Daily Average Revenue Traders, also known as DARTs, and client accounts are at the center for Interactive Broker in its May 2023 report. The American trading platform has revealed that there was a rise in DARTs in May 2023, with the number rising in the single digit of 5%. DARTs for May 2023 are now 1.86 million.
The single digital growth has spread to client accounts as well. The category stands at 2% to dance around $2.26 million.
Client Account is rather impressive on a Year-on-Year basis; however, the same cannot be said about DARTs, for there is a fall of 19%. The only thing keeping optimism alive is the fact that DARTs in March 2023 was on the losing side of 2.05 million. That was a loss of 16% on a monthly basis, manageable on a YoY basis.
April saw DARTs stand at 1.765 million. This is further complemented by the fall in average commission. Client equity rose 1% from the previous month to touch the mark of $345.1 million. This marks a 10% pick up in comparison to last year for the same month. There is a rise in the amount that clients owe to the brokerage firm. Number states $39.5 million, a jump of 1% – significant nonetheless.
The money owed to the brokerage firm is sourced from leveraged traders. The ending client margin loan balance has dipped 10% for the same period in comparison to 2022. There is a decrease in the ending client credit balance. The category is down 1% for the value of $98.7 billion. The earlier mark was $99.2 billion for April 2023. This is still a gain of 8% when compared to the previous year.
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Interactive Broker, one of the best forex brokers in Canada, witnessed a drop in average commission. While the number was $3.08 for every order cleared, it is down by 3% in comparison to April 2023. This is inclusive of fees related to clearance, exchange, and regulation.
Per the report, here is how the commission looks after a proper breakdown:
- $1.95 from an average of 1,103 shares
- $4.43 from 6.6 equity options
- $4.36 from 3.3 futures contracts
Interactive Broker is estimating the clearance, exchange, and regulatory fees to be approximately 57% of the futures commissions.
Commission for Interactive Broker stood at $3.21 for every order in March 2023. That was a rise against February 2023, when the number was $3.12. However, that does not consider all the fees.
Founded in 1977, Interactive Brokers has evolved and adapted to modern times. As crypto attempts to enter the mainstream, many wonder, Is Interactive Brokers safe? Rest assured, the firm is headquartered in Greenwich and complies with regulatory bodies, ensuring safety in global markets.
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Stay tuned for the June 2023 report, expected in the first week of July 2023.
