Any stock/bond buying through a broker is always on street name. One is segregated (ie when no margin loan ) and the other is rehypothated in the market (when there is margin loan) ie IBKR does not use its own money to fund the margin loan.
My understanding is that a cash account is not in street name.
a margin account is and the firm can lend the stock out (largely to shortsellers) regardless if you have a margin debit. If they do, you do not get the dividend but rather a payment in leiu. The only economic different is the tax treatment. A dividend can be qualified for long term tax treatment, a payment in leiu is treated as ordinary income.
Not true. Fully paid stock can not be rehypothecated.
Google search is a fascinating thing - even comes up with IB's knowledge page:
https://ibkr.info/node/1966
Fully Paid Securities
The term "fully paid securities" refers to securities held in a customer's margin or cash account that have been completely paid for and are not being pledged as collateral to support the purchase of other securities on margin. The term is relevant from a regulatory perspective as the SEC requires that U.S. broker dealers segregate and maintain in a good control location (e.g., DTC or bank) all customer securities which are fully paid. Such securities cannot be pledged or loaned to finance the activities of the firm or other customers.
My understanding is that a cash account is not in street name.
a margin account is and the firm can lend the stock out (largely to shortsellers) regardless if you have a margin debit. If they do, you do not get the dividend but rather a payment in leiu. The only economic different is the tax treatment. A dividend can be qualified for long term tax treatment, a payment in leiu is treated as ordinary income.
Imagine the onerous changes that a stock will go through every time it is bought/sold in terms of share registration etc. Talking about the expenses and workloads. Do you think IBKR will make money charging only 33 cents a trade and without custodian fee.
If you want to buy stock to your name, buy it directly from the companies, some companies have such programs working with some brokers of their choices. You end up opening numerous accounts if you want to have a diversified holding.
Even long term holder like Buffet/Berkshire have their shareholding on streetname basis through their favorite brokers (Citigroup primarily).
securities in non margin account in all brokerages (cash only transaction) are on street name.I don’t understand the point of your post
securities in non margin account in all brokerages (cash only transaction) are on street name.
https://www.sec.gov/reportspubs/investor-publications/investorpubsholdsechtm.html#faq