be a mistake if the cost of making that investment ends up eating into your profits.
The key here, to no one’s surprise, is to look out for brokers with the lowest fees and charges. Because these charges are quite different for each investment product, we’ll be comparing them separately.
Forex minimum spread
PhillipCapital CMC Oanda Saxo
EUR/USD 0.6 1.1 0.7 1.0 0.8
AUD/USD 0.6 1 0.7 1.0 0.8
USD/JPY 0.7 1 0.7 1.0 0.8
GBP/USD 0.9 1 0.9 2.5 0.8
EUR/JPY 1.5 1 1.5 1.4 1.4
Forex transactions work on the basis of spreads. It works similar to a commission, in that the broker earns a percentage of your transaction amount. You’ll want the spread to be as low as possible, of course.
However, because of the more volatile nature of Forex, what most brokers can only assure you of is the minimum spread they’ll charge. Still, knowing the minimum spread is a pretty good indicator of how much more you might end up paying.
Indices spread
PhillipCapital CMC Oanda Saxo
Germany 30 1 N/A 1 1 1.5
US 30 Wall Street 1.8 4 1.4 2 2.5
Hong Kong HS50 6 8 5 5 12
S&P 500 0.4 0.5 5 0.5 0.5
China A50 12 10 20 N/A 12
FTSE 100 2 N/A 1 1 1
Similar to Forex, when investing in stock index CFD, brokers also charge a spread.
Share CFD fees and charges
PhillipCapital CMC Oanda Saxo
SG shares commission 0.10% (min. S$15) from 0.128% (min. S$25) CMC 0.10% (min. S$10) N/A 0.12% (min. S$15)
US shares commission 2 cents/share (min. US$15) from 0.18% (min. US$15) 2 cents/share (min. US$10) N/A 1 cent/share (min. US$9.90)
When it comes to buying and selling shares, commission prices are a fixed percentage of the total price. Do note that for leveraged trading, all brokers also have a funding cost to keep the position open overnight. This cost is usually pegged to interbank rates and can become quite substantial if you decide to hold a position over a longer timeframe.
2. Diversity of products offered
When you’re starting out on your investment journey, you may only want to focus on one product that you’re more familiar with. But as you build your confidence and your portfolio, you may find yourself wanting to expand your horizons and diversify the kind of products you’re investing in.
Here’s a quick overview of what products types are being offered, as well as the number of choices in each product type each broker offers. We’ve narrowed it down to 5 brokers and the more popular investment product types available today.
IG PhillipCapital CMC Oanda Saxo
Forex 90 35 338* 40 182
Shares CFD Over 10,000 Over 2,700 Over 9,000 N/A Over 8,800
Indices 30 14 87 14 29
Commodities 20 2 111 8 19
Binaries Yes N/A Yes N/A N/A
*For CMC, 338 includes both cash and forward pairs.
As you can see, most brokers on our list are already offering investment products we’re looking at, with the exception of binaries. Binaries, as mentioned in a previous article, are a simple product that allows you the benefit of being aware of your risk, while still being able to profit from short-term market movements.
3. Additional features and other resources
While cost is definitely an important factor when choosing a broker, it’s always good to see what other features and resources each broker offers. You definitely want a broker that has a convenient platform that loads quickly both on mobile and desktop, and is preferably customisable to your needs.
Certain additional technological features like risk management tools, in the form of guaranteed stops or alert tools, can also set a broker apart. For more advanced traders, access to algorithmic trading systems to automate the trading process could also be something to look out for in a platform.
Labels: brokerage, Forex Brokers
04 July 2011
Standard Chartered Bank offering stock brokerage service at lowest commission of 0.18% to 0.20% and without imposing minimum commission
I think SCB scheme is excellent for long term investors using dollar cost averaging method - buy STI ETF 1000 or Nikko AM STI ETF 100 - you can buy as low as 100 units (for Nikko AM STI ETF 100) a time to have a highly accurate averaging with no minimum commission. hope it will not change this scheme in the future.
instead of buying once a month, you can further diversify time of buying by dividing into 4 to 5 times a month, say, buy 100 units of Nikko STI ETF 100 every Friday at 4.30pm.
this is an important clue for serious long term investors that are considering using DCA method to reduce risk and achieve a reasonable long term compounded annual growth rate (CAGR) of 5% to 5.6% plus annual dividend of about 2% to 3% plus cost savings of x% due to using DCA (20.3% cost savings for the last 31.4 years from Jan 1980 to May 2011) according to my calculation of STI performance in the last 31.4 years.
long term investment means investing for 10 to 30 years.
instead of buying once a month, you can further diversify time of buying by dividing into 4 to 5 times a month, say, buy 100 units of Nikko STI ETF 100 every Friday at 4.30pm.
this is an important clue for serious long term investors that are considering using DCA method to reduce risk and achieve a reasonable long term compounded annual growth rate (CAGR) of 5% to 5.6% plus annual dividend of about 2% to 3% plus cost savings of x% due to using DCA (20.3% cost savings for the last 31.4 years from Jan 1980 to May 2011) according to my calculation of STI performance in the last 31.4 years.
long term investment means investing for 10 to 30 years.
Labels: Back Test, brokerage, Dollar Cost Averaging, ETF, STI ETF
29 April 2009
Brokerage with low commssion
[quote="tradeforliving"]I am looking for the best brokerage to cut down my trading cost,
Find the Amfraser day trader program look very attract. they charge only 0.08% for intra day trading and 0.12% for holding overnight, the only requirement is trader need to generate at least S$600 commission per month. minimum per trade is S$10.
Those has joint this program can share your experience ?
Does any full time trader hear could recommend other broker with lower brokerage.
Thanks and Best Regard.[/quote]
Find the Amfraser day trader program look very attract. they charge only 0.08% for intra day trading and 0.12% for holding overnight, the only requirement is trader need to generate at least S$600 commission per month. minimum per trade is S$10.
Those has joint this program can share your experience ?
Does any full time trader hear could recommend other broker with lower brokerage.
Thanks and Best Regard.[/quote]
Labels: brokerage
