Cash Accounts: Does a cash account require completion of a W8 form?
If you are a non-US person or entity, Interactive Brokers is required to have a valid form W8 certifying your country of tax residence at the time of application. You may update your W8 form at any time in Account Management.
Can the base currency in a cash account be changed?
Yes, cash accounts may change the base currency on their account. However, please note that IBIS, EmployeeTrack, Flat Fee Referrer, Betting and IN/JPN domeestic accounts cannot change their base currency.
Adding (non-employee) users to an individual account
Overview:
Individual account holders have the ability to add multiple users to their IBKR account. The account holder may wish to add a second user registered under their own name for the purpose of opening two TWS sessions simultaneously (one for normal access and the other for connecting via an API). The account holder may also provide access to up to 5 (non-employee) individuals, such as a family members, pursuant to a Limited Power of Attorney agreement. In addition, each of these individuals may also be provided with a second user access.
In each case, the additional user will be assigned a unique user name which is required for log in both to Client Portal and the trading platform of choice. Procedures for adding a (non-employee) individual user are outlined below (search KB1004 for procedures for adding a second user for an individual account holder).
Background:
Procedures for adding a non-employee user are as follows:
- Log into Client Portal.
- Click the User menu (head and shoulders icon in the top right corner) followed by Manage Account.
- The Users & Access Rights panel is displayed to the right in the Configuration column and shows all of the users that you have added to your account.
- Click the Configure (gear) icon to open the Users & Access Rights screen.
- Here there are two panels: the Users panel shows those individuals added to your account, as well as their relationship to the primary account holder; the User Roles panel shows all user roles that you have created.
- Add, edit, or delete Users using the set of icons to the right.
- The process of adding a user and assigning access rights is divided into several screens. When you complete each screen, click Continue to advance to the next screen. If you want to make changes to a previous screen, click Back.
- On the first screen, enter information about the user, including the username, password, name, relationship to the primary account holder and email address.
- On the next screen, select a user role, if you have saved any. User roles automatically apply a set of previously configured access rights to the new user. If you do this, you can skip any additional screens and continue to the review screen.
- Each screen that follows lets you give the new user rights to access a specific group of functions. On each screen, grant access to functions by clicking the box next to each one.
- The last screen in the process lets you review all of the information about the new user, including access rights. Rights that have been assigned to the new user are shown checked and in green; rights that have not been assigned to the new user are shown crossed out. Click Continue if everything is correct. Click Back to make changes.
- If you do not participate in the Secure Login System for two-factor authentication, you will receive an email with a confirmation number. Enter the confirmation number sent to you via email, then click Continue. If you have not received a confirmation number, click Request Confirmation Number to have a new confirmation number sent to your email address.
- Click OK to save the new user, which will appear in the Users & Access Rights panel.
IMPORTANT NOTES:
1. In accordance with market data vendor requirements, the primary user on the account will be assessed a separate market data subscription fee for each user account added.
2. Account holders may delete a user account by clicking on the delete link next to the user name located within the Users & Access Rights menu options.
Links:
How do I add a second user to my Friends and Family master account?
While technically, Friends and Family accounts can have more than one user, there cannot be more than one trader. The second user can access all other functions.
The second user on a Friends and Family master account is designed to accommodate an API connection.
Transfer on Death
Transfer on Death is a form of account registration which allows individuals to pass the assets in their IBKR account directly to another person or entity upon their death without having to go through probate. This registration option is solely available to individual accounts held by US residents (no joint or IRA accounts).
To elect this option, eligible account holders will need to do the following:
1. Log in to Client Portal and User menu (head and shoulders icon in the top right corner) followed by Settings. Next select Account Inheritance under the Account Configuration section.
2. You will need to specify your Primary Beneficiaries (from 1 to 6 whose percentage of ownership must total 100%)
3. You may elect to specify your Contingent Beneficiaries (from 1 to 6 whose percentage of ownership must total 100%). If you do not elect any Contingent Beneficiaries you will need to specify how you wish the interests of any Primary Beneficiaries that predecease you shall be treated (either pass back to the account holder's estate or pass to the remaining Primary Beneficiaries).
4) In the event any Primary or Contingent Beneficiary is a minor you will be required to designate an authorizer signer.
5) You will then be provided with a link to a pre-populated Transfer on Death Agreement which requires formal signature and notarization. Instructions are also provided for submitting the form. If the account holder is married and living in a community property state, spousal consent is required if the spouse is not named as the primary beneficiary (it is the responsibility of the account holder to make this determination).
6) Once the agreement has been returned and reviewed for approval, the registration will be complete and the account title amended (e.g. Jane Doe, TOD). Statements will also reflect this new account title.
7) Account holders may remove the TOD request prior to approval or revoke once approved (both via online option). A new agreement will need to be completed, signed and returned prior to the revocation becoming effective. In order for a revocation request to be effective, it must be received and approved by IBKR prior to the account holder's death.
8) In the event of the death of the account holder, surviving family, heirs, beneficiaries or executors should notify IBKR Client Services via email to:
- estateprocessing@interactivebrokers.com (for US accounts).
Upon receipt of a certified death certificate, IBKR will commence estate processing to determine appropriate distribution of assets. The process varies based upon account type, jurisdiction and other factors. Processing instructions will be provided to verified estate administrators, heirs or beneficiaries.
Can advisors and other family accounts use WebTrader or MobileTrader?
Overview:
Beginning approximately March 5, 2009, financial advisors and proprietary trading group accounts (otherwise known as STL - Separate Trading Limit) have the ability to access both the WebTrader and MobileTrader platforms.
Note:
Only single account allocations are supported at this time. Orders cannot be entered using allocation groups or profiles.
Can advisors trade Mutual Funds?
Overview:
Mutual Funds
Advisors have the ability to trade mutual funds on behalf of their clients by using either an allocation order or by direct allocating.
Can I be long and short the same underlying contract simultaneously?
Overview:
IB does not offer this particular account structure. While IB does offer stock and option trading in the same account as futures/commodities trading, there is no account structure here where traders can be short and long the same underlying contract simultaneously.
Background:
This could occur if an account holder had more than one account. For example, this account holder could short an XYZ June 2009 45 call in account UXXXXX1, and go long the same XYZ June 2009 45 call in account UXXXXX2. However, if the account is short 1 XYZ June 2009 45 call in account UXXXXX1, and buys one June 2009 45 call in account UXXXXX1, this would close the short position.
How can my employer get set up in order to receive duplicate copies of my trade confirmations and statements?
In order for an employer to be set up so as to received this information, you will need to have them prepare and email to newaccounts@interactivebrokers.com a Rule 407 letter which confirms your employment and which serves as their request to receive duplicate statements and trade confirms. Assuming that your employer is a financial institution which, for in-house compliance purposes and/or as a result of regulatory mandate monitors the trading activities of their employees, they should be familiar with the preparation and contents of this letter.
You may also want to first verify with your employer whether they are a participant in the IBEmployeeTrackSM program which automatically identifies new IB accounts opened by employees and organizes into a single daily transmission the reports required for all.
Note that once established, this reporting cannot be terminated without confirmation from the employer that the delivery of statements and confirms is no longer required.
NOTE:
If this request is being driven by a change in the account holder's employment, the account holder should update their employment information within Account Management. In addition, if the account holder selects the Applicant Information and then Regulatory Information menu options within Account Management they will be presented with the following question:
Is the account holder or any immediate family member who resides in the same household, registered as a broker-dealer or an employee, director or owner of a securities or commodities brokerage firm?
Answering 'Yes' to that question will prompt a series of questions and generate a sample Rule 407 letter.
Is there a way in TWS that I can prevent myself from making trades that cause my cash balance to go negative?
Overview:
There isn’t a function in TWS that prevents account holders with margin accounts from making trades that cause their cash balance to become negative, which would then incur interest charges for a margin loan. Traders would want to ensure that their cash balance always remained positive or open a cash account. Negative cash balances are disallowed in cash accounts and orders that would cause the cash balance to go negative should be rejected by the system.
