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Prime Broker Services - Highlights


Prime Broker Services - Highlights Learn about Prime Brokerage Services Prime Broker Take-up Fees

 

Choose Place Trade for the best in Prime Brokerage Services

Enjoy the benefits of advanced technology, experience, strength and great client service. For the past 38 years our clearing firm (Interactive Brokers1) has focused on applying technology to every part of the trading and settlement process. Through our highly automated technology, we execute trades for our customers on over 100 exchange and market centers in 19 countries around the world. Group-wide our clearing firm clears and settles over 1,000,000 trades per day. Our global reach, substantial equity capital and low-risk business model give us a unique competitive advantage in today's rapidly changing markets.

 

Strong Balance Sheet

When it comes to choosing the right firm to meet all of your prime brokerage needs, strength and security are the key to your clients' success. Our clients enjoy the continued strength of our clearing firm's organic growth of capital from profits over the years. As part of the IB Group, our clearing firm has US $4.8 billion in equity capital2 and very low debt. The group is still approximately 90% owned by the original owners who closely manage the business.

 

 

Large Relative Equity Capital

Our clearing firm has over US $1.1 billion in regulatory net capital, which is $850 million in excess of regulatory requirements. The Firm uses proprietary software to automate broker-dealer functions and integrate its software with exchanges and trading venues into one automatically functioning, computerized platform. The orders that customers enter into our Trader WorkStation ("TWS") or other order management systems are electronically routed to the markets using proprietary order routing technology. Place Trade also uses a real-time risk management system that works behind the scenes to manage risk and enforce credit-related regulations. Place Trade requires all orders submitted for accounts held at IB to be credit checked prior to accepting the order for routing to the market. The system ensures that trades will be supported by current equity in the account and also automatically liquidates under-margined positions without making margin calls. This policy protects the firm's capital and the rest of the firm's customers as well as limiting the losses in customer accounts.

 

Low Risk Business Model

Place Trade Financial, Inc. (along with its clearing firm - Interactive Brokers LLC) is an agency broker for its customers. It does not maintain a proprietary trading desk or sales trading desk and does not trade for its own account.

 

Customer Fund Protection

As a regulated broker, Place Trade Financial, Inc. is subject to SEC and CFTC regulations regarding investment of customer funds. Permissible investment vehicles include bank deposits and a variety of top-rated government securities and related instruments. Our effective investment policy is more stringent than this, reflecting our risk-averse philosophy. We invest customer funds only in government securities and repos, FDIC-backed corporate bonds, cash deposits in bank accounts at the largest banks and triple A-rated Money Market Funds (in which we invest less than 2% of customer assets). Our investment policy is very conservative. Our strict policy when investing client money minimizes your exposure and ours in uncertain credit environments.

 

Consistent Performance

Financial professionals who find the large prime brokers too expensive to meet their needs come to us from around the world in increasing numbers. Our ongoing focus on using technology to connect to the world's markets and automate all aspects of the trading and settlement process, combined with our low-risk business model and risk-averse philosophy results in continued growth of our customers' equity.

 

 

Additional Resources

1 Includes Interactive Brokers Group and predecessor companies.
2 As of September 2010.
Place Trade Financial, Inc. is a member of FINRASIPC. Our clearing firm, Interactive Brokers LLC, is a member of NYSEFINRASIPC. Supporting documentation for any claims and statistical information will be provided upon request. Any stock, options futures or trading symbols displayed are for illustrative purposes only and are not intended to portray a recommendation of any security or securities product.  Nothing contained herein should be considered as an offer to sell or a solicitation of an offer to buy any security. Interactive Brokers does not provide investment advice.  
 
Place Trade Financial, Inc. does not provide investment advice to online trading clients/accounts, online institutional accounts or any other individual or account that is not specifically set up as a full service client and on a full service commission and fee schedule. Place Trade Financial, Inc. will only provide investment advice to full service clients that are specifically set up for full service trading and advice. (Full Service clients work with experienced financial consultants and pay full service commissions and fees which are different than online trading commissions and fees.) Place Trade Financial, Inc. does not provide tax advice to online trading clients/accounts, online institutional accounts or any other individual or account at any time.  
 

 

Prime Broker Services - Highlights

Learn about Prime Brokerage Services

Prime Broker Take-up Fees

 

For information regarding fees please call us at 1-919-719-7200.

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