Interactive Brokers Margin

[KeLo]

I couldn't believe this, but the fact remains.

I have been with IB for years, but after this, I'm seriously considering to switch brokers.

Obviously IB is running very scared.

That scares me too, but volatility also creates opportunity - for us anyway (as long as the broker doesn't go broke).

Times change, people change... IB lost $23 million last summer daytrading (market making) options and sold its MM biz.

We have to do whatever is best for us, broker loyalty notwithstanding. I am also in the process of switching brokers, although I will keep an IB account for the time being.

 

[Sig]

Obviously IB is running very scared.

That scares me too, but volatility also creates opportunity - for us anyway (as long as the broker doesn't go broke).

Times change, people change... IB lost $23 million last summer daytrading (market making) options and sold its MM biz.

We have to do whatever is best for us, broker loyalty notwithstanding. I am also in the process of switching brokers, although I will keep an IB account for the time being.

IB has been doing this particular bit of madness for years. There's no reason to believe it indicates any financial distress on their part, it's merely rank stupidity.

 

[KeLo]

IB has been doing this particular bit of madness for years. There's no reason to believe it indicates any financial distress on their part, it's merely rank stupidity.

Well, I am not sure how stupid it is for IBKR. Their stock price looks pretty good to me.

 

[HobbyTrading]

I feel like I'm talking to a wall.

Welcome to IB. Their customer service is designed to be a wall.

 

[truetype]

Their customer service was fine. OP asked for a margin adjustment and IB politely declined. The real issue is “what part of ‘no’ don’t you understand?”

 

[weewilly]

They effectively told him he cannot protect his portfolio by adding gamma where he pleases which is both ridiculous and a serious problem for an options brokerage. I would press them on it or go elsewhere. I would certainly have a second broker somewhere in any event.

 

[ajacobson]

This going to sound incredibly foolish. Are there any earlier dated verticals in the SPX ?

 

[JackRab]

what if you do the ES 1300 put instead of the SPX? That way it's not possible to put kit in a spread.. so it wouldn't come up in their algorithm as changing any of the existing spreads.

 

[Chubbly]

Their calculator and support are messed up.
I stopped trading with them

I had a similar issue when they couldn't figure out the risk correctly in a debit spread
https://www.elitetrader.com/et/thre...-ib-margin-calculator-and-support-are.306919/

 

[ajacobson]

So they may not be wrong. If you have earlier dated SPX verticals in your account - their algo may have picked up your attempt to buy as creating a European calendar. OP do you have some Feb or March verticals in the SPX?