Shares subject to the Italian Financial Transaction Tax

The following table lists the companies included in the scope of the Italian Financial Transaction Tax as of January 2016. Based on information provided by the Ministry of Finance, the FTT is applicable to

  • Transfer of shares issued by Italian companies
  • Transfer of securities representing the above (ADRs and GDRs) irrespective of the issuer
  • Companies with an average market capitalization lower than EUR 500 Million in the month of November of the previous year will be exempt

The list of companies provided below is being done on a best efforts basis and may be subject to change at any time without prior notification.

Symbol  Description
A2A  A2A SPA 
AEMMY  A2A SPA-UNSPONSORED ADR 
ACE  ACEA SPA 
SAVE AEROPORT DI VENEZIA MARCO POLO
KRS AION RENEWABLES SPA
AZA ALITALIA
AXN  AMPLIFON SPA 
ANIM ANIMA HOLDING
STS  ANSALDO STS SPA 
ASDOY  ANSALDO STS SPA-UNSPON ADR 
AP ANTICHI PELLETTIERI SPA
ASC ASCOPIAVE SPA
ASSICURAZIONI GENERALI 
ARZGY  ASSICURAZIONI GEN-UNSPON ADR 
GASIN ASSICURAZIONI GENERALI
ASG ASSICURAZIONI GENERALI
AST  ASTALDI SPA
ATL  ATLANTIA SPA 
ATASY  ATLANTIA SPA-UNSPONSORED ADR 
AGL  AUTOGRILL SPA 
ATGSY AUTOGRILL SPA - UNSPON ADR
AT ATM SPA
MLALZ AZ LEASING
AZM  AZIMUT HOLDING SPA 
CRG  BANCA CARIGE SPA 
CRGR  BANCA CARIGE SPA-RSP 
BGN  BANCA GENERALI SPA 
IF BANCA IFIS SPA
BIM1 BANCA INTERMOBILIARE SPA
BMPS  BANCA MONTE DEI PASCHI SIENA 
AMDPY BANCA MONTE DEI PASCHI SIENA  UNS ADR
BMDPY BANCA MONTE DEI-UNSPON ADR
CVAL BANCA PICCOLO CREDITO VALTELLINESE SCARL
BPE  BANCA POPOL EMILIA ROMAGNA 
BPXXY BANCA POPOL EMILIA-UNSP ADR
PMI  BANCA POPOLARE DI MILANO 
BPSO  BANCA POPOLARE DI SONDRIO 
BPMLY  BANCA POPOLARE DI-UNSPON ADR 
BP  BANCO POPOLARE SCARL 
BPSAY  BANCO POPOLARE SCARL-UNS ADR 
BNS  BENI STABILI SPA 
BRE1  BREMBO SPA 
BC  BRUNELLO CUCINELLI SPA 
BCUCY BRUNELLO CUCINELLI SPA  UNS ADR
BZU  BUZZI UNICEM SPA 
BZUR  BUZZI UNICEM SPA-RSP 
BZZUY  BUZZI UNICEM SPA-UNSPON ADR 
CEM2
CEMENTIR HOLDING SPA
CERV CERVED INFORMATION SOLUTIONS
CIR  CIR SPA 
COPN  COSMO PHARMACEUTICALS SPA 
CQ1  COSMO PHARMACEUTICALS SPA 
CE  CREDITO EMILIANO SPA 
DAS  DANIELI & CO. 
DANR  DANIELI & CO-RSP 
DNIYY  DANIELI & CO-UNSPONSORED ADR 
DAL1 DATALOGIC SPA
CPR  DAVIDE CAMPARI-MILANO SPA 
DVDCY  DAVIDE CAMPARI-MI-UNSPON ADR 
DLN  DE'LONGHI SPA 
DLC DELCLIMA
DIA  DIASORIN SPA 
DASOY  DIASORIN SPA-ADR 
EIT  EI TOWERS SPA 
EGPW  ENEL GREEN POWER SPA 
ENEL  ENEL SPA 
ENLAY  ENEL SPA - UNSPON ADR 
ENELN ENEL SPA
ENG ENGINEERING SPA
ENI  ENI SPA 
ENI SPA-SPONSORED ADR 
EN  ENI SPA-SPONSORED ADR 
ERG  ERG SPA 
MLEBX ESSERE BENESSERIE SPA
EXO  EXOR SPA 
EXON EXOR SPA
EXP  EXOR SPA - PRF 
RACE FERRARI NV
RACE FERRARI NV
FIM
FIAT INDUSTRIAL 
FIAT SPA 
FRM  FIAT SPA-RSP 
FIATY  FIAT SPA-SPONS ADR 
FCT1 FINCANTIERI SPA
FBK FINECOBANK SPA
FNC  FINMECCANICA SPA 
FINMY  FINMECCANICA SPA-UNSPN ADR 
FSA  FONDIARIA-SAI SPA 
FSAR  FONDIARIA-SAI SPA - RSP 
FSRB  FONDIARIA-SAI SPA B SAVING S 
GEO  GEOX SPA 
GXSBY  GEOX SPA-UNSPONSORED ADR 
GN3 GNM - GOOD NEWS MEDIA GROUP
GPEDY GRUPPO EDITORIALE L-UNS ADR
HER  HERA SPA 
MLHTT HIGHTEL TOWERS SPA
IGD IMMOBILIARE GRANDE DISTRIBUZ
IPG  IMPREGILO SPA 
IPGR  IMPREGILO SPA-RSP 
IMPJY  IMPREGILO SPA-UNSPON ADR 
IMA  INDUSTRIA MACCHINE AUTOMATIC 
INW1 INFRASTRUTTURE WIRELESS ITAL
IP  INTERPUMP GROUP SPA 
ISP  INTESA SANPAOLO 
ISPN INTESA SANPAOLO
ISNPY  INTESA SANPAOLO SPON ADR 
ISPR  INTESA SANPAOLO-RSP 
IRE  IREN SPA 
IRDEY  IREN SPA-UNSPON ADR 
IT  ITALCEMENTI SPA 
ITR  ITALCEMENTI SPA -RSP 
ITALY  ITALCEMENTI SPA-UNSPONS ADR 
ITM ITALMOBILIARE SPA
ITMR ITALMOBILIARE SPA
ITPG ITP ENERGY CORP
CRE LA GIOVANNI CRESPI SPA
MLLB LUIGI BOTTO
LTO  LOTTOMATICA GROUP SPA 
GTKYY LOTTOMATICA SPA-SPON ADR 
LUX  LUXOTTICA GROUP SPA 
LUX  LUXOTTICA GROUP SPA-SPON ADR 
3OY MAIRE TECNIMONT SPA
MARR MARR SPA
MS  MEDIASET SPA 
MDIUY  MEDIASET SPA-SPONSORED ADR 
MB  MEDIOBANCA SPA 
MDIBY  MEDIOBANCA SPA-UNSPONSOR ADR 
MLMCE MEDIOCREDITO EUROPEO SPA
MED  MEDIOLANUM SPA 
MDLAY  MEDIOLANUM SPA-UNSPONSOR ADR 
MONC1 MONCLER SPA
MTV MONDO TV SPA
NTZ NATUZZI SPA SP ADR
OVS OVS SPA
PLT  PARMALAT SPA 
PRF PARMALAT FINANZIARIA
PIA  PIAGGIO & C. S.P.A. 
PIAN PIAGGIO & C. S.P.A.
PC  PIRELLI & C. 
PCP  PIRELLI & C.-RSP 
PST POSTE ITALIANE SPA
1913 PRADA S.P.A. 
PRP  PRADA S.P.A. 
PRDSY  PRADA S.P.A.-UNSP ADR 
PRAM PRAMAC SPA
PRY  PRYSMIAN SPA 
PRYMY  PRYSMIAN SPA-UNSPONSOREE ADR 
RWAY RAI WAY SPA
REC  RECORDATI SPA 
REY REPLY SPA
SFL SAFILO GROUP SPA
SAFLY SAFILO GROUP SPA
SFLN SAFILO GROUP SPA
ALWOO SAFWOOD SPA
SPM  SAIPEM SPA 
SAPMY  SAIPEM SPA-UNSPON ADR 
SPMR  SAIPEM-RCV 
SALR SALINI IMPREGILO SPA-RSP
SFER  SALVATORE FERRAGAMO SPA 
SFRGY SALVATORE FERRAGAMO SPA
SRS  SARAS SPA 
SAAFY  SARAS SPA-UNSP ADR 
MLSMP SEMPLICEMENTE SPA
SII2 SINTESI SOCIETA DI INVESTIME
SNMRY  SNAM RETE GAS-UNSPONSOR ADR 
SRG  SNAM SPA 
SRGN SNAM SPA
CASS SOCIETA CATTOLICA DI ASSICURAZIONI SCRL
SIS SOCIETA INIZLATIVE AUTOSTADALI E SERVIZI SPA
SOL SOL SPA
SORN  SORIN SPA 
RIJ SORIN SPA
SPNV SPAZIO INVESTMENT
TIP TAMBURI INVESTMENT PARTNERS
TEW TE WIND SA
TIT  TELECOM ITALIA SPA 
TI A  TELECOM ITALIA SPA-SPON ADR 
TI  TELECOM ITALIA SPA-SPON ADR 
TIN  TELECOM ITALIA SPA-SPON ADR 
TITR  TELECOM ITALIA-RSP 
TRN  TERNA SPA 
TEZNY  TERNA SPA-UNSPONSORED ADR 
TOD  TOD'S SPA 
TDPAY  TOD'S SPA - UNSP ADR 
UCG  UNICREDIT SPA 
UCGR
UNICREDIT SPA-RSP 
UCGN UNICREDIT SPA
UNI  UNIPOL GRUPPO FINANZIARIO SP 
UBI UNIONE DI BANCHE ITALIANE SCPA
BPPUY UNIONE DI BANCHE ITALIANE SCPA
UNIP  UNIPOL GRUPPO FINANZIARI-PRF 
UFGSY  UNIPOL GRUPPO-UNSPON ADR 
US UNIPOLSAI SPA
URH UR HOLDING SPA
VAS VITORIA ASSICURAZIONI SPA
WDF WORLD DUTY FREE SPA
YOOX  YOOX SPA 
YXOXY  YOOX SPA-UNSPON ADR 
ZV ZIGNAGO VETRO SPA
 

Information Regarding the French Financial Transaction Tax

Overview: 

This document is designed to provide an overview of how the French Financial Transaction Tax will be handled by Interactive Brokers.

Effective August 1, 2012, a new tax will be implemented on the purchase of certain French securities.

Tax Rate

The initial announced tax rate was to be 0.10%; however based on updated information the applied tax rate is intended to be 0.20%.

Effective January 1, 2017 the rate will increase from 0.20% to 0.30%.

Scope

The FTT will be applied to shares of companies whose head office is located in France and whose market capitalisation exceeds EUR 1 billion. The French authorities will update a list each December with the names of companies which meet these requirements. At its launch, 109 French companies will fall under the scope of the FTT.

The purchase of a derivative contract is not subject to the FTT; however the acquisition of the underlying stock upon exercise or delivery of the derivative instrument will be subject to FTT. Similarly a convertible instrument will become subject to the FTT upon conversion or exchange into the stock.

American Depsitory Receipts (ADRS) are similarly subject to the FTT however the implementation date has been delayed to December 1, 2012.

Corporate action events which result in the acquisition of a French security subject to the FTT regulation, will have tax applied at the processing date.

Under the present rules, you can trade CFDs on French shares without incurring FTT in the same way as you are able to trade UK share CFDs without incurring stamp duty. All shares affected by the French FTT are available to trade as IB CFDs.

Please click here for for detailed information and frequently asked questions about our CFD offering.

 

Calculation Method

The legislation allows for the application of FTT based on the daily net purchase per final beneficiary. As an Investment Services Provider (ISP), Interactive Brokers will report FTT to our various clearing agents. As such, transactions will be eligible for netting if the shares settle at the same location. For instance, purchases and sales in France may be netted; however a purchase in France will not be netted against a sale in Germany.

 

 

 

 

Shares Subject To The French Financial Transaction Tax

The following table lists the companies included in the scope of the French Financial Transaction Tax as of January 2017. Based on the French declaration, companies meeting the following qualifications would fall within the scope of the FTT

  • Listed on a French or foreign regulated market
  • Issued by a company whose headquartered in France and whose capitalisation exceeds one billion euro on 1 December 2016 (reviewed annually)

The list of companies provided below is being done on a best efforts basis and may be subject to ammendments at any time and without notification.

The list of ADRs which will become subject to the French Financial Transaction Tax are detailed at the bottom of this page.

Description  Symbol 
ACCOR SA  AC, ACCN
ADP  ADP, ADPN
AIR FRANCE-KLM  AF 
AIR LIQUIDE SA  AI, AIN
ALSTOM  ALO 
ALTAREA  ALTA 
ALTEN ATE
ALTRAN TECHN. ALT
AMUNDI SA AMUN

AREVA 

A9RB 
ARKEMA  AKE, AKEN
ARTOIS NOM ARTO
ATOS  ATO 
AXA SA  CS, AXAN
BENETEAU 3GD
BIOMERIEUX  BIM 
BNP PARIBAS  BNP, BNPN
BOIRON SA BOI
BOLLORE  BOL, BOLNV
BOUYGUES SA  EN 
BUREAU VERITAS SA  BVI 
BURELLE BUR
CAP GEMINI .  CAP 
CARREFOUR SA  CA, CAN
CASINO GUICHARD PERRACHON  CO 
CFAO  CFAO 
CHRISTIAN DIOR  CDI, CDIN
CNP ASSURANCES  CNP 
COLAS SA  RE 
COMPAGNIE DE SAINT-GOBAIN  GOB, SGO
COMPAGNIE DU CAMBODGE  CBDG 
CREDIT AGRICOLE SA  ACA, ACA1
DANONE  DAN, BN, BNN
DASSAULT AVIATION SA  AM, DSY
DBV TECHNOLOGIES SA DBV
DIRECT ENERGIE DIREN
EDENRED  EDEN 
EDF  EDF 
EIFFAGE  FGR 
ELIOR PARTICIPATIONS SCA ELIOR, ELINV
ELIS SA ELIS
ENGIE GSZ, ENGI
ERAMET ERA
ESSILOR INTL.  EF, EI. EIN
EULER HERMES SA  ELE1 
EURAZEO  RF 
EUROSIC ERSC
EUTELSAT COMMUNICATIONS  ETL, ETLN
FAIVELEY TRANSPORT FAI
FAURECIA  EO 
FFP FFP
FIMALAC FIM
FINANCIERE DE L'ODET  ODET 
FONCIERE DE PARIS SIIC FDPA
FONCIERE DES MURS FMU
FONCIERE DES REGIONS  DREG 
FONCIERE LYONNAISE  FLY 
FROMAGERIES BEL FB
ORANGE
FTE, ORA
GAZTRANSPORT ET TECHNIGA GTT1
GECINA SA  GFC 
RAMSAY GENERALE DE SANTE GDS
GROUPE EUROTUNNEL SA - REGR  GET 
GROUPE FNAC FNAC
HAVAS SA  HAV 
HERMES INTL  RMS, RMSN
ICADE  EMGP 
ILIAD SA  ILD 
IMERYS SA  NK 
INGENICO  ING2, ING
IPSEN  IPN 
IPSOS IPS
JC DECAUX SA  DEC, DECN
KERING PP, KER, KERN
KLEPIERRE  LI 
KORIAN-MEDICA KORI
L.D.C. SA LOUP
LAGARDERE S.C.A.  MMB 
LEGRAND SA  LR 
LISI FII
L'OREAL  OR, ORN
LVMH MOET HENNESSY LOUIS VUI  MC, MCN
M6-METROPOLE TELEVISION  MMT 
MAISONS DU MONDE SA MDM
MERCIALYS  MERY 
MICHELIN (CGDE)  ML, MLN
NATIXIS  KN 
NEXANS SA  NEX 
NEXITY NXI
SFR GROUP SA SFR
ORPEA  ORP 
PERNOD-RICARD SA  RI 
PEUGEOT S.A.  UG, UGN
PLATIC OMNIUM POM
PUBLICIS GROUPE  PUB, PUBN
REMY COINTREAU  RMC, RCO
RENAULT SA  RNO 
REXEL SA RXL
ROTHSCHILD & CO PAOR
RUBIS  RUI 
SAFRAN SA  SAF 
SANOFI  SAN 
SARTORIUS STEDIM BIOTECH DIM
SCHNEIDER ELECTRIC SA  SU, SUN, SNE
SCOR SE  SCR 
SEB SA  SK 
SOCIETE BIC SA  BB 
SOCIETE GENERALE  GLE, GLEN
SODEXO  SW 
SOMFY SA  SO 
SOPRA STERIA GROUP SOP
SPIE SA SPIE
STEF STF
STE IND & FIN DE L'ARTOIS SA ARTO
SUEZ ENVIRONNEMENT CO  SEV 
TARKETT TKTT
TECHNICOLOR TMS
TECHNIP SA  TEC, TECN
TELEPERFORMANCE RCF, RCFN
TELEVISION FRANCAISE (T.F.1)  TFI 
THALES SA.  HO 
TOTAL SA  FP 
TRIGANO SA TGO
UBISOFT ENTERTAIN UEN, UBI
UNIBAIL-RODAMCO SE  ULA 
UNIBEL UNBL
VALEO SA  FR, VALOFN, FRT
VALLOUREC  VK 
VEOLIA ENVIRONNEMENT  VIE 
VICAT VCT
VILMORIN & CIE  RIN 
VINCI SA  DG 
VIRBAC SA  VIR 
VIVENDI  VIV 
WENDEL  MF 
WORLDLINE SA WLN
ZODIAC AEROSPACE  ZC, ZCNV

 

The following is a list of ADRs which are subject to the French Financial Transaction Tax in 2017. ADRs became subject to the FTT effective December 1, 2012.

 

Description  Symbol 
ACCOR SA-UNSPON ADR  ACRFY 
AIR FRANCE-KLM-ADR  AFLYY 
AIR LIQUIDE-UNSPONSORED ADR  AIQUY 
ALSTOM SA-UNSPON ADR  ALSMY 
ALTRAN TECHNOLOGIES - SP ADR ALTKY
AREVA CIP-UNSPONSORED ADR  ARVCY 
ARKEMA-SPONSORED ADR  ARKAY 
ATOS ORIGIN SA - UNSP ADR AEXAY
AXA -SPONS ADR  AXAHY 
BNP PARIBAS-ADR  BNPQYN 
BNP PARIBAS-ADR  BNPQY 
BOUYGUES-UNSPONSORED ADR  BOUYY 
CAPGEMINI SA - UNSPONSOR ADR  CGEMY 
CARREFOUR SA-SP ADR  CRRFY 
CASINO GUICHARD P - SPON ADR  CGUSY 
CHRISTIAN DIOR SA-UNSPON ADR  CHDRY 
CIE GEN GEOPHYSIQUE-SP ADR  CGV 
CNP ASSURANCES-UNSPON ADR  CNPAY 
COMPAGNIE DE SANT - UNSP ADR CODYY
CREDIT AGRICOLE SA-UNSP ADR  CRARY 
DANONE-SPONS ADR  DANOY 
DASSAULT SYSTEMES SA-ADR  DASTY 
DBV TECHNOLOGIES SA - SPON ADR DBVT
EDENRED DA - UNSP ADR EDNMY
EDF-UNSPON ADR  ECIFY 
EIFFAGE-UNSPON ADR  EFGSY 
ENGIE - SPON ADR ENGIY
ERAMET - UNSPON ADR ERMAY
ESSILOR INTL-UNSPON ADR  ESLOY 
EUTELSAT COMMUNICAT-UNSP ADR  ETCMY
ORANGE (FRANCE TELECOM SA-SPONS ADR) ORAN
ORANGE (FRANCE TELECOM SA-SPONS ADR)
ORANN
FAURECIA SA - SPONSORED ADR FURCY
GROUPE EUROTUNNEL SA - UNS ADR GRPTY
HERMES INTL-UNSPONSORED ADR  HESAY 
ILIAD SA - UNSPON ADR ILIAY
INGENICO-UNSP ADR  INGIY 
IPSEN SA-SPONSORED ADR  IPSEY 
KERING - UNSPONSORED ADR PPRUY
LOREAL-UNSPONSORED ADR  LRLCYN 
LOREAL-UNSPONSORED ADR  LRLCY 
LVMH MOET HENNESSY-UNSP ADR  LVMUY 
MICHELIN (CGDE)-UNSPON ADR  MGDDY 
NATIXIS - UNSPONSORED ADR NTXFY
PERNOD-RICARD SA-UNSPON ADR  PDRDY 
PEUGEOT SA-SPONSORED ADR  PEUGY 
PUBLICIS GROUPE-ADR  PUBGY 
REMY COINTREAU UNSP ADR REMYY
RENAULT SA - UNSP ADR RNLSY
REXEL SA - UNSP ADR RXEEY
RUBIS - UNSP ADR RBSFY
SAFRAN SA-UNSPON ADR  SAFRY 
SANOFI-ADR  SNY 
SCHNEIDER ELECT SA-UNSP ADR  SBGSY 
SCOR-SPONSORED ADR  SCRYY 
SOCIETE GENERALE-SPONS ADR  SCGLY 
SODEXO-SPONSORED ADR  SDXAY 
SUEZ ENVIRONNEMEN-UNSPON ADR  SZEVY 
TECHNICOLOR - SPON ADR TCLRY
TECHNIP SA-ADR  TKPPY 
TELEPERFORMANCE-UNSPON ADR TLPFY
TOTAL SA-SPON ADR  TOT 
TOTAL SA-SPON ADR  TOTN 
UBISOFT ENTERTAIN - UNSPON ADR UBSFY
UNIBAIL-RODAMCO SE-UNSP ADR  UNRDY 
VALEO SA-SPON ADR  VLEEY 
VALLOUREC SA-SPN ADR  VLOWY 
VEOLIA ENVIRONNEMENT-ADR  VE 
VINCI S.A.-UNSPONS ADR  VCISY 
VIVENDI SA-UNSPON ADR  VIVHY 
ZODIAC AEROSPACE-UNSPON ADR  ZODFY 

 

 

Why Do Commission Charges on U.S. Options Vary?

IB's option commission charge consists of two parts:

1. The execution fee which accrues to IB.  For Smart Routed orders this fee is set at $0.70 per contract, reduced to as low as $0.15 per contract for orders in excess of 100,000 contracts in a given month (see website for costs on Direct Routed orders, reduced rates on low premium options and minimum order charges); and 

2. Third party exchange, regulatory and/or transaction fees.

In the case of third party fees, certain U.S. option exchanges maintain a liquidity fee/rebate structure which, when aggregated with the IB execution fee and any other regulatory and/or transaction fees, may result in an overall per contract commission charge that varies from one order to another.  This is attributable to the exchange portion of the calculation, the result of which may be a payment to the customer rather than a fee, and which depends upon a number of factors outside of IB's control including the customer's order attributes and the prevailing bid-ask quotes.

Exchanges which operate under this liquidity fee/rebate model charge a fee for orders which serve to remove liquidity (i.e., marketable orders) and provide a credit for orders which add liquidity (i.e., limit orders which are not marketable). Fees can vary by exchange, customer type (e.g., public, broker-dealer, firm, market maker, professional), and option underlying with public customer rebates (credits) generally ranging from $0.10 - $0.42 and public customer fees from $0.15 - $0.50. 

IB is obligated to route marketable option orders to the exchange providing the best execution price and the Smart Router takes into consideration liquidity removal fees when determining which exchange to route the order to when the inside market is shared by multiple (i.e., will route the order to the exchange with the lowest or no fee).  Accordingly, the Smart Router will only route a market order to an exchange which charges a higher fee if they can better the market by at least $0.01 (which, given the standard option multiplier of 100 would result in price improvement of $1.00 which is greater than the largest liquidity removal fee).

For additional information on the concept of adding/removing liquidity, including examples, please refer to KB201.

Handling procedures for fractional fees

It should be noted that certain exchange fees as well as IB commission rates are established at levels beneath  that of the smallest increment by which a given currency is defined (e.g. $0.01 in the case of the USD).  In the event a customer incurs a fee having an extended value below this minimum increment, the fee will be calculated at its extended value and then rounded up or down to the nearest whole minimum increment of that currency.   

This rounding process may result in occurrences where the aggregate rounded commission charge as reflected in the cash balance section of the Activity Statement on a given day is $0.01 higher than the sum of the rounded charge reflected on a line item basis in the trades section. An example of this may occur for a sample series of option trades for a given day is provided below. 

EXAMPLE:

Action Calculated Fee (extended) Statement - Trades  Section (rounded at a line item level) Statement - Cash Balance Section (rounded at an aggregate level)
Customer buys one U.S. securities option, incurring a minimum commission charge of $1.00 plus an exchange Option Regulatory Fee of $0.014 $1.014 $1.01 N/A
Customer buys one U.S. securities option, incurring a minimum commission charge of $1.00 plus an exchange Option Regulatory Fee of $0.014 $1.014 $1.01 N/A
Totals $2.028 $2.02 $2.03

 

 

 

Information Regarding IBKR's Calculation of Tiered Commission Monthly Trade Value

IBKR currently offers a Tiered pricing commission structure for select European and Asian exchanges. Customers may take advantage of reduced commissions based on the volume traded on a monthly basis across eligible exchanges.

European Tiered Commission

Currently IBKR offers the Tiered commission structure for stocks in Belgium, France, Germany, Italy, Netherlands, Switzerland, Norway, Sweden and the UK.

IBKR maintains the EUR-equivalent, CHF-equivalent, USD-equivalent, GBP-equivalent, NOK-equivalent and SEK-equivalent trade values of all executions traded under the Tiered model. Conversions are done using the prior day's exchange rate. This accounting allows for a customer whose primary trading is on the Swedish stock exchange to easily compare statement information to the tier breaks on the IBKR website and still receive the benefit of a reduced tier when trading a EUR-denominated stock eligible for Tiered pricing.

Asia/Pacific Tiered Commission

Currently IBKR offers the Tiered commission structure for trades in Australia, Hong Kong, Japan and Singapore. IBKR maintains the AUD-equivalent, HKD-equivalent, JPY-equivalent and SGD-equivalent trade values of all executions traded under the Tiered model. Conversions are done using the prior trading day's exchange rate. This accounting method allows for a customer whose primary trading is on the Hong Kong stock exchange to easily compare statement information to the tier breaks on the IBKR website and still receive the benefit of a reduced tier when trading a JPY-denominated stock eligible for Tiered pricing.

General

Tier breaks and the applicable commission rates are provided on the IBKR website. In general, volume/value tiers are calculated once daily, not at the time of the trade. As such, execution reductions will start the trading day after the threshold has been exceeded.

Example

Assume an account has executed trades on the Hong Kong stock exchange on August 1 against a trade value of 15,100,000 HKD. The account's monthly trading value will be tracked as follows:

HKD value = 15,100,000

SGD value = (15,100,000 x 0.16048 exchange rate) = 2,423,248

JPY value = (15,100,000 x 10.075 exchange rate) = 152,132,500

The following day, for an execution on the Tokyo stock exchange commissions will be based on the month to date trade value as expressed in JPY, which in the example is 152,132,500. This month to date trade value exceeds the Tier 1 threshold therefore the trade will be commissioned at the Tier 2 level, or 0.05%.

Note that the above may lead an account to be charged commissions on two different tiers on the same trade date due to exchange rate fluctuations. Traders should take note of this possibility when trading across multiple venues.

Please be aware that examples provided above are for instructional purposes only and may not reflect current commission rates. Please always refer to the IBKR website for the most updated commission and fee rates.

 

Add/Remove Liquidity

Overview: 

The goal of this article is to provide proper understanding of exchange fees and add/remove liquidity fees for the Tiered commission schedule.

 

The concept of adding or removing liquidity is applicable to both stocks and stock/index options. Whether or not an order removes or adds liquidity is dependent on that order being marketable or non-marketable.

Marketable orders REMOVE liquidity.
Marketable orders are either market orders, OR buy/sell limit orders whose limit is at or above/below the current market.

1. For a marketable buy limit order, the limit price is at or above the Ask.

2. For a marketable sell limit order, the limit price is at or below the Bid.

Example:
XYZ’s stock current ASK (offer) size/price is 400 shrs at 46.00. You enter a buy limit order for 100 XYZ stock @ 46.01. This order will be considered marketable because an immediate execution will take place. If there is an exchange charge for removing liquidity, the customer will be charged that fee.


 

Non-Marketable orders ADD liquidity.
Non-marketable orders are buy/sell limit orders in which the limit price is below/above the current market.

1. For a non-marketable buy limit order, the limit price is below the Ask.

2. For a non-marketable sell limit order, the limit price is above the Bid.

Example:
XYZ’s stock current ASK (offer) size/price is 400 shrs at 46.00. You enter a buy limit order for 100 XYZ stock @ 45.99. This order will be considered non-marketable, because it will be posted to the market as the best bid, and instead of being immediately executed.
If and when someone else sends a marketable sell order that causes your buy limit order to be executed, you should receive a rebate (credit), if an add liquidity credit is available.

PLEASE NOTE:
1. All accounts trading options will be subject to any options exchanges’ remove/add liquidity fees or credits.
2. Per IB’s website, only negative numbers under the Remove/Add Liquidity schedules are rebates (credits).
 
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