THEY SUCK.

That is the what, now let me tell you the why. Interactive Brokers, commonly known as IB, is a huge brokerage house with very cheap commissions and you can trade practically anything anywhere in the world.

Want to trade asian futures ? No problem. Want to trade European option contracts ? No Problem. Want to Canadian stocks ? No problem with IB from one account, and pretty good commissions.

That is the good part.

THEY ARE GREAT AT NOTHING.

They let you trade everything, but they are great at nothing. Say for example, you day trade futures. Would IB be right for you ? Probably not. Take a look at firms such as AMP trading. Better margin rates and brokers that actually pick up the phone.

Want options? Try firms like AOS. Once again, comprable rates, and they have knowedagable people who answer the phone.

WHEN THE GOING GETS TOUGH, YOU GET SCREWED
IB is a big impersonal firm. They have soo many people and they are always trying to cut costs, it ends up hurting.

If you have a margin violation, or something goes wrong. They have the most brain dead liquidation software I have ever heard about.

Untold number of horror stories on IB about their auto liquidation. Do a seach on Elitetrader.com and prepare to be horrified.

WE DON’T SEE NO STINKIN CUSTOMER SERVICE

IB has the same ‘customer service’ used in a Gulag. If you have a question, you are better writing a letter to them, set it on fire, and pray to the gods. It would be more effective.

BOTTOM LINE
If you are just moving up from a ‘pure retail’ broker like Scott Trade , and you want to try a lot of things, IB will be OK.

If you know what you want to trade, and how you want to trade it. Run away from IB like the plague. The cheap commissions will be eaten up by the loss in one trade when something goes wrong.

You get the idea.

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