Interactive Brokers reports DARTs 7% higher and changes in the composition of its currency exposure management unit 

Interactive Brokers Group Reports Brokerage Metrics for June 2016 and New “GLOBAL” Composition

Interactive Brokers Group, Inc. (NASDAQ GS: IBKR) an automated global electronic broker and market maker, reported its Electronic Brokerage monthly performance metrics for June, and changes in the composition of its currency exposure management unit.

Highlights for the month included:

• 643 thousand Daily Average Revenue Trades (DARTs), 7% higher than prior year and even with prior
• month.
• Ending client equity of $73.7 billion, 12% higher than prior year and 2% higher than prior month.
• Ending client margin loan balances of $15.0 billion, 21% lower than prior year and 1% lower than prior
• month.
• Ending client credit balances of $38.7 billion, 16% higher than prior year and 1% lower than prior month.
• 357 thousand client accounts, 15% higher than prior year and 1% higher than prior month.
• 419 annualized average cleared DARTs per client account.
• Average commission per cleared client order of $4.11 including exchange, clearing and regulatory fees. Key
• products:

Changes in the composition of the “GLOBAL” currency exposure management unit

The Company actively manages its global currency exposure by maintaining its equity in proportion to a defined basket of currencies, which it refers to as the “GLOBAL”. Approximately half of the firm’s equity is denominated in currencies other than the U.S. dollar. The composition of the GLOBAL is based on the relative importance of the constituent currencies in the Company’s business and the world economy. As a result of a periodic assessment, and in light of the increasing importance of China to our company’s business, the Company has determined to add the Chinese renminbi (CNH), remove the South Korean won (KRW) and Brazilian real (BRL) components, and realign the relative weights of the U.S. dollar (USD) and Japanese yen (JPY) components to better reflect the global diversification of its businesses.

The new composition contains 15 currencies, one fewer than the prior composition. The Company currently transacts business and is required to manage balances in each of these 15 currencies. The new composition is effective as of the close of business on June 30, 2016 and the conversion to the new targeted currency holdings is taking place over a short time period.

The table below displays the component changes in detail.

Source: Interactive Brokers – Interactive Brokers Data Release

 

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