FAQS: IBCE Brexit Account Migration

Overview: 

This is an important document regarding the proposed transfer of your account from IBUK and IBLLC to IBCE that requires your attention. Please read the entirety of this document ahead of taking any action referred to in the Covering Letter sent to you via email.

 

Background: 

Please take time to read this FAQs, which summarises some of the key changes to the regulatory framework which will be brought about by the Proposed Transfer (as described below) and provides answers to some of the more general questions that you may have. The FAQs should be read in conjunction with the Covering Letter and the documents that are attached to the Covering Letter. If you require any further information, please get in touch with us using the contact details provided in the Covering Letter. This FAQs supersedes the one previously made available to you titled “FAQs: Brexit Account Migration” (“Original FAQs”) as it reflects new information, and we ask that you read it carefully. To the extent there is any inconsistency between this FAQs and the Original FAQs, please rely on the information contained in this FAQs.

 

Discussion: 

This FAQs is split into three parts. 

  • Part A sets outs key information in relation to the Proposed Transfer (as described below).
  • Part B covers key legal and regulatory topics that arise as a result of the Proposed Transfer (as described below).
  • Part C aims to answer any other questions that you may have and provides some further and more practical information in relation to what will and will not be changing following the Proposed Transfer (as described below). 

 

PART A – THE PROPOSED TRANSFER

 1. What is the situation currently and why do things have to change?

As you will be aware, at present, your relationship with Interactive Brokers is led by our entity based in the United Kingdom, specifically Interactive Brokers (U.K.) Limited (“IBUK”) and the services provided to you are provided by IBUK and, depending on the products you do business in, our US affiliate Interactive Brokers LLC (“IBLLC”).  At present IBUK utilises what is known as a financial services passport to be able to perform its part of the service provision across continental Europe. Our working assumption is that following the end of the Brexit transitional period later this year, IBUK will lose its financial services passport and that from 1 January 2021 Interactive Brokers will need to make some changes in relation to which legal entity does business with you. 

 

2. What are the “changes” envisaged above?

We have established a new Interactive Brokers legal entity in Hungary, namely, Interactive Brokers Central Europe Zrt.  (“IBCE”).  We propose to transfer the business that you currently conduct with IBUK and IBLLC to IBCE.  In other words, it is our intention that all of your accounts, investments and services currently provided to you by IBUK and IBLLC will instead be singularly provided by IBCE (for convenience we will refer to this as the “Proposed Transfer”).

 

3. When will the Proposed Transfer occur? 

We will write to you again ahead of the Proposed Transfer. 

 

4. Who is IBCE? What sort of a firm is it?

IBCE, an investment service provider, is licensed and authorized by the Central Bank of Hungary.  IBCE’s regulatory status and profile is very similar to IBUK’s.  This is because both IBCE and IBUK are authorised pursuant to the second Markets in Financial Instruments Directive (Directive 2014/65/EU). This is an EU-wide piece of legislation the purpose of which is to, as much as possible, harmonise how investment firms are regulated across the EU. 

This does not mean there are not some differences between the legislation that applies to your relationship with IBUK and IBLLC at present and that which will apply once your account is transferred to IBCE.  We explain this in more detail in Part B of this FAQs. 

 

5. What are IBCE’s legal details? 

Interactive Brokers Central Europe Zrt. is registered as a private company limited by shares (registration number 01-10-141029) and is listed in the Register of Companies maintained by the  Metropolitan Court of Registration. Its registered address is Budapest, Madách Imre út 13-14, 1075.

 

6. Who will regulate IBCE and what are their contact details? 

The Central Bank of Hungary will be the competent regulator for IBCE (in the same way that the Financial Conduct Authority is the competent regulator for IBUK).  The  Central Bank of Hungary’s contact details are set out below: 

Location

Central Bank of Hungary

1054 Budapest

Szabadság tér 9.

Hungary

 

Postal Address

Magyar Nemzeti Bank

BKKP Pf. 777

 

Client Service, client complaints 

Address: 1013 Budapest, Krisztina krt. 39.

E-mail: ugyfelszolgalat@mnb.hu

Phone:  +36 80 203 776

 

 7. Where does IBCE fit with respect to the broader Interactive Brokers Group? 

IBCE is a wholly-owned subsidiary that sits within the broader Interactive Brokers Group.

 

8. What does the Proposed Transfer mean for me? Will there be any material impacts? 

The Proposed Transfer may have a material impact if you currently trade products that you will be restricted from trading following the transfer.  It is very important that you read these FAQs carefully, and in full, and make sure that you understand what the changes are for you.

 

9. What do I have to do if I want to continue doing business with Interactive Brokers? 

If you would like to continue to do business with Interactive Brokers, we require your cooperation and action. 

Specifically, we need you to consent and agree to the Proposed Transfer and the Customer Agreement and other Documents available under the Important Information section of the Proposed Transfer process and to the regulatory matters outlined in the Covering Letter, the Important Information and Consent sections of the Proposed Transfer process.  You can do this by following the instructions in the Covering Letter. 

To be clear, you do not have to consent to the Proposed Transfer if you feel that you may be adversely affected by it.  However, you should be aware that if you decide to decline, IBUK may not be able to keep servicing your account at the end of the Brexit transition period.  If that happens, your account will be restricted from opening new transactions or transferring new assets.  You always have the ability to transfer your account to another broker.  If you wish to decline, please follow the instructions in the Covering Letter. 

In either case, we ask that you read the entirety of this FAQs and the Covering Letter before deciding to consent to or decline the Proposed Transfer.

 

10. What happens next? 

If you consent to the transfer, please complete all actions detailed in the Covering Letter and we will prepare your account for the Proposed Transfer.  Following the Proposed Transfer, IBCE will write to you with further information about your new relationship with them.

 

PART B – LEGAL AND REGULATORY CHANGES THAT YOU SHOULD BE AWARE OF

 

1. What terms and conditions will govern my relationship with IBCE following the Proposed Transfer? Are these different to the ones that currently apply? 

Trades that you conduct after the Proposed Transfer will be governed by the new Customer Agreement between you and IBCE.  A copy of the new Customer Agreement is available in the Important Information section of the Proposed Transfer process.  Please see the response to Question A3 above in relation to the timing for the Proposed Transfer.

 

2. What conduct of business rules (including best execution) will apply to my relationship with IBCE? Are there any material differences that will apply to my relationship with IBCE compared to those that apply to my existing relationship with IBUK? 

There are some changes to be aware of, which we explain below. 

If you do business with IBUK on a “carried” basis (in other words, you trade index options, futures and futures options and IBUK carries your account and custodies your assets) then the Financial Conduct Authority’s conduct of business rules currently apply to you.  These rules are based heavily on the recast Markets in Financial Instruments Directive, the Markets in Financial Regulation and various delegated directives and regulations (collectively, “MiFID”).  In relation to best execution, where it applies, IBUK must take all sufficient steps to achieve the best possible result for you when we execute your order. 

If you currently do business with IBUK on an “introduced” basis (in other words, you trade products outside of those mentioned in the previous paragraph and you have a relationship with both IBUK and its US affiliate, IBLLC) a mix of conduct of business rules will currently apply to you. For instance, with respect to the introduction of your business to IBLLC, the Financial Conduct Authority’s conduct of business rules will apply (see above in relation to these).  Once introduced to IBLLC, the relevant U.S. Securities and Exchange Commission and U.S. Commodity Futures Trading Commission rules and regulations (among others) will apply to IBLLC’s role (including its obligations in relation to best execution and custody). 

Please note that it is of course possible that your business is split across these two scenarios (in other words some of your business is conducted on a “carried” basis while some of it is conducted on an “introduced” basis). 

Going forward, the distinction between “carried” and “introduced” business will no longer apply and in each case set out above, Hungarian conduct of business rules will exclusively apply to your relationship with IBCE.  Similar to the UK Financial Conduct Authority’s rules, the Hungarian conduct of business rules are based on MiFID and IBCE’s obligations in relation to best execution will largely mirror those that currently apply to IBUK. 

In our view, while the rules that apply to our relationship will change, we do not consider such changes to be material or to result in a lesser degree of protection being afforded to you.

 

3. How will my investments that I custody with IBCE be held from a legal/regulatory perspective? Are there any material differences that will apply to my relationship with IBCE compared to those that apply to my existing relationship with IBUK? 

The rules that currently apply depends on the sort of business that you presently have with IBUK (please see the response to Question B2 above).  Where you conduct “carried” business with IBUK, the Financial Conduct Authority’s client asset (or “CASS”) rules will apply.  These rules are based heavily on MiFID.  Where you conduct “introduced” business with IBUK and IBLLC, the US custody rules will apply to your custody assets. 

Going forward, as set out above, the distinction between “carried” and “introduced” business will no longer apply and in each case set out above, Hungarian custody rules will exclusively apply to your relationship with IBCE.  Like the UK Financial Conduct Authority’s rules, the Hungarian conduct of business rules are based on MiFID. 

 

4. How am I protected against loss? Are there any material differences that will apply to my relationship with IBCE compared to those that apply to my existing relationship with IBUK? 

Currently, your eligible assets are protected from loss either under the US Securities Investor Protection Corporation at an amount of up to USD 500,000 (subject to a cash sublimit of USD 250,000) or the UK Financial Services Compensation Scheme at an amount up to £50,000 (which regime applies depends on the relevant segment of your IBUK account, as explained in the response to Question B2 above).  After the Proposed Transfer, the Hungarian Investor Protection Fund according to Act CXX of 2001 on the Capital Market may protect your assets from loss, at an amount up to a maximum of EUR 100,000, should IBCE default and be unable to meet its obligations to you. 

Hungary's compensation scheme is similar to the compensation scheme you have access to in the UK,   The purpose of the Fund is to pay compensation to you in the event that:

  • the Central Bank of Hungary initiates liquidation proceedings of IBCE , or
  • a court orders the liquidation of IBCE. 

 IBCE is a member of the Fund. 

The compensation provided by the Fund covers claims arising from contracts entered into within the agreement with IBCE of brokerage activity, securities custody, securities account management and client account management activities performed by IBCE.

You can only make a claim after a firm goes out of business and its assets have been liquidated and distributed to those who are owed money. Please check the details of the schemes for any limits that apply – not all losses will be covered as there are maximum levels of compensation.   The Fund will pay you compensation for the amount you have lost up to a maximum of EUR 100,000. The amount paid by the Fund is:

  • 100% up to the limit of the EUR equivalent of one million forints (EUR 2,800 on 12th December 2020),
  • above one million forints: 1 million forints and 90% of the part above one million forints to a maximum of EUR 100,000.

 

5. How do I make a complaint to IBCE? Are there any material differences that will apply to my relationship with IBCE compared to those that apply to my existing relationship with IBUK? What if my complaint relates to something that happened while I was a customer of IBUK? 

The General Business Rules of IBCE sets out how to lodge a complaint with IBCE.  The complaints handling procedures are materially similar to those that apply to your existing relationship with IBUK.  If the substance of your complaint relates to something that happened prior to the Proposed Transfer, then you should address your complaint to IBUK.  IBUK will remain authorised as an investment firm post-Brexit.  Its current contact information will stay the same should you need to contact IBUK.

 

6. After the Proposed Transfer, will I still have access to the Financial Ombudsman Service? 

In case of complaint, investors should follow the complaints procedure as referred to in the Customer Agreement.  As explained in the Original FAQs, once the Proposed Transfer has taken place, the UK Financial Ombudsman Service will cease to have jurisdiction over any complaints that you may have in respect of IBUK.  However, please be aware that Hungary has a dispute resolution scheme operated by the Central Bank of Hungary in the form of the Financial Arbitration Board (“FAB”). The FAB is a free and independent statutory dispute resolution scheme for financial services. You may be eligible to make a complaint to the FAB if you are a retail customer.  Details of FAB can be found on https://www.mnb.hu/en/hungarian-financial-arbitration-board

 The FAB can be contacted at: 

Postal Address

Financial Arbitration Board

1525 Budapest

Pf. 172

 

Email

ugyfelszolgalat@mnb.hu

 

7. How will my personal data be processed and protected? Are there any material differences that will apply to my relationship with IBCE compared to those that apply to my existing relationship with IBUK in this context? 

Please see the Original FAQs for further information. In summary there will be no material change.

 

PART C – OTHER PRACTICAL QUESTIONS AND NEXT STEPS

 

1. Who should I contact before the Proposed Transfer takes place and after the Proposed Transfer if I have any questions in the ordinary course? 

Generally speaking, you should contact IBUK with any questions that you may have prior to the Proposed Transfer, and you should contact IBCE with any questions that you may have following the Proposed Transfer taking place.  Regardless of who you contact at Interactive Brokers, we will ensure your query is promptly dealt with and we will help you to connect with the right person or department.

 

2. Will the range of products offered be the same? 

IBCE and IBUK offer the same range of products for all categories except metals and forex. The differences in the offerings are as follows: 

  • Metals CFDs are offered by IBCE but spot and OTC metals futures are not.
  • Trading securities and derivatives in all the same markets you can now but if you trade outside of the Allowed Deposit Currencies (see #7) and the transaction results in a long cash balance we will auto-convert to your base currency.  If the transaction results in a short cash balance there will be no further action by IBCE as you can borrow in all available IBKR global currencies.
  • Foreign exchange spot trades at IBCE must be connected to an investment service transaction and its resulting cash flows.  To comply with this regulation, you will no longer be able to trade currencies on a speculative basis. 

For further information please see  “IBCE Multi-Currency Account Foreign Exchange Restrictions Disclosure”.

 

 

3. Will the range of services be the same? 

There are two changes to the services you are currently offered: 

  • IBCE offers financing for securities and commodities trades but cannot support withdrawals of borrowed funds.  You will be free to withdraw any free cash not needed to support your open positions.  If you would like to withdraw additional funds, you can sell positions and withdraw the proceeds.
  • GFIS investment research will not be available to clients of IBCE; however GFIS market data and news service offerings are unaffected.

 

4. I currently trade OTC derivatives with IBUK – what will happen to my open positions? 

Your open positions will be transferred to IBCE and you will face IBCE rather than IBUK.  You will no longer have any legal relationship with IBUK in relation to those positions.  We will separately provide you with an updated Key Investor Information Document (please follow the link to the PRIIPs KID landing page in the Covering Letter).

 

5. What happens to any security I have granted to IBUK/IBLLC as part of a margin loan? 

If you have granted security or collateral to IBUK/IBLLC, this will transfer to IBCE - upon the Proposed Transfer taking place. You will be presented with two new contracts for your existing margin loan:

  • Investment Loan contract
  • Securities Lending Framework contract

These will operate similarly to your existing margin loan account with the only difference being you will pay service fees to IBCE for entering into the stock borrow transaction on your behalf instead of paying interest.  This may have tax consequences depending on your country of residence.

 

6. Will I have access to the same trading platform or be subject to any software changes following migrations? 

The migration will have no impact upon the software you use to trade or administer your account.  The technology will remain the same as it is today.

 

7. Will all account balances be transferred at the same time and what is the timing? 

IBCE will support a limited number of deposit currencies.  The following ten cash deposit currencies, the “Allowed Deposit Currencies” are:

  • EUR, USD, GBP, CHF, DKK, NOK, SEK, HUF, CZK and PLN

You will be required to nominate a base currency from the Allowed Deposit Currencies and if you hold long cash balances in other currencies, you will be required to convert those balances to one of the Allowed Deposit Currencies before migration.

 

In accordance with the client asset protection rules in Hungary, client funds must  be protected in the same form that they were received by the broker.  This contrasts with your previous broker, IBUK and/or IBL, whose regulatory client asset rules allowed them to protect your funds in equivalent value in another currency.  

Short currency balances are unaffected.  You may borrow in any currency that the IBKR group offers.

All cash balances, with the exception of accruals (e.g., interest, dividends) will be transferred at the same time. Once accruals have been settled and posted to cash, they will automatically be swept to IBCE. Once all accruals have been swept, your current account at IBUK or IBLLC will be closed and inaccessible for trading purposes. You will still be able to access this closed account via the Client Portal for purposes of viewing and printing historical statements.

 

8. Will all security, derivative and commodity positions be transferred at the same time? 

All positions will be transferred to your new account at the same time except for OTC metals futures and spot metals.  You will be requested to trade out of those positions before conversion to an IBCE account.

 

9. What will happen to my current account following migration? 

Your current account will close once all accruals have been posted to cash and transferred to the migrated account.  Once closed, it will be inaccessible for trading purposes, however, it will remain accessible via an account selector from the Client Portal for purposes of viewing and printing historical statements.

 

10. Will IBKR’s commissions, interest and fees change when my account is migrated? 

IBKR commissions and fees on trading products do not vary by the broker your account is maintained with.

There are changes to the interest and fees on cash balances. IBCE will not pay interest on credit balances as Hungarian law that governs investment service companies prohibits the payment of interest.  IBCE will charge a currency handling fee for cash balances in currencies that have negative interest rates.

 

11. Will my trading permissions change when my account is migrated? 

No. Your trading permissions will not change when your account is migrated for products that IBCE supports. As discussed in (2) above, spot metals and OTC metal futures will not be available.

 

12. Will open orders (e.g., Good-til-Canceled) be carried over when my account is migrated? 

Open orders will not be carried over to the new account and we recommend that clients review their orders immediately following the migration to ensure that the open orders are consistent with their trading intentions.

 

13. Will I be subject to the U.S. Pattern Day Trading ("PDT") Rule once my account is migrated? 

No. You will no longer be subject to the PDT rule.

 

14. Will I receive a single, combined annual activity statement reflecting the activity in both my IBUK and IBCE accounts? 

No.  Separate daily, monthly and annual activity statements will be provided for each of your IBUK and IBCE accounts covering activity during the period each was open. Activity statements will be posted to the Client Portal under the Reports/Tax Docs menu option and you will need to toggle between the two accounts to access their respective statements.

 

15. Will the current cost basis of positions be carried over when my account is migrated? 

Yes, this migration will have no impact upon the cost basis of your positions.

 

16. Will the migrated account retain the same configuration as the current account? 

The configuration of the account following migration will match that of the current account to the extent permissible by regulation.  This includes attributes such as margin capability, market data, additional users, and alerts.  Client’s holding restricted products (with the exception of OTC metals futures and spot metals), may migrate such positions but won’t be allowed to increase the position.

OTC metals futures and spot metals must be closed in your current IBUK account.

 

17. Will my login credential change? 

No.  Your username, password, and any 2-factor authentication process in place for your existing account will remain active following migration. You will, however, be assigned a new account ID for your migrated account.

FAQS: IBIE Account Transfer

Overview: 

This is an important document regarding the proposed transfer of your account from IBUK and IBLLC to IBIE that requires your attention. Please read the entirety of this document ahead of taking any action referred to in the Covering Letter sent to you via email.

Background: 

Please take time to read these FAQs, which summarise some of the key changes to the regulatory framework which will be brought about by the Proposed Transfer (as described below) and provide answers to some of the more general questions that you may have. The FAQs should be read in conjunction with the Covering Letter.  If you require any further information, please get in touch with us using the contact details provided in the Covering Letter.

Discussion:

The FAQs are split into three parts.

  • Part A sets out key information in relation to the Proposed Transfer (as described below).
  • Part B covers key legal and regulatory topics that arise as a result of the Proposed Transfer (as described below).
  • Part C aims to answer any other questions that you may have and provides some further and more practical information in relation to what will and will not be changing following the Proposed Transfer (as described below).

 

PART A – THE PROPOSED TRANSFER

1.    What is the situation currently?

As you will be aware, at present, your relationship with Interactive Brokers is led by our entity based in the United Kingdom, specifically Interactive Brokers (U.K.) Limited (“IBUK”) and the services provided to you are provided by IBUK and, depending on the products you do business in, our US affiliate Interactive Brokers LLC (“IBLLC”).  

2.    What is Interactive Brokers requesting?

We are inviting all clients domiciled in the European Economic Area (“EEA”) to transfer their accounts to one of our brokers based in Europe.

We propose to transfer the relationship that you currently have with IBUK and IBLLC to Interactive Brokers Ireland Limited (“IBIE”), an Interactive Brokers investment firm located in Ireland.  It is our intention that all of your accounts, investments and services currently provided to you by IBUK and IBLLC will instead be singularly provided by IBIE (for convenience we will refer to this as the “Proposed Transfer”).

3.    Who is IBIE? What sort of a firm is it?

IBIE is an investment firm regulated by the Central Bank of Ireland and authorised pursuant to the second Markets in Financial Instruments Directive (Directive 2014/65/EU).  IBIE is an affiliate of IBUK and IBLLC.

4.    What are IBIE’s legal details?

Interactive Brokers Ireland Limited is registered as a private company limited by shares (registration number 657406) and is listed in the Register of Companies maintained by the Irish Companies Registration Office. Its registered address is 10 Earlsfort Terrace, Dublin 2, D02 T380, Ireland.  IBIE can be contracted by telephone at 00800-42-276537 or electronically through the IBIE website at www.interactivebrokers.ie.

5.    Who regulates IBIE and what are their contact details?

As set out above the Central Bank of Ireland is the competent regulator for IBIE (in the same way that the Financial Conduct Authority is the competent regulator for IBUK). IBIE is included in the Central Bank of Ireland’s register of authorised firms under number 423427. The Central Bank of Ireland’s contact details are set out below:

Location
The Central Bank of Ireland
New Wapping Street
North Wall Quay
Dublin 1
D01 F7X3

Contact Numbers
Phone: +353 (0)1 224 6000
Fax: +353 (0)1 224 5550

Postal Address
Central Bank of Ireland
P.O. Box 559
Dublin 1

Public Helpline
E-mail: enquiries@centralbank.ie
Lo-Call: 1890 777 777
Phone: +353 (0)1 224 5800

6.    Where does IBIE fit with respect to the broader Interactive Brokers group?


IBIE is a wholly-owned subsidiary that sits within the broader Interactive Brokers Group.

7.    What does the Proposed Transfer mean for me? Will there be any material impacts?

We do not anticipate any material impacts for you as a result of the Proposed Transfer.  Nonetheless, it is very important that you read these FAQs carefully and in full and make sure that you understand what the changes are for you.

8.    What do I have to do if I want to continue doing business with Interactive Brokers?

If you would like to continue to do business with Interactive Brokers, we require your cooperation and action.

Specifically, we need you to consent and agree to the Customer Agreement and other Documents available under the Important Information section of the Proposed Transfer process and to the regulatory matters outlined in the Covering Letter, the Important Information and Consent sections of the Proposed Transfer process.  You can do this by following the instructions in the Covering Letter.

To be clear, you do not have to consent to the Proposed Transfer if you feel that you may be adversely affected by it.  You have the option of transferring your positions to another broker or closing your positions and transferring any cash balance to another account.

If you do not take action by December 7, 2022, your account will be restricted from opening new transactions or transferring in new assets.  You always have the ability to transfer your account to another broker. If you wish to decline, please follow the instructions in the Covering Letter.

In either case, we ask that you read the entirety of this FAQs and the Covering Letter before deciding to consent to or decline the Proposed Transfer.

9.    What happens next?

If you consent to the transfer, please complete all actions detailed in the Covering Letter and we will prepare your account to be transferred to IBIE. Once your account is transferred, IBIE will write to you with further information about your new relationship with them.

PART B – LEGAL AND REGULATORY CHANGES THAT YOU SHOULD BE AWARE OF

1.    What terms and conditions will govern my relationship with IBIE following the Proposed Transfer? Are these different to the ones that currently apply?

Trades that you conduct after the Proposed Transfer will be governed by the new Customer Agreement between you and IBIE.  A copy of the IBIE Customer Agreement is available in the Important Information section of the Proposed Transfer process.  

2.    What conduct of business rules (including best execution) will apply to my relationship with IBIE? Are there any material differences that will apply to my relationship with IBIE compared to those that apply to my existing relationship with IBUK?

There are some changes to be aware of, which we explain below.

If you do business with IBUK on a “carried” basis (in other words, you trade index options, futures and futures options and IBUK carries your account and custodies your assets) then the Financial Conduct Authority’s conduct of business rules currently apply to you.  These rules are based heavily on the recast Markets in Financial Instruments Directive, the Markets in Financial Regulation and various delegated directives and regulations (collectively, “MiFID”).  In relation to best execution, where it applies, IBUK must take all sufficient steps to achieve the best possible result for you when we execute your order.

If you currently do business with IBUK on an “introduced” basis (in other words, you trade products outside of those mentioned in the previous paragraph and you have a relationship with both IBUK and its US affiliate, IBLLC) a mix of conduct of business rules will currently apply to you. For instance, with respect to the introduction of your business to IBLLC, the Financial Conduct Authority’s conduct of business rules will apply (see above in relation to these).  Once introduced to IBLLC, the relevant U.S. Securities and Exchange Commission and U.S. Commodity Futures Trading Commission rules and regulations (among others) will apply to IBLLC’s role (including its obligations in relation to best execution and custody).

Please note that it is of course possible that your business is split across these two scenarios (in other words some of your business is conducted on a “carried” basis while some of it is conducted on an “introduced” basis).

Going forward, the distinction between “carried” and “introduced” business will no longer apply and in each case set out above, Irish conduct of business rules will exclusively apply to your relationship with IBIE.  Similar to the UK Financial Conduct Authority’s rules, the Irish conduct of business rules are based on MiFID and IBIE’s obligations in relation to best execution will largely mirror those that currently apply to IBUK.

In our view, while the rules that apply to our relationship will change, we do not consider such changes to be material or to result in a lesser degree of protection being afforded to you.

3.    How will my investments that I custody with IBIE be held from a legal/regulatory perspective? Are there any material differences that will apply to my relationship with IBIE compared to those that apply to my existing relationship with IBUK?

The rules that currently apply depends on the sort of business that you presently have with IBUK (please see the response to Question B2 above).  Where you conduct “carried” business with IBUK, the Financial Conduct Authority’s client asset (or “CASS”) rules will apply.  These rules are based heavily on MiFID.  Where you conduct “introduced” business with IBUK and IBLLC, the US custody rules will apply to your custody assets.

Going forward, as set out above, the distinction between “carried” and “introduced” business will no longer apply and in each case set out above, Irish custody rules will exclusively apply to your relationship with IBIE.  Like the UK Financial Conduct Authority’s rules, the Irish conduct of business rules are based on MiFID.  Please consult the Client Assets Key Information Document provided in the Important Information section in relation to the Irish custody regime.

4.    How am I protected against loss? Are there any material differences that will apply to my relationship with IBIE compared to those that apply to my existing relationship with IBUK?

Currently, your eligible assets are protected from loss either under the US Securities Investor Protection Corporation at an amount of up to USD 500,000 (subject to a cash sublimit of USD 250,000) or the UK Financial Services Compensation Scheme at an amount up to GBP 50,000 (which regime applies depends on the relevant segment of your IBUK account, as explained in the response to Question B2 above).  After the Proposed Transfer, the Irish Investor Compensation Scheme, which is administered by The Investor Compensation Company DAC, may protect your assets from loss should IBIE default and be unable to meet its obligations to you.

Ireland’s compensation scheme is similar to the compensation scheme you have access to in the UK, albeit with a lower limit.  The purpose of the Irish Investor Compensation Scheme is to pay compensation to you (subject to certain limits) if you have invested money or investment instruments in either of the following cases:

  • A firm goes out of business and cannot return your investments or money; and
  • A Central Bank of Ireland determination or a court ruling has been made under the Investor Compensation Act 1998.


The Investor Compensation Company DAC (ICCL) administers the scheme. IBIE will be a member of the scheme.

The scheme covers investment products including:

  • Public and private company shares
  • Units in collective investment schemes
  • Life insurance policies (including unit-linked funds)
  • Non-life insurance policies
  • Tracker bonds
  • Futures and options


Usually, you can only make a claim after a firm goes out of business and its assets have been liquidated and distributed to those who are owed money. Please check the details of the schemes for any limits that apply – not all losses will be covered as there are maximum levels of compensation.  The ICCL will pay you compensation for 90% of the amount you have lost, up to a maximum of €20,000.

5.    How do I make a complaint to IBIE? Are there any material differences that will apply to my relationship with IBIE compared to those that apply to my existing relationship with IBUK? What if my complaint relates to something that happened while I was a customer of IBUK?

The new Customer Agreement sets out how to lodge a complaint with IBIE.  The complaints handling procedures are materially similar to those that apply to your existing relationship with IBUK.  If the substance of your complaint relates to something that happened prior to the Proposed Transfer, then you should address your complaint to IBUK. Its current contact information will stay the same and can be found at interactivebrokers.co.uk should you need to contact IBUK.

6.    After the Proposed Transfer, will I still have access to the Financial Ombudsman Service?


In case of complaint, investors should follow the complaints procedure as referred to in the Customer Agreement.  Once your account is transferred to IBIE, the UK Financial Ombudsman Service will cease to have jurisdiction over any complaints that you may have in respect of IBUK.  However, please be aware that Ireland has a dispute resolution scheme in the form of the Financial Services and Pensions Ombudsman (“FSPO”).  The FSPO is a free and independent statutory dispute resolution scheme for financial services.  You may be eligible to make a complaint to the FSPO if you are an “eligible complainant”.  Details of who are “eligible complainants” can be found on www.fspo.ie.  The FSPO can be contacted at:

Postal Address
Financial Services and Pensions Ombudsman
Lincoln House,
Lincoln Place
Dublin 2
D02 VH29

Telephone
+353 (0)1 567 7000

Email
Info@fspo.ie

7.    How will my personal data be processed and protected? Are there any material differences that will apply to my relationship with IBIE compared to those that apply to my existing relationship with IBUK in this context?

Your data will be processed and protected in accordance with the Interactive Brokers Group Privacy Policy which can be found at: https://www.interactivebrokers.com/en/index.php?f=305. There will be no material change.

PART C – OTHER PRACTICAL QUESTIONS AND NEXT STEPS

1.    Who should I contact before the Proposed Transfer takes place and after the Proposed Transfer if I have any questions in the ordinary course?

Generally speaking, you should contact IBUK with any questions that you may have prior to the Proposed Transfer, and you should contact IBIE with any questions that you may have following the Proposed Transfer taking place.  Regardless of who you contact at Interactive Brokers, we will ensure your query is promptly dealt with and we will help you to connect with the right person or department.

2.    Will the range of products offered be the same?

Our current expectation is that the same range of products will be offered by IBIE as are offered by IBUK.  

There might be a restriction on Foreign Exchange transactions that would create a negative balance or would increase a preexisting negative balance in either component currency.  However, the same currency pairs can be traded as Forex CFD.  Contracts For Difference are complex instruments, and we invite you to carefully review the CFD risk warnings before trading these instruments following the transfer of your account.

Please note that IBIE offers financing for securities and commodities trades but cannot support withdrawals of borrowed funds.  You will be free to withdraw any free cash not needed to support your open positions.  If you would like to withdraw additional funds, you can sell positions and withdraw the proceeds.

In limited instances where clients hold restricted products, clients may transfer and maintain or close such positions but won’t be allowed to increase the position.

3.    I currently trade OTC derivatives with IBUK – what will happen to my open positions?

Your open positions will be transferred to IBIE and you will face IBIE rather than IBUK.  You will no longer have any legal relationship with IBUK in relation to those positions.  We will separately provide you with an updated Key Investor Information Document (please follow the link to the PRIIPs KID landing page in the Covering Letter).

4.    What happens to any security I have granted to IBUK/IBLLC as part of a margin loan?

If you have granted security or collateral to IBUK/IBLLC this will transfer to IBIE upon the Proposed Transfer taking place.

We do not anticipate you needing to take any steps to reflect the change in beneficiary, although we may need to take some administrative steps of our own to update security registers with the change in details.  This should, however, not affect our priority or otherwise affect the date from which the security is valid.

5.    Will I have access to the same trading platform or be subject to any software changes following the transfer of my account?

The transfer of your account will have no impact upon the software you use to trade or administer your account.  The technology will remain the same as it is today.

6.    Will all account balances be transferred at the same time?

All balances, with the exception of accruals (e.g., interest, dividends) will be transferred at the same time.  Once accruals have been posted to cash, they will automatically be swept to the transferred account.  

7.    What will happen to my current account following the transfer of my account?

Once all accruals have been swept, your current account will be closed and inaccessible for trading purposes.  You will still be able to access this closed account via the Client Portal for purposes of viewing and printing archived activity and tax statements.

8.    Will IBKR’s commissions and fees change when my account is transferred?

No.  IBKR commissions and fees do not vary by the broker your account is maintained with.

9.    Will my trading permissions change when my account is transferred?

No.  Your trading permissions will not change when your account is transferred.

10.     Will open orders (e.g., Good-til-Canceled) be carried over when my account is transferred?

Open orders will not be carried over to the new account, and we recommend that clients review their orders immediately following the transfer of their account to ensure that the open orders are consistent with their trading intentions.

11.     Will I be subject to the U.S. Pattern Day Trading Rule if my account is transferred?

Accounts maintained with IBUK are subject to the U.S. Pattern Day Trading (PDT) rule as the accounts are introduced to and carried by IBLLC, a U.S. broker.  The PDT rules restricts accounts with equity below USD 25,000 to no more than 3 Day Trades within any 5-business day period.

As accounts transferred to IBIE will not be introduced to IBLLC, they will not be subject to the PDT rule.

12.     Will I receive a single, combined annual activity statement at year end?

No.  You will receive an annual statement of your existing account which will cover the period starting 1 January 2022 through the date your account was transferred and a second annual statement for your new account which will cover the period starting from the transfer date through the end of the year.

13.     Will the current cost basis of positions be carried over when my account is transferred?


Yes, the transfer of your account will have no impact upon the cost basis of your positions.

14.     Will the transferred account retain the same configuration as the current account?


The configuration of the account following transfer will match that of the current account to the extent permissible by regulation.  This includes attributes such as margin capability, market data, additional users, and alerts.  

15.     Will my login credentials change?

No.  Your username, password, and any 2-factor authentication process in place for your existing account will remain active following transfer.  You will, however, be assigned a new account ID for your transferred account.

 

FAQ : Brexit – Transfert de compte vers IBLUX

Overview: 

Ce document concerne la proposition de transfert de votre compte IBLLC ou IBUK vers IBLUX et requiert votre attention. Veuillez lire l’intégralité de ce document avant de prendre une quelconque mesure adressée dans la lettre d’accompagnement que nous vous avons envoyée par e-mail.

Background: 

Veuillez prendre le temps de lire cet article qui résume certains des changements clés du cadre réglementaire provoqués par la proposition de transfert (décrite ci-dessous) et répond aux questions plus générales que vous pourriez avoir. Cet article doit être lu avec la lettre d’accompagnement envoyée par e-mail, qui y est liée. Pour toute information supplémentaire, veuillez nous contacter aux coordonnées fournies dans la-dite lettre. Cet article remplace le précédent, intitulé « FAQ : Brexit – Transfert de compte » (« FAQ originale ») car il contient de nouvelles informations, ainsi nous vous demandons de le lire attentivement. En cas d’incohérence entre cet article et la FAQ originale, veuillez vous référer aux informations contenues dans le présent article.

Discussion :

Cette brochure d’informations contient trois parties.

  • Partie A : expose les informations clés concernant notre proposition de transfert pour votre activité.
  • Partie B : traite des sujets juridiques et réglementaires qui découlent des dispositions exposées dans la Partie A.
  • Partie C : a pour but de répondre à toute autre question que vous pourriez avoir et fournit des informations pratiques supplémentaires concernant ce qui changera et ne changera pas après la proposition de transfert.

 PARTIE A – LA PROPOSITION DE TRANSFERT

1. Quelle est la situation actuelle et pourquoi ce changement ?

Actuellement, votre relation avec Interactive Brokers est menée par notre société au Royaume-Uni, Interactive Brokers (U.K.) Limited (« IBUK »), et les services qui vous sont fournis le sont par IBUK et, selon les produits avec lesquels vous décidez de travailler, notre filiale aux États-Unis Interactive Brokers LLC (« IBLLC »). IBUK utilise, à l’heure actuelle, ce qu’on appelle un passeport financier pour pouvoir exercer ses services en Europe continentale. Notre hypothèse de travail est qu’à la fin de la période de transition du Brexit, IBUK ne pourra plus agir ainsi et à partir du 1er janvier 2021, Interactive Brokers devra effectuer certains changements quant à l’entité juridique qui travaillera avec vous. 

2. Quels sont les « changements » envisagés ci-dessus ?

Nous avons établi une nouvelle entité juridique Interactive Brokers au Luxembourg, Interactive Brokers Luxembourg SARL (« IBLUX »). Notre proposition est de transférer les activités que vous menez actuellement avec IBUK et IBLLC vers IBLUX. Autrement dit, notre intention que tous vos comptes, investissements et services actuellement gérés par IBUK et IBLLC, soient gérés par IBLUX à la place (par souci de commodité, nous parlerons de « Proposition de transfert »). 

3. Quand la proposition de transfert se produira-t-telle ?

Pour l’heure, la proposition de transfert aura probablement lieu après le 30 octobre 2020, selon la disponibilité de votre compte (c’est-à-dire, l’exécution de toutes les mesures requises dans la lettre d’accompagnement). 

4. Qu’est-ce qu’IBLUX ? Quel type d’entreprise est-ce ?

IBLUX a reçu l’autorisation de la Commission de Surveillance du Secteur Financier (CSSF) de fonctionner en tant que société d’investissement en novembre 2019. Le statut et profil réglementaire d’IBLUX est très similaire à celui d’IBUK, car ils sont tous deux agréés conformément à la deuxième Directive concernant les marchés d’instruments financiers (MiFID II). Il s’agit d’une mesure législative de l’Union européenne qui a pour but d’harmoniser, au mieux, la réglementation des sociétés d’investissement. 

Il existe tout de même des différences entre les réglementations applicables à votre relation actuelle et celles qui s’appliqueront une fois que votre compte aura été transféré. (Plus de détails dans la Partie B de l’article.) 

5. Quelles sont les informations juridiques d’IBLUX ?

Interactive Brokers Luxembourg SARL est enregistré en tant que société à responsabilité limitée  (n° d'immatriculation B229091) au registre des sociétés du Luxembourg. La société est sise 4, rue Robert Stümper, L - 2557 Luxembourg. Nous finalisons les coordonnées de tous les jours et vous les fournirons en temps voulu.   

6. Qui sera en charge de la réglementation d’IBLUX et quelles sont leurs coordonnées ?

La Commission de Surveillance du Secteur Financier (CSSF) est l’organisme de réglementation compétent (comme la Financial Conduct Authority l’est pour IBUK). Veuillez trouver ci-dessous les coordonnées de la Commission de Surveillance du Secteur Financier :

Localisation

Commission de Surveillance du Secteur Financier

283, route d’ArlonL-1150

Luxembourg 

Adresse postale et numéros

Commission de Surveillance du Secteur Financier

L-2991 Luxembourg

Téléphone : (+352) 26 25 11 Fax : (+352) 26 25 12601 

Service d'assistance publique

E-mail : direction@cssf.lu

Téléphone : (+352) 26 25 12 28 0 

 

7. Comment IBLUX se place au sein du groupe Interactive Brokers ?

IBLUX est une filiale en propriété exclusive qui s’inscrit au sein du groupe Interactive Brokers.

8. Qu’est-ce que la proposition de transfert signifie pour moi ? Y aura-t-il un impact matériel ?

Nous ne prévoyons aucun impact matériel. Toutefois, il est important que vous lisiez cet article et vous assuriez d’avoir compris quels seront les changements.

9. Que dois-je faire pour rester en affaires avec Interactive Brokers ?

Si vous souhaitez rester en affaires avec Interactive Brokers, nous avons besoin de votre coopération et votre action.

Plus particulièrement, nous avons besoin que vous consentiez et acceptiez l’Accord client et les autres documents en pièce jointe de la lettre d’accompagnement, ainsi que les questions réglementaires décrites dans la lettre d’accompagnement.. Pour ce faire, suivez les instructions dans la lettre d’accompagnement.

Pour préciser, vous n’êtes pas tenu d’accepter la proposition de transfert si vous pensez qu’elle peut avoir une incidence négative. Toutefois, sachez que si vous choisissez de décliner la proposition, IBUK pourrait ne plus maintenir votre compte à la fin de la période de transition du Brexit. Dans ce cas, votre compte sera mis en liquidation et nous vous demanderons de transférer vos actifs vers un autre courtier. Si vous souhaitez décliner la proposition, veuillez suivre les instructions dans la lettre d’accompagnement.

Quel que soit votre choix, nous vous demandons de lire l’intégralité de cette brochure d’informations et la lettre d’accompagnement avant de décider d’accepter ou de décliner la proposition de transfert..

10. Que se passe-t-il ensuite ?

Si vous acceptez le transfert, veuillez prendre les mesures décrites dans la lettre d’accompagnement et nous préparerons votre compte pour le transfert. À la suite de la proposition de transfert, IBLUX vous écrira avec des informations supplémentaires sur votre nouvelle relation avec eux.

 

PARTIE B – CHANGEMENTS JURIDIQUES ET RÉGLEMENTAIRES QUE VOUS DEVEZ CONNAÎTRE

1. Quelles sont les conditions générales qui régiront votre relation à la suite de la proposition de transfert ? Sont-elles différents de celles qui s'appliquent actuellement ?

Les transactions réalisées après la proposition de transfert seront régies par le nouvel Accord client entre vous et IBLUX. Un exemplaire du nouvel Accord client vous sera présenté en ligne lorsque vous aurez la possibilité de consentir ? Voir la question A3 concernant le calendrier de la proposition de transfert.

2. Quelles sont les règles de conduite (y compris de meilleure exécution) qui s'appliqueront à ma relation avec IBLUX ? Y a-t-il des différences matérielles qui s'appliquent à ma relation avec IBLUX, en comparaison avec ma relation existante avec IBUK dans ce contexte ?

Vous devez être au courant de certains changements, expliqués ci-dessous.

Si vous menez votre activité avec IBUK de façon « portée » (autrement dit, vous tradez des options sur indices, contrats à termes et options sur contrats à terme et qu'IBUK porte votre compte et garde vos actifs en dépôt), les règles de conduite de la Financial Conduct Authoritys'appliquent actuellement pour vous. Ces règles s'inspirent largement de la refonte de la directive des marchés d'instruments financiers, la réglementation des marchés financiers et d'autres directives et réglementations déléguées (l'ensemble est appelé MiFID). Concernant la meilleure exécution, IBUK s'engage à prendre les mesures suffisantes pour atteindre les meilleurs résultats possibles quand nous exécutons votre ordre.

Si vous menez votre activité avec IBUK de façon « introduite » (autrement dit, vous tradez des produits autres que ceux mentionnés dans le paragraphe précédent et vous êtes en relation avec IBUK et sa filiale américaine, IBLLC) un mélange de plusieurs règles de conduite s'appliquent actuellement pour vous. Par exemple, concernant l'introduction de votre activité à IBLLC, les règles de conduite de la Financial Conduct Authority s'appliquent (voir ci-dessus). Une fois introduit à IBLLC, les réglementations appropriées de la U.S. Securities and Exchange Commission et U.S. Commodity Futures Trading Commission (parmi d'autres) s'appliquent au rôle d'IBLLC (notamment ses obligations en matière de meilleure exécution et dépôt).

Notez qu'il est généralement possible que votre activité soit séparée sur ces deux scénarios (autrement dit, une partie de votre activité est « portée » et une autre partie est « introduite »).

À l'avenir, comme indiqué ci-dessus, la distinction entre une activité « portée » et une activité « introduite » ne s'appliquera plus et, dans chacun des cas ci-dessus, les règles de conduite du Luxembourg s'appliqueront à votre relation avec IBLUX. Tout comme les règles de la UK Financial Conduct Authority, elles sont largement inspirées du MiFID, et les obligations d'IBLUX concernant la meilleure exécution reflètent celles qui s'appliquent à IBUK.

De notre point de vue, même si les règles s'appliquant à notre relation vont changer, nous ne considérons pas que ces changements soient matériels ou pourraient entraîner un degré de protection plus faible.

3. Comment mes investissements en dépôts chez IBLUX seront-ils détenus, d'un point de vue juridique/réglementaire ? Y a-t-il des différences matérielles qui s'appliquent à ma relation avec IBLUX, en comparaison avec ma relation existante avec IBUK dans ce contexte ?

Les règles qui s'appliquent dépendent du type d'activité que vous avez avec IBUK (question B2). Là où vous menez une activité « portée » avec IBUK, les règles des actifs client de la Financial Conduct Authority (« CASS ») s'appliquent. Elles sont largement inspirées du MiFID. Là où vous menez une activité « introduite » avec IBUK et IBLLC, les règles de dépôt US s'appliquent à vos actifs en dépôt.

À l'avenir, comme indiqué ci-dessus, la distinction entre une activité « portée » et une activité « introduite » ne s'appliquera plus et, dans chacun des cas ci-dessus, les règles de dépôt du Luxembourg s'appliqueront à votre relation avec IBLUX. Tout comme les règles de la UK Financial Conduct Authority, elles sont largement inspirées du MiFID.

4. Comment suis-je protégé contre les pertes ? Y a-t-il des différences matérielles qui s'appliquent à ma relation avec IBLUX, en comparaison avec ma relation existante avec IBUK dans ce contexte ?

Actuellement, vos actifs admissibles sont protégés soit grâce à la US Securities Investor Protection Corporation, soit grâce au UK Financial Services Compensation Scheme (le régime appliqué dépendant du segment de votre compte, comme expliqué à B2). Après la proposition de transfert, le Système d’indemnisation des investisseurs (SIIL) protègera vos actifs contre les pertes si IBLUX faisait défaut et ne pouvait pas répondre à ses obligations envers vous.

Le système de compensation du Luxembourg est similaire à celui auquel vous avez accès au Royaume-Uni, bien qu'avec une limite plus basse. Le but du Système d’indemnisation des investisseurs (SIIL) est de vous payer une compensation (dans une certaine limite) si vous avez investi de l'argent ou des instruments d'investissement dans un des cas suivants :

  • Une société autorisée que la CSSF a jugé ne pas être capable de rembourser ses investisseurs/répondre à ses obligations, ou
  • Une décision de justice empêche la société de vous rendre votre investissement.

Le système est contrôlé par la Commission de Surveillance du Secteur Financier (CSSF) et géré par le Conseil de protection des déposants et des investisseurs (CPDI). Si une société membre du système fait faillite et ne peut pas vous rembourser votre argent ou vos instruments d'investissement, vous pourrez demander une compesation de la part du système.

IBLUX est un membre de ce système.

Le système couvrent des produits d'investissement, notamment :

  • des actions de sociétés publiques et privées
  • des parts de systèmes d'investissement collectifs
  • obligations Tracker
  • contrats à terme et options

Normalement, vous ne pouvez faire de réclamation qu'après la faillite de la société et quand ses actifs ont été liquidés et distribués à ceux à qui de l'argent est dû. Consulter les détails des systèmes pour les limites applicables. Toutes les pertes ne sont pas couvertes car il existe des niveaux maximums de compensation. Le Système d’indemnisation des investisseurs (SIIL) paiera une compensation pour le montant que vous avez perdu, dans une limite de 20,000 €.

5. Comment adresser une plainte auprès d'IBLUX ? Y a-t-il des différences matérielles qui s'appliquent à ma relation avec IBLUX, en comparaison avec ma relation existante avec IBUK dans ce contexte ? Que se passera-t-il si ma plainte concerne un élément qui s'est produit lorsque j'étais client chez IBUK ?

Le nouvel Accord client décrit comment adresser une plainte à IBLUX. Les procédures sont sensiblement similaires à celle s'appliquant à votre relation avec IBUK. Si votre plainte concernant un élément qui s'est produit avant la proposition de transfert, la plainte devra être adressée à IBUK. IBUK restera agréée en tant que société d'investissement après le Brexit. Les coordonnées actuelles resteront les mêmes, si vous devez contacter IBUK.

6. Aurai-je toujours accès au Financial Ombudsman ?

En cas de plainte, les investisseurs doivent suivre la procédure de plainte telle qu'indiquée dans l'Accord client. Une fois la proposition de transfert mise en place, le service UK Financial Ombudsman n'aura plus aucune compétence sur les plaintes.

7. Comment mes données personnelles seront-elles traitées et protégées ? Y a-t-il des différences matérielles qui s'appliquent à ma relation avec IBLUX, en comparaison avec ma relation existante avec IBUK dans ce contexte ?

Il n'y aura aucun changement matériel.

 

PARTIE C – AUTRES QUESTIONS PRATIQUES ET ÉTAPES SUIVANTES

 

1. Qui dois-je contacter avant et après la proposition de transfert pour toute question sur le déroulement ordinaire ?

De façon générale, il est préférable de contacter IBUK avant la proposition de transfert et IBLUX, après la proposition de transfert. Quel que soit votre contact avec Interactive Brokers, nous nous assurerons que votre demande soit adressée rapidement et nous vous mettrons en relation avec la personne ou le département approprié.

2. La gamme de produits et de services sera-telle la même ?

Nous prévoyons que la majorité des produits tradés dans un compte IBUK pourront être proposés par IBLUX. Il existe toutefois certaines limites. Si vous acceptez la proposition de transfert, votre compte IBLUX ne prendra pas en charge les transactions dans les produits suivants : (i) Obligations ; (ii) Métaux précieux OTC, et (iii) contrats à terme sur métaux OTC. De plus, IBLUX ne permettra pas de trader des devises avec effet de levier ou d'adhérer au Programme d'amélioration du rendement d'actions qui est actuellement disponible.

Veuillez noter qu'IBLUX propose de financer les transactions de titres et marchandises mais ne prend pas en charge les transferts de fonds empruntés. Vous pourrez transférer toute espèce non utilisée pour renforcer vos positions ouvertes. Si vous souhaitez transférer des fonds supplémentaires, vous pouvez vendre des positions et transférer les recettes.

Si vous êtes touché par ceci, nous vous contacterons séparément.

3. Je trade actuellement des positions OTC avec IBUK – Que va-t-il se passer pour mes positions ouvertes ?

Vous positions ouvertes seront transférées à IBLUX et votre position sera prise en charge par IBLUX plutôt qu'IBUK. Vos n'aurez plus de relation juridique avec IBUK concernant ces positions. Nous vous fournirons séparément le  document d'informations clés mis à jour (veuillez cliquer sur le lien de la page de renvoi PRIIPs KID dans la lettre d'accompagnement).

4. Qu'adviendra-t-il des titres octroyés à IBUK pour prêt sur marge ?

Si vous avez octroyé des titres ou une garantie à IBUK/IBLLC, ils seront transférés à IBLUX lors de la proposition de transfert. Nous ne prévoyons pas que vous deviez prendre des mesures pour changer de bénéficiaire, mais nous pourrons effectuer quelques démarches administratives pour mettre à jour les registres de titre avec les modifications des informations. Toutefois, cela ne devrait pas impacter notre priorité ou la date à partir de laquelle le titre est valide.

5. Aurai-je accès aux mêmes plateformes de trading ou y aura-t-il des changements de logiciels à prévoir après le transfert ?

Le transfert n'aura pas d'impact sur le logiciel que vous utilisez pour trader ou gérer votre compte. L'offre technologique restera la même.

6. Les soldes de compte seront-ils tous transférés en même temps ? Qu'arrivera-t-il à mon compte courant après le transfert ?

Tous les soldes, à l'exception des intérêts (ex: dividendes) seront transférées simultanément. Une fois vos intérêts disponible en liquide, ils seront automatiquement versé sur votre nouveau compte.

7. Qu'arrivera-t-il à mon compte courant après le transfert ?

Une fois vos intérêts disponible en liquide, ils seront automatiquement versé sur votre nouveau compte courant. Votre ancien compte courant sera fermé quand toutes les provisions seront liquidités et transférées sur le compte déplacé. Un fois fermé, il sera inaccessible pour trading, mais il restera accessible à partir d'un sélecteur de compte dans le Portail Client pour consulter ou imprimer des relevés.

8. Les commissions et frais seront-ils différents lorsque mon compte sera déplacé ?

Non. Les commissions et frais IBKR ne varient pas en fonction du courtier chez qui vous êtes.

9. Mes autorisations de trading vont-elles changer lorsque mon compte sera déplacé ?

Après le transfert, vous ne pourrez plus effectuer de transactions de devises à effet de levier.

10. Les ordres ouverts (ex., Good-til-Canceled) seront-ils transférés lorsque mon compte sera déplacé ?

Les ordres ouverts ne seront pas transférés vers le nouveau compte, et nous recommandons aux clients de vérifier leurs ordres immédiatement après la migration pour s'assurer qu'ils sont toujours conformes à leurs intentions de trading.

11. Serais-je sujet à la règle de Pattern Day Trading des États-unis quand mon compte sera déplacé ?

Les comptes détenus par IBUK sont sujets à la règle de Pattern Day Trading des États-unis (PDT) car les comptes sont introduits et retenus par IBLLC, un courtier aux États-Unis. La règle PDT restreint les comptes de moins de 25,000 USD à moins de 3 jours de trading sur une période de 5 jours ouvrés.
 
Les comptes déplacés vers IBLUX, In'étant pas introduits par IBL, ils ne seront pas sujets à la règle PDT.

12. Vais-je recevoir un seul relevé de compte annuel à la fin de l'année ?

Non. Vous recevrez un relevé annuel pour votre compte existant pour la période du 1 janvier 2020 à la date de migration et un deuxième relevé pour votre nouveau compte pour la période entre la date de migration et le 31 décembre 2020.

13. Le coût de base actuel des positions sera-t-il transféré lors du transfert ?

Oui, la migration n'aura aucun impact sur le coût de base de vos positions.

14. La configuration du compte transféré sera-t-elle la même que le compte actuel ?

Après la migration, la configuration du compte correspondra à celle du compte actuel dans les limites de la réglementation. Les attributs concernés sont la capacité de marge, les données de marché, les utilisateurs supplémentaires et les alertes.  En de rares occasions, un compte sera déplacé vers une juridiction où l'étendue de l'admissibilité des produits ne peut être proposée. Les clients détenant ces produits restreints pourront se déplacer et maintenir ou clôturer ces positions mais ne pourront pas les augmenter. 

15. Mes identifiants de connexion vont-ils changer ? 
Non. Votre nom d'utilisateur, votre mot de passe et toute authentification à 2 facteurs existant pour votre compte restera actif après la migration. Cependant, vous recevrez un nouveau numéro de compte pour votre compte déplacé.

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FAQ : Brexit - Migration de compte

INTRODUCTION

Interactive Brokers Group (« IB ») et sa filiale au Royaume-Uni, Interactive Brokers (U.K.) Limited (« IBUK ») se sont préparés à la fin de la période de transition du Brexit, actuellement prévu pour le 31 décembre 2020, et ont prévu diverses dispositions pour nos clients européens. Notre priorité est d'assurer une transition ininterrompue et la continuité de nos services à nos clients avec le moins de perturbations et changements possibles. Les clients concernés par cet événement recevront des notifications précisant les changements et les délais. Retrouvez ci-dessous le Forum aux questions concernant la migration des comptes d'IBUK vers un de nos autres courtiers européens.

FAQ 

Q : Quelles mesures sont prises par IBKR pour assurer la continuité des services de courtage lors de la transition, le 1 janvier 2021 ?

R : En 2018, IBKR a fondé Interactive Brokers Luxembourg SARL (« IBLUX ») qui a obtenu une autorisation réglementaire en 2019. De plus, nous sommes en train de créer deux nouveaux courtiers dans l'Union européenne : Interactive Brokers Ireland Limited (« IBIE ») et Interactive Brokers Central Europe Befektetési ZRt (« IBCE »).

Nous avons l'intention de déplacer tous les clients touchés par le Brexit dans un des ces courtiers localisé dans l'Union européenne (« courtiers UE ») avant le 31 décembre 2020.   Les transferts vers IBIE et IBCE se feront sous réserve de l'obtention d'une licence de la part des autorités nationales compétentes.

 

Q : Auprès de quel courtier IBKR mon compte sera-t-il déplacé ?

R : Nous n'avons pas encore pris de décision quant à la répartition des comptes vers IBLUX, IBIE et IBCE.  Nous prévoyons que la majorité des clients en Europe de l'Ouest seront déplacés vers IBIE, ceux en Europe centrale et de l'Est vers IBCE et une minorité vers IBLUX. D'autres facteurs seront pris en compte notamment le type de compte et le positions.

Tous les clients recevront un message leur indiquant le courtier auquel ils ont été affectés avant de recevoir la demande de migration.

 

Q : Quels client sont concernés par cette migration ?

R : Les clients concernés sont les personnes résidant au sein de l'Union européenne ou les comptes d'entité formée dans un pays de l'Union européenne. La majorité de ces comptes sont avec Interactive Brokers (U.K.) Limited (« IBUK »).

 

Q : Comment obtenez-vous l'accord des clients ?

R : Vous recevrez un e-mail vous demandant de vous connecter à votre Portail Client quand vous serez prêt à déplacer votre compte. Une fois connecté(e), les informations nécessaires et l'Accord client, auxquels vous pourrez donner votre accord en ligne, vous seront fournis. Les clients ne répondant pas à l'e-mail initial recevront des e-mails de rappel.

 

Q : Que se passera-t-il si je ne fais rien ?

R : Si vous ne répondez pas à nos demandes pour donner votre accord, votre compte recevra les mêmes restrictions de trading et de transfert que si vous décidiez de ne pas donner votre accord. Veuillez également noter que votre compte restera sujet aux mêmes conditions générales que votre accord actuel (notamment les politiques de frais et marges) jusqu'au moment où il aura été déplacé vers un courtier UE désigné, transféré à un courtier externe à IBKR ou fermé.

 

Q : Que se passera-t-il si je ne suis pas d'accord avec le transfert ?

R : Si vous n'êtes pas d'accord avec le transfert de vos comptes vers le courtier UE désigné, votre compte se verra restreint dans l'ouverture de nouvelles transactions ou le transfert de fonds et/ou positions supplémentaires. Ces restrictions ne vous empêcheront pas de transférer votre compte en dehors d'IBKR.

 

Q : Mes identifiants vont-ils changer ?

R : Non. Votre nom d'utilisateur, votre mot de passe et toute authentification à 2 facteurs existant pour votre compte restera actif après la migration. Cependant, vous recevrez un nouveau numéro de compte pour votre compte déplacé.

 

Q : Aurai-je accès aux mêmes plateformes de trading ou y aura-t-il des changements de logiciels à prévoir après la migration ?

R : La migration n'aura pas d'impact sur le logiciel que vous utilisez pour trader ou gérer votre compte. L'offre technologique restera la même.

 

Q : Les soldes de compte seront-ils tous transférés en même temps ?

R : Tous les soldes, à l'exception des provisions (ex : intérêts et dividendes) seront transférés en même temps. Les provisions seront transférées lorsqu'elles auront été générées. Dans le cas d'intérêts, les provisions sont généralement annulées, et les liquidités sont envoyées la première semaine du mois suivant la provision. Dans le cas de dividendes, la provision est annulée, et les liquidités compensatoires sont envoyées à la date à laquelle l'émetteur paye le dividende.

 

Q : Qu'arrivera-t-il à mon compte actuel après la migration ?

R : Votre compte actuel sera fermé quand toutes les provisions seront liquidités et transférées sur le compte déplacé. Une fois fermé, il sera inaccessible pour trading, mais il restera accessible à partir d'un sélecteur de compte dans le Portail Client pour consulter ou imprimer des relevés.

 

Q : Les commissions et frais seront-ils différents lorsque mon compte sera déplacé ?

R : Non. Les commissions et frais IBKR ne varient pas en fonction du courtier chez qui vous êtes.

 

Q : Mes autorisations de trading vont-elles changer lorsque mon compte sera déplacé ?

R : Vos autorisations de trading resteront les mêmes à l'exception des comptes déplacés vers IBLUX qui ne pourront pas effectuer de transactions de devises à effet de levier en raison de restriction réglementaires. Bien que nous ne pensons pas que des restrictions similaires s'appliqueront pour les comptes IBIE et IBCE, nous vous informerons de tout changement avant de vous demander de migrer.

 

Q : Les ordres ouverts (ex. Good-til-Canceled) seront-ils transférés lorsque mon compte sera déplacé ?

R : Les ordres ouverts seront transférés vers le nouveau compte, cependant, nous recommandons aux clients de vérifier leurs ordres immédiatement après la migration pour s'assurer qu'ils sont toujours conformes à leurs intentions de trading.

 

Q : Serais-je sujet à la règle de Pattern Day Trading des États-unis quand mon compte sera déplacé ?

R : Les comptes détenus par IBUK sont sujets à la règle de Pattern Day Trading des États-unis (PDT) car les comptes sont introduits et retenus par IBL, un courtier aux États-Unis. La règle PDT restreint les comptes de moins de 25,000 USD à moins de 3 jours de trading sur une période de 5 jours ouvrés.

Les comptes déplacés vers IBLUX, IBIE ou IBCE n'étant pas introduits par IBL, ils ne seront pas sujets à la règle PDT.

 

Q : Vais-je recevoir un seul relevé de compte annuel à la fin de l'année ?

R : Non.  Vous recevrez un relevé annuel pour votre compte existant pour la période du 1 janvier 2020 à la date de migration et un deuxième relevé pour votre nouveau compte pour la période entre la date de migration et le 31 décembre 2020.

 

Q : Le coût de base actuel des positions sera-t-il transféré lorsque mon compte sera déplacé ?

R : Oui, la migration n'aura aucun impact sur le coût de base de vos positions.

 

Q : La configuration du compte déplacé sera-t-elle la même que le compte actuel ?

R : Après la migration, la configuration du compte correspondra à celle du compte actuel dans les limites de la réglementation. Les attributs concernés sont la capacité de marge, les données de marché, les utilisateurs supplémentaires et les alertes.  En de rares occasions, un compte sera déplacé vers une juridiction où l'étendue de l'admissibilité des produits ne peut être proposée. Les clients détenant ces produits restreints pourront se déplacer et maintenir ou clôturer ces positions mais ne pourront pas les augmenter.

 

Q : Que se passera-t-il si IBKR n'obtient pas l'accord réglementaire nécessaire pour déplacer les comptes avant le 31 décembre 2020 ?

: IBLUX, même approuvé, est sujet à des contraintes importantes sur la taille autorisée de l'entreprise et une licence pour IBIE et IBCE est donc nécessaire pour terminer la migration avant le 31 décembre 2020. S'il est déterminé qu'aucune licence ne sera reçu à temps, nous contacterons les clients pour leur expliquer ce qu'il adviendra de leur compte à la fin de la période de transition du Brexit.

 

Q : Après la migration, , pourrai-je toujours adresser mes plaintes au UK Financial Ombudsman Service ?

R:  Les clients d'IBUK peuvent avoir des plaintes non résolues à leur entière satisfaction, traitées par le UK Financial Ombudsman Service. Une fois que le compte sera déplacé vers IBLUX, IBIE ou IBCE, le UK Financial Ombudsman Service ne pourra plus s'appliquer et nous vous informerons de tout service de remplacement. Veuillez noter que la migration n'aura pas d'impact sur notre traitement interne des plaintes.

 

Q : Quel sera l'impact de la migration sur la protection des données ?

R : La migration de votre compte d'IBUK  vers IBLUX, IBIE ou IBCE ne changera pas la manière dont nous protégeons vos données personnelles, conformément aux règles de protection des données. IBLUX, IBIE et IBCE prendront tous la responsabilité de protéger vos données et continueront de se conformer à nos normes élevées concernant la protection de vos données personnelles.

 

Q : Quel sera l'impact de la migration sur la protection de mon compte ?

R : L'assurance protection disponible pour nos clients dans la cas d'une défaillance de la part d'un courtier est généralement moins favorable dans l'Union européenne par rapport au Royaume-uni ou au États-Unis.

Actuellement, à condition qu'ils répondent aux exigences, les clients IBUK peuvent être protégés par rapport aux services d'investissement par le UK Financial Services Compensation Scheme (« UK FSCS ») pour un montant pouvant aller jusqu'à 50,000 £. Les clients IBUK étant tenus par notre courtier aux États-Unis, IBL, le segment de titres de leur compte peut être admissible pour assurance par la Securities Investor Protection Corporation (« SIPC ») à un montant pouvant aller jusqu'à 500,000 USD (sujet à une sous-limite de trésorerie de 250,000 USD).

Avec les courtiers UE, IBLUX, IBIE et IBCE, les demandeurs admissibles peuvent pouvoir demander une compensation pouvant aller jusqu'à 20,000 EUR. Plus d'informations sur le plan applicable, la couverture et les plaintes vous seront transmises en même temps que notre demande de transfert.  

Étant donnée la capitalisation totale de 8.25 milliards USD du groupe Interactive Brokers, ainsi que les politiques de marge prudentes, appliquées par tous les courtiers, qui comprennent des vérification de pré-crédit pour acceptation d'ordres et des liquidations automatiques des comptes n'étant pas en conformité avec nos marges, nous pensons que cette migration n'aura pas d'impact sur la sécurité des actifs des clients.

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EDD Requests for Information (RFI)

Overview: 

These FAQs are meant to serve as guidelines for answering customer questions with regard to recent communications that have been sent to a large number of IBKR account holders, requesting specific information. If there are further questions not addressed in this guide, please contact the EDD department.

FOR ALL ACCOUNTS:
 
Is this a legitimate email?
Yes; IBKR recently sent out communications to customers requesting that customers update specific data and documentation.
 
Why has the customer received this notification?
IBKR is conducting a routine review of our clients for the purpose of ensuring that we maintain accurate and up to date information and conduct due diligence on clients from places or of type that present heightened AML risk. As a regulated financial institution, we are required to “know our customers”, and this is part of that effort.
 
Is updating this information required?
Yes; all customers who have received a notification are required to provide the requested information.
 
What is Source of Wealth?
Source of Wealth means any way in which the customer has derived their wealth. Examples include employment income, business income, property sale, inheritance, etc. A client’s sources of wealth should add up to 100%.
 
What documents are acceptable to prove Source of Wealth?
The documents we provided include a list of what you can submit to confirm your source of wealth. Each source of wealth must be accompanied by supporting documentation (e.g., a bank statement for employment income, a bill of sale for property sale, etc.).
 
FOR ORG ACCOUNTS:
 
Why is beneficial ownership information required?
Under US regulations, we are required to collect information about an organization’s beneficial ownership. It is also part of our obligation to “know our customers.”
 
What is a beneficial owner? How is that different from a regular owner?
A beneficial owner refers to the actual people who ultimately own the entity. This differs from regular owners, who could be a combination of other businesses, trusts, custodians, etc. Under relevant regulations, we require any entity that is an account holder to identify any natural person who owns 10% or more of the entity. We then need to verify those peoples’ identities through identification verification documents and confirm their sources of wealth.
 
Do I need to complete the Ultimate Beneficial Owner form if I indicated on the Certification of Beneficial Owners form that there are no 10%+ owners ?
No – you do not have to complete the Ultimate Beneficial Owner form if you have certified there are no 10%+ owners. 
 
FOR CAFFIS, IBROKERS, COLLECTIVE INVESTMENT VEHICLES, AND HEDGE FUNDS:
 
What is a Wolfsberg Questionnaire?
The Wolfsberg Questionnaire is an Anti-Money Laundering (AML) Questionnaire designed by the Wolfsberg Group, which aims to provide a standardized overview of a financial institution's AML policies and practices.
 
*The form must be completed in its entirety and dated within the last 12 months.*
 
Why do I need to provide one?
The questionnaire is to help ensure that we know the organization implemented certain standards and practices associated with preventing money laundering, terrorist financing, and other financial crimes.
 
Note: If the business is a hedge fund, we are seeking a completed Wolfsberg Q from their fund manager/investment advisor.
 
Is there a link to the Wolfsberg Questionnaire form?
Yes, the blank form is available to download in Account Management – please review the document task. 
 
You can also download the form here: 
 
I am being asked to submit documentation regarding Fund Status. What documentation do I need to submit?
Please provide a proof of existence document for the fund, and proof of regulatory status for the fund manager and the fund administrator.
 
FOR FOREIGN BANKS:
 
Why do I need to provide a Foreign Bank Certification?
Under the USA Patriot Act, any foreign bank that maintains a correspondent relationship with any US-based bank or broker/dealer must provide a foreign bank certification. 
 
*The form must be completed in its entirety and dated within the last 36 months.*
 
What is the purpose of a Foreign Bank Certification?
The purpose of the foreign bank certification is to help ensure that the bank is complying with all required US regulations with regards to money laundering, terrorist financing, and other financial crimes.

 

Shareholders Rights Directive II

On 3 September 2020, a new European Directive, the Shareholders Rights Directive II ("SRD II"), will enter into force introducing important regulatory changes for intermediaries. SRD II aims to encourage long-term shareholder engagement in European shares by introducing new requirements, including:

  • Obligations for all intermediaries in the chain of custody to provide shareholders information to issuers on demand and no later than the business day immediately following the date of receipt of the request;
  • Requirements for intermediaries to make available meeting announcements or any other information which an issuer is required to provide to shareholders to enable a shareholder to exercise its rights
  • Requirements for intermediaries to facilitate the ability of shareholders to participate in meetings by passing on a shareholder's participation instructions (for example a vote or request to attend the meeting), without delay.

Note that the Directive applies to any intermediary, whether based in the EEA or not. Accordingly, IBKR may in the future forward any request to provide shareholders information that IBKR may receive from issuers (or other appointed entities) whose share is owned through the IBKR accounts of an intermediary or their clients.

Upon receipt of these requests, intermediaries will be required to provide shareholders information directly to the issuers no later than the business day immediately following the date of receipt of the request.

Information to Disclose

  • Full name;
  • Contact details (address, email address);
  • Unique identifiers;
  • Number of shares held;
  • Category/classes of shares held (Only if explicitly requested);
  • Dates from which the shares are held (Only if explicitly requested);
  • Depository location;
  • Vote-eligible shares.

Requests Thresholds

Member states can establish that the right of the issuer to obtain the shareholders information is only effective with regard to holding of a minimum percentage of voting rights, which where set cannot exceed 0.5%.

Requests Handling

IBKR will send these requests in a standardised electronic format. Shareholders information shall be provided directly to the issuer (or other third party entity appointed) in the format prescribed by SRD II. We recommend that intermediaries review the Commission Implementing Regulation (EU) 2018 1212, which details the regulatory formats.

IBKR has appointed a third party provider, Mediant, to facilitate the requests handling. To use their services, they can be contacted directly at SRDTabulations@mediantonline.com.

Alternatively, intermediaries should ensure that they have alternative ways to reply to these requests for information after 3 September 2020.

SFTR: Reporting to Trade Repository Obligations and Interactive Brokers Delegated Service to help meet your obligations

Background: Securities Financing Transactions Regulation (“SFTR”) is a European regulation aimed at mitigating the risk of shadow banking. SFT's have been identified as being one of the central causes of the financial crisis and during and post crisis, regulators have struggled with anticipating the risks associated with securities financing. This led to the introduction of a reporting requirement for these SFTs.

Transactions that are reportable under SFTR: Repurchase agreements (repos), stock loans, margin loans, sell/buy-back transactions and collateral management transactions.

Whom do SFTR reporting obligations apply to: Reporting obligations normally apply to all clients established in the EU with the exception of natural persons. They apply to:

  • Financial counterparties ("FC"): include investment firms, credit institutions, insurance and reinsurance undertakings, UCITS and UCITS management companies, Alternative Investment Fund managed by an AIFM authorised under the Alternative Investment Fund Managers Directive ("AIFMD"), institutions for occupational retirement provision, central counterparties and central securities depositories.
  • Non-Financial Counterparty ("NFC"): Undertakings established in the Union or in a third country that do not fall under the definition of financial counterparty.
  • Small Non- Financial Counterparty ("NFC-"): A small non-financial counterparty is one which does not exceed the limits of at least two of three criteria: a balance sheet total of EUR 20m, net turnover of EUR 40m, and average number of 250 employees during the financial year. Under SFTR, small NFC's reporting obligations are automatically delegated to the financial counterparty with which they execute an SFT.

What must be reported?
The types of SFTs in scope of the requirements include:

Transaction level reporting:

  • Securities and commodities lending / borrowing transactions
  • Buy-sell backs / sell-buy backs
  • Repo transactions

Position Level reporting:

  • Margin lending

In-scope entities will be required to report details of an SFT which is in scope if that SFT:

  • is concluded after the date on which the Regulatory Technical Standards apply to the entity
  • has a remaining maturity of over 180 days on the date on which the RTS apply to the entity
  • is an open / rolling transaction that has been outstanding for more than 180 days on the date on which the RTS apply to the entity

When must it be reported?
SFTR is a two-sided reporting requirement, with both collateral provider (borrower) and collateral receiver (lender) required to report their side of the SFT to an approved Trade Repository on trade date +1 (T+1).

All new SFTs, modifications of open SFT’s and terminations of existing SFTs must be reported daily. Collateral is reported on T+1 or value date +1 (S+1) dependent on the method of collateralisation used.

What do reports include?
Reporting will be done using a combination of 153 fields, depending on product and report type.

  • 18 counterparty data fields - which includes information about the counterparty such as LEI and country of legal residence.
  • 99 Transaction fields – which includes the loan and collateral data information on the type of SFT which has been involved in the transaction
  • 20 Margin fields – which includes information on margin such as the portfolio code and currency.
  • 18 Reuse fields – which includes cash reinvestment and funding source data

What must match between reports?
The SFTR reporting format includes 153 reportable fields, some of which must match between reports of the two counterparties. There will be two phases of the trade repositories’ reconciliation process, with the first phase consisting of 62 matching fields which are required for the initial SFTR implementation. A second phase, starting 2 years after the start of the reporting obligation, will contain another 34 fields which are required to match, bringing the total number of matching fields to 96.

In this context, it is particularly important that the globally unique transaction identifier - a UTI, be used and shared between the parties to the trade. The parties should agree who is to generate the UTI. If no such agreement is in place, the regulation describes a waterfall model for who would be the generating party. The generating party is obligated to share the UTI with the counterpart in an electronic format in a timely manner for both parties to be able to fulfil their T+1 reporting obligation.

INTERACTIVE BROKERS DELEGATED REPORTING SERVICE TO HELP MEET YOUR REPORTING OBLIGATIONS

FCs, NFCs and NFC-s must report details of their transactions to authorised Trade Repositories. This obligation can be discharged directly through a Trade Repository, or by delegating the operational aspects of reporting to the counterparty or a third party (who submits reports on their behalf).

As mentioned above, when executing an SFT with an FC, an NFC- does not have to submit relevant reports, as these are submitted by the FC on the NFC-‘s behalf.
However, NFC-s who do not execute SFTs with an FC are required to submit reports.
Depending on the different setups available, Interactive Brokers clients’ may not be executing an SFT with an FC, and therefore Interactive Brokers offers a delegated reporting service, to ensure its clients can report all SFTs they execute.

As mentioned above, SFTR reports submitted by the two counterparties of an SFT must contain the same UTI. To ensure this requirement is satisfied, Interactive Brokers suggests that all of its clients in scope delegate reporting to Interactive Brokers.
Interactive Brokers will take care of generating matching UTIs when submitting its own reports and those of its clients on whose behalf it submits reports.

Validating Explicit Permissions - The European Securities and Markets Authority (ESMA) have introduced a mandate whereby trade repositories need to confirm a delegated reporting agreement is in place between the two parties before accepting and sending on any reports to the regulator. Due to this, the Trade Repository that Interactive Brokers works with - Depository Trust and Clearing Corporation ("DTCC"), has introduced a process to collect this information. As a client of Interactive Brokers, if you opt for delegated reporting, this mandate will apply.

DTCC will collect this information by sending clients an email asking for confirmation from the client that they have delegated their SFTR reporting to Interactive Brokers. – This will be a one-time process for each client. Once confirmed, DTCC will accept the reports and send them onto the regulator.

Securities Financing Transactions: Currently, Interactive Brokers clients can execute two types of SFTs: margin lending and stock loans. SFTR also requires reporting information on funding sources and collateral reuse.

Trade repository Interactive Brokers use: Interactive Brokers (U.K.) Limited will use the services of Depository Trust and Clearing Corporation ("DTCC") Trade Repository.

Timetable to report to Trade repositories: The reporting start date is 13 July 2020:
July 2020: Report Phase 1 – July 13 2020 reporting go-live for banks, investment firms & Credit Institutions and CCPs & CSDs
Oct 2020: Report Phase 2 - Insurance, UCITS, AIF & Pensions
Jan 2021: Report phase 3 - Reporting go-live for Non-Financial Companies

THIS INFORMATION IS GUIDANCE FOR INTERACTIVE BROKERS CLEARED CUSTOMERS ONLY.
NOTE: THE INFORMATION ABOVE IS NOT INTENDED TO BE A COMPREHENSIVE OR EXHAUSTIVE NOR A DEFINITIVE INTERPRETATION OF THE REGULATION, BUT A SUMMARY OF ESMA'S SFTR REGULATION AND RESULTING TRADE REPOSITORY REPORTING OBLIGATIONS

IBKR Australia Short Position Reporting

Introduction

You can request IBKR Australia perform your Australian short position reporting obligations on your behalf.

What is a short position?

A short position arises where the quantity of an eligible product that you hold is less than the quantity of the eligible product that you have an obligation to deliver, such as when you engaged in short selling an ASX-listed security and borrowed securities from IBKR to cover your delivery obligation.

When do I have a reporting obligation?

Short sellers have an obligation to report certain short positions to the Australian Securities & Investments Commission (ASIC). Reporting on short positions that are below the thresholds set by ASIC is optional. A short position does not need to be reported to ASIC when:

  • The value of the position is AUD 100,000 or less; and
  • The position is 0.01% or less of the total quantity of securities or products on issue for that security or product.

Otherwise, the short position must be reported.

The following table provides a convenient summary of when a short position must be reported (“Reportable Short Position”):

What you need to know about short position reporting:

It is important that any clients trading or wishing to trade eligible products understand that they may have an obligation to report their Reportable Short Positions to ASIC daily.

This obligation applies to any short sellers with a Reportable Short Position under the rules whether inside or outside of Australia. By default, IBKR Australia does not report Reportable Short Positions on your behalf, so you must arrange for the reporting of your short positions (if required).

IBKR Australia, along with many third-party firms, can provide this service to you subject to applicable terms and conditions.

If you would like IBKR Australia to perform your short position reporting for eligible products held in your IBKR account, please enrol in the service via Client Portal. Currently, this service is offered at no additional cost to IBKR Australia clients.

Please note:

  • If your account does not allow shorting of securities, there is no need to sign up for this service.
  • IBKR Australia will only offer the option to report all short positions and not only your Reportable Short Positions.

If you enroll in the IBKR short position reporting service:

  • You must not hold any other eligible products with any other bank, broker or custodian because our systems use the positions in your IBKR account to determine whether you have a reportable short position. We cannot accurately calculate your short position if you hold eligible positions elsewhere.
  • You must ensure that the information you provide us is complete and accurate in all respects, as we are required to provide ASIC with certain personal information about you.
  • The obligation to report your short positions is always yours and is not transferred to IBKR under any circumstance (i.e. IBKR does not become responsible for your short position reporting obligations);
  • If, for any reason, we are unable to report your short positions to ASIC before the deadline or at all, we will endeavour to inform you as early as possible so that you can make alternative arrangements. However, we make no warranties that you will receive the notification prior to the reporting deadline.

How do I apply?

To apply, all you need to do is log in to your account via the Client Portal, navigate to the Settings > Account Settings menu, click on the “ASIC Short Position Reporting” icon and follow the prompts.

As part of this process, you will need a unique identifier. For Australian applicants, this can be your ACN or ARBN. For overseas clients this can be your SWIFT BIC. Alternatively, you may register with ASIC to obtain a unique identity code.

Upon electing IBKR Australia to perform this short position reporting obligation on your behalf, you must warrant that the reportable short positions held with IBKR Australia represent your entire portfolio in applicable Reportable Short Positions and acknowledge that IBKR Australia will rely on this representation and warranty in good faith on each occasion that it makes a short position report to ASIC on your behalf.

Where can I get more information?

Clients seeking more information on their short position reporting obligations should refer to the following resources:

  • ASIC Regulatory Guide 196, which contains an overview of the applicable short selling rules and disclosure requirements.
  • ASIC Info Sheet 98, which provides an overview of how to submit short position reports to ASIC via FIX and a list of vendors who may be able to assist you with your short position reporting obligations if you don’t elect to enrol in the IBKR short position reporting service.

 

Aperçu sur le PRIIP

Contexte
En 2018, une réglementation européenne visant à protéger les clients de "détail" (clients privés) en veillant à ce qu'ils reçoivent les informations adéquates lorsqu'ils achètent certains produits, est entrée en vigueur. Cette réglementation est connue sous le nom de Règlement sur les Produits d'investissement packagés de détail et fondés sur l'assurance (MiFID II, Directive 2014/65/EU), ou PRIIP, et elle couvre tout investissement dont le montant payable aux clients fluctue en raison de l'exposition à des valeurs de référence ou à la performance d'un ou plusieurs actifs qui n'est pas acheté directement par cet investisseur de détail. Les options, contrats à terme, CFD, ETF, ETN et autres produits structurés en sont des exemples.

Il est important de noter qu'un courtier ne peut pas autoriser un client de détail à acheter un produit couvert par le PRIIP à moins que l'émetteur de ce produit ait préparé le document d'information requis que le courtier devra fournir au client. Ce document d'information appelé document d'information clé, ou KID, contient des informations importantes telles qu'une description générale, le coût, le profil risque/gains et les scénarios de performance possibles. Les clients des États-Unis ne sont pas impactés par le PRIIP. Aussi, certains émetteurs des ETF les plus populaires cotées aux États-Unis choisissent souvent de ne pas créer de KID. Mais cela signifie qu'un client de détail dans l'EEE ne peut pas acheter ce produit.

CLASSIFICATION DES CLIENTS
IBKR classe tous les clients individuels comme des clients "de détail" par défaut car cela leur permet de bénéficier du niveau de protection le plus élevé dans le cadre du MiFID. Les clients classés dans la catégorie “Professionnel” ne reçoivent pas le même niveau de protection que les clients "De détail" et ne sont pas soumis à l'exigence d'un "KID" Les clients "Professionnels", tels que définis par les règles MiFID II, incluent les entités régulées, les clients et personnes répondant à certains critères de taille qui ont demandé à passer dans la catégorie "clients professionnels sur demande"(elective professionals) et qui remplissent les critères définis par le règlement MiFID II en termes de connaissance, expérience et capacité financière.

IB fournit un procédé étape par étape qui permet aux "Clients de détail" de demander à changer de catégorie pour devenir "Professionnels". Vous trouvez les critères pour un changement de catégorie ainsi que les étapes de la demande dans l'article KB3298 ou, si vous souhaitez faire une demande directement, le questionnaire est disponible dans votre Portail Client/Gestion de compte.
 

PRIIPs Overview

BACKGROUND
In 2018, an EU regulation, intended to protect “Retail” clients by ensuring that they are provided with adequate disclosure when purchasing certain products took effect. This disclosure document is referred to as a Key Information Document, or KID, and it contains information such as product description, cost, risk-reward profile and possible performance scenarios.

This regulation is known as the Packaged Retail and Insurance-based Investment Product Regulation (MiFID II, Directive 2014/65/EU), or PRIIPs, and it covers any investment where the amount payable to the client fluctuates because of exposure to reference values or to the performance of one or more assets not directly purchased by such retail investor. Common examples of such products include options, futures, CFDs, ETFs, ETNs and other structured products.

The UK Financial Conduct Authority (FCA) has equivalent requirements for UK residents.

It’s important to note that a broker cannot allow a Retail client to purchase a product covered by PRIIPs unless the issuer of that product has prepared the required disclosure document for the broker to provide to the client. U.S. clients are not impacted by PRIIPs, so the issuers of U.S. listed ETFs do not as a rule create KIDs. This means that EEA and UK Retail clients may not purchase the product. Clients nevertheless have several options:

  1. Many US ETF issuers have equivalent ETFs issued by their European entities. European-issued ETFs have KIDs and are therefore freely tradable.
  2. Clients can trade most large US ETFs as CFDs. The CFDs are issued by IBKRs European entities and as such meet all KID requirements.
  3. Clients may be eligible for re-classification as a professional client, for whom KIDs are not required. 

CLIENT CATEGORISATION
We categorize all individual clients as “Retail” by default as this affords clients the broadest level of protection afforded by MiFID. Client who are categorised as “Professional” do not receive the same level of protection as “Retail” but are not subject to the KIDs requirement. As defined under MiFID II rules, “Professional” clients include regulated entities, large clients and individuals who have asked to be re-categorised as “elective professional clients” and meet the MiFID II requirements based on their knowledge, experience and financial capability.

We provide an online step-by-step process that allows “Retail” to request that their categorisation be changed to “Professional". The qualifications for re-categorisation along with the steps for requesting that one’s categorisation be considered are outlined in KB3298 or, to directly apply for a change in categorisation, the questionnaire is available in the Client Portal/Account Management.
 

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