IB Announces about Universal Account

yes, that's it, with the exeption there is no "have" or "must".
you can carry around your balances, p/l, as long as you want
(e.g. you trade FESX 1 month, and convert you profit once
a month)
 
sorry but which operation was the good one ?
the first one or the second one ? And were the fees associated the good one ?


And do you pay the fixed comm each time you open a position in a foreign currency or only when you finally convert your P&L?
 
example:

i have an USD-based account with all USDs in it.

i trade ESTOXX fut. 20 days, close always intraday, 20 rt. per
day. the commissions are taken from my EUR subaccount,
which gets into debit. however, i made decent profits
with the futures... after 20 days i have made 10000EUR,
-1000EUR commissions, which i accumulated over the days.
i want to get a new car, i sell EUR on IDEAL vs. USD
(paying commissions) and get it wired out...

got it ?
 
Originally posted by saschabr
example:

i have an USD-based account with all USDs in it.

i trade ESTOXX fut. 20 days, close always intraday, 20 rt. per
day. the commissions are taken from my EUR subaccount,
which gets into debit. however, i made decent profits
with the futures... after 20 days i have made 10000EUR,
-1000EUR commissions, which i accumulated over the days.
i want to get a new car, i sell EUR on IDEAL vs. USD
(paying commissions) and get it wired out...

got it ?
More...

Still unclear sorry :)

1. 1000 EUR commissions is...IB future comm or FX commissions?
400 trades (20x20) should be 1600 EUR that is why I asked.
2. Sell EUR/USD is like buying USD/EUR right ?
3. What do you call EUR subaccount? Do you mean EUR P&L on
your universal account ?
 
1. futures commish
2. yes, the same
3. an universal account has many hidden subaccounts,
i assume (e.g. USD stocks, USD futures, EUR, HKD, GBP, ETC),
they are IB internal
 
Ok I understood...

I think IB should do a page with various trader profile and explain it that way with examples. We are not all used to FX operations...

Last question :
When you sell EUR/USD you pay :
1. 2.95$ comm ?
2. 3.25€ ?

Then I guess when you buy USD/EUR you pay the other one...
 
good question, i think this is due to your account base
currency, when you do not trade cross-currency.
the currency commish is more if it is taken on an EUR
basis (since EUR is - was less worth than one USD).
also possible: the currency bought determines commission
currency - and therefore the amount.
 
I would think like what you said at the end : the currency bought determine the commission

If you sell EUR vs USD you indeed buy USD so they would substract the 2.95$ from the EUR amount that has just been converted in USD...

Sounds logical for me...

I sent a mail to IB to ask them to do a dedicated FX pages with clear real life examples of trader profile, more informations on the classical FX spread on majors & crosses, and on the margin they practise for FX, also they should clearly write that they don't accept incoming EUR wires to a USD Universal and so on...

I guess the questions we asked will become the top 1 question to IB helpdesk if they don't write this page.

Maybe also a test about all those conversions when you open a universal would be good so that everybody study& understand how the multicurrency part work.
 
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