Interactive Brokers Group, Inc. (NASDAQ GS:IBKR) is the first online broker to offer direct access to IEX to its investors, traders and institutions. IEX is an ATS designed to focus on investor protection and performance.
Interactive Brokers’ (IB) sophisticated customer base may now choose to send their US stock orders to IEX directly. Customers also have the choice of using IB SmartRoutingSM technology. IB SmartRouting searches for the best firm stock, option and combination prices available at the time of the order, and seeks to immediately execute the order electronically.
Steve Sanders, executive vice president of marketing and product development at Interactive Brokers, said “Customer interest in IEX as a result of recent media exposure is apparent. We determined that it makes sense to connect directly to this new trading venue, thereby providing our customers with another market center destination.”
For 37 years, the IB Group¹ has been building electronic access trading technology that delivers real advantages to traders, investors and institutions worldwide. Interactive Brokers is the largest US electronic broker based on daily average revenue trades executing 583,000 trades per day².
Based on independent measurements, the Transaction Auditing Group, Inc. (TAG), a third-party provider of transaction analysis, has determined that Interactive Brokers’ US stock and options price executions were significantly better than the industry³ during the second half of 2013. The IB price advantage is better than the industry by $0.23 per 100 shares of US stock and $0.20 per US option contract.
¹ Includes Interactive Brokers Group and predecessor companies.
² March 2014 results.
³ The Transaction Auditing Group (TAG). Industry as a whole for the referenced periods according to TAG. The TAG analysis for US stocks included all market orders of 100 shares or more up to 10,000 shares. The analysis for US options included all market order sizes in US options and includes exchange rebates received by customers under IB's cost-plus pricing structure. The TAG analysis of orders routed to exchanges in Europe included all orders routed for execution during regular trading hours including all market and marketable limit orders and orders near the market (orders having a limit price within one-tenth of a Euro from the quote price at time of order receipt) on stocks listed on the included exchanges, weighted by the volume executed on each exchange. The exchanges for European stocks are XETRA, EURONEXT, CHI-X, WIENER BORSE, TURQUOISE, LONDON and NASDAQ OMX.