Interactive Brokers Group Reports Brokerage Metrics and Other Financial Information for June 2022, includes Reg.-NMS Execution Statistics
Interactive Brokers Group (Nasdaq: IBKR) reported June's performance metrics with significant declines in key trading metrics. Daily Average Revenue Trades (DARTs) fell by 18% year-over-year to 2.019 million, while ending client equity of $294.8 billion decreased 19% from the previous year. Client margin loan balances also dropped by 13%. Conversely, client credit balances increased by 13% to $92.5 billion. The company marked a loss of $6.9 million on U.S. government securities in the quarter. Client accounts rose by 36% to 1.92 million, indicating growth in user base.
- Client accounts grew by 36% year-over-year to 1.92 million.
- Client credit balances increased by 13% to $92.5 billion.
- DARTs decreased by 18% year-over-year and 12% month-over-month.
- Ending client equity fell by 19% year-over-year and 6% month-over-month.
- Margin loan balances dropped by 13% year-over-year and 4% month-over-month.
- Mark to market loss of $6.9 million for the quarter.
Brokerage highlights for the month included:
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2.019 million Daily Average Revenue Trades (DARTs)1,
18% lower than prior year and12% lower than prior month. -
Ending client equity of
,$294.8 billion 19% lower than prior year and6% lower than prior month. -
Ending client margin loan balances of
,$42.6 billion 13% lower than prior year and4% lower than prior month. -
Ending client credit balances of
, including$92.5 billion in insured bank deposit sweeps2,$2.2 billion 13% higher than prior year and1% higher than prior month. -
1.92 million client accounts,
36% higher than prior year and2% higher than prior month. - 237 annualized average cleared DARTs1 per client account.
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Average commission per cleared Commissionable Order3 of
including exchange, clearing and regulatory fees. Key products:$2.96
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Average | |||||||||||||
Cleared Commissionable Order |
Order Size | |||||||||||||
Stocks |
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1,326 shares | ||||||||||||
Equity Options |
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6.6 contracts | ||||||||||||
Futures |
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2.9 contracts |
Futures include options on futures. We estimate exchange, clearing and regulatory fees to be
Other financial information for
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Mark to market on
U.S. government securities portfolio4 was a loss of for the quarter ended$6.9 million June 30 th. -
GLOBAL5: The value of the GLOBAL, reported in
U.S. dollars, decreased by0.57% in June and decreased by1.46% for the quarter endedJune 30 th.
In the interest of transparency, we quantify our IBKR PRO clients’ all-in cost of trade execution below.
For the full multimedia release with graph see link:
https://www.interactivebrokers.com/MonthlyMetrics
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In June, IBKR PRO clients’ total cost of executing and clearing
U.S. Reg.-NMS stocks through IB was about 1.9 basis points of trade money6, as measured against a daily VWAP7 benchmark (3.2 basis points net cost for the rolling twelve months).
IBKR PRO Clients' Reg.-NMS Stock Trading Expense Detail | ||||||||||||||||||||||||||
All amounts are in millions, except % | ||||||||||||||||||||||||||
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Previous |
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July '21 |
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Aug '21 |
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Sep '21 |
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Oct '21 |
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Nov '21 |
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Dec '21 |
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Jan '22 |
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Feb '22 |
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Mar '22 |
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Apr '22 |
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May '22 |
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Jun '22 |
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12 Months |
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#1a - Number of orders | ||||||||||||||||||||||||||
Buys | 10.98 |
9.98 |
9.55 |
9.52 |
11.57 |
9.36 |
9.96 |
8.74 |
9.84 |
8.10 |
8.30 |
6.78 |
112.68 |
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Sells | 8.10 |
7.61 |
6.99 |
7.08 |
8.52 |
6.71 |
7.14 |
6.22 |
7.24 |
5.47 |
5.96 |
5.20 |
82.24 |
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Total | 19.08 |
17.59 |
16.54 |
16.60 |
20.09 |
16.07 |
17.10 |
14.96 |
17.08 |
13.57 |
14.26 |
11.98 |
194.92 |
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#1b - Number of shares purchased or sold | ||||||||||||||||||||||||||
Shares bought | 3,785 |
3,263 |
3,412 |
3,595 |
3,764 |
3,169 |
3,012 |
2,699 |
4,104 |
2,855 |
3,097 |
2,983 |
39,738 |
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Shares sold | 3,608 |
3,202 |
3,300 |
3,390 |
3,667 |
3,074 |
2,994 |
2,653 |
4,044 |
2,738 |
3,055 |
2,884 |
38,609 |
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Total | 7,393 |
6,465 |
6,713 |
6,984 |
7,432 |
6,243 |
6,006 |
5,353 |
8,147 |
5,592 |
6,152 |
5,867 |
78,348 |
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#2 - Trade money including price, commissions and fees | ||||||||||||||||||||||||||
2a Buy money |
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2b Sell money |
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2c Total |
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#3 - Trade value at Daily VWAP | ||||||||||||||||||||||||||
3a Buy value |
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3b Sell value |
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3c Total |
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#4 - Total trade expense, including commissions and fees, relative to Daily VWAP | ||||||||||||||||||||||||||
4a Buys (2a-3a) |
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4b Sells (3b-2b) |
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4c Total trade expense |
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Trade expense as percentage of trade money | ||||||||||||||||||||||||||
4c/2c |
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#5 - Trade expense categories | ||||||||||||||||||||||||||
5a Total commissions & fees |
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5b Execution cost (4c-5a) |
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#6 - Trade expense categories as percentage of trade money | ||||||||||||||||||||||||||
Total commissions & fees (5a/2c) |
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Execution cost (5b/2c) |
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Net Expense to IB Clients |
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The above illustrates that the rolling twelve months’ average all-in cost of an IBKR PRO client
________________
Note 1: Daily Average Revenue Trades (DARTs) – customer orders divided by the number of trading days in the period.
Note 2:
Note 3: Commissionable Order – a customer order that generates commissions.
Note 4: Mark to market gains and losses on investments in
Note 5: In connection with our currency diversification strategy, we have determined to base our net worth in GLOBALs, a basket of 10 major currencies in which we hold our equity. The total effect of the currency diversification strategy is reported in Comprehensive Income and the components are reported in (1) Other Income and (2) Other Comprehensive Income (“OCI”) on the balance sheet. The effect of the GLOBAL on our comprehensive income can be estimated by multiplying the total equity for the period by the change in the
Note 6: Trade money is the total amount of money clients spent or received, including all commissions and fees.
Note 7: Consistent with the clients’ trading activity, the computed VWAP benchmark includes extended trading hours.
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More information, including historical results for each of the above metrics, can be found on the investor relations page of the Company’s corporate web site, www.interactivebrokers.com/ir.
About
Cautionary Note Regarding Forward-Looking Statements:
The foregoing information contains certain forward-looking statements that reflect the company's current views with respect to certain current and future events and financial performance. These forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the company's operations and business environment which may cause the company's actual results to be materially different from any future results, expressed or implied, in these forward-looking statements. Any forward-looking statements in this release are based upon information available to the company on the date of this release. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any statements expressed or implied therein will not be realized. Additional information on risk factors that could potentially affect the company's financial results may be found in the company's filings with the
View source version on businesswire.com: https://www.businesswire.com/news/home/20220701005393/en/
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FAQ
What are the latest trading metrics for IBKR in June 2023?
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