Fees

Instructions

1. Click Client Administration in the top left corner and select Fees and Invoicing > Fees.
2. The display selector will open on the right side. Select an account to view the current fees.

   • To sort the list by any column heading, click the arrow next to that heading.

   

3. Click the Edit Client Fees button in the top right corner to make changes.

   

4. Use the Fee Strategy drop-down to determine whether or not to charge fees and whether or not you are already charging fees outside of IBKR. If you elect to Charge fees for managing this account, the additional fee requirements will populate below.

   

   Provide the required fee information and press continue.

   • Annualized Percentage of Net Liquidation: You may select one of two Types: Blended or Fixed. To apply a Fixed percentage fee, choose the frequency of calculation to enter a percentage value. To apply a Blended fee, select the frequency of calculation and, if you wish, set different percentage fees for different levels of NAV.
   • Percentage of Net Liquidation: - End of Month/Quarter Billing:
     • End of Month/Quarter fee is calculated by using the End of Month/Quarter Net liquidation Value, the rate and the number of business days in a particular period.
     • Clients will be charged for number of business days in a period for which the fee configuration was enabled.
     • Clients will not be charged if funds are withdrawn on the last business day of the period.
     • Fees will be charged for first U.S. business day of the month.
     • Formula:
       • (Last Business Day of Month/Quarter NLV amount * Rate) / (Number of business days per year / Number of Fee Days)
       • Number of business days per year set as 252
       • Number of Fee Days is the number of business days in a period for which the fee configuration was enabled.

   • Annualized Flat Fee: When charging a flat fee, select the time period for which it will be charged and enter a dollar value in the Amount field.

   • Percentage of P&L: Fees that are derived as a percentage of a client’s profits are also called Performance Fees. Set the percentage and, if you wish, a Performance Threshold, either fixed or relative to a listed benchmark, and/or a High-Water Mark.

   • Invoicing: When invoicing choose either monthly or quarterly billing periods, or monthly or quarterly based on period ending values, and set a maximum fee as a percentage of net liquidation value.

   • Performance Fee Invoicing: Submit manual performance fee invoices to clients on a monthly, quarterly, or annual basis. Before an invoice is processed, the system automatically checks that a valid fee agreement is in place and calculates the maximum fee the advisor is allowed to charge, based on how the client's account actually performed during the prior billing period.

   • Invoicing Limits for New Clients: Invoice new clients for a limited time after the accounts have been opened or funded, based on the value of the client’s account at the time an invoice is submitted. Invoices may be submitted within 30 days after a new account configured with monthly invoicing was opened or funded, and 90 days after a new account configured with quarterly invoicing was opened or funded.

     • To determine the invoicing limit amount, the following formula will be applied:

     • Rate divided by the number of fee payment periods (12 for monthly, 4 for quarterly) per year to calculate the Period Fee Rate

     • Multiply the Period Fee Rate by the Account Value

     After these initial, transition periods, our standard invoicing logic will apply.

     Note: During the transition billing period only, all advisors will be limited to invoicing up to a maximum of 2%. After the transition period, the configured limits will apply.

   • Fee Per Trade Unit: For FX, Futures Options, Futures and Single Stock Futures you can choose to charge per trade unit. Click on a category and select from the products displayed.

     Note: Fee per trade unit is not available for US or US protectorate legal residents due to regulatory restrictions, with the exception of US commodity-registered advisors, who are allowed a per-trade schedule for futures. For more information on configuring markups, please click here.

   • Enter client fee amounts and select invoicing caps as you wish. For details on client fees, see Overview of Advisor Client Fees.
   • For automatic invoicing, enter the maximum invoice amount in the Amount field, enter a maximum percentage of Net Asset Value (percentage cap) that will be listed in the Cap field, and choose between monthly and quarterly billing. If you set both a maximum amount and a percentage cap, we will apply the lower of the two. To learn how much you can deduct from a client, select Fees > Invoicing and review the Available Fees column. For more detail about automatic invoicing, see Overview of Advisor Client Fees.
   • To assign all commissions for a client account to your Advisor account, click the Commissions toggle buttons. If your Master account balance is under $1000 when the commissions need to be posted they will be charged to your client’s account.
   • By default, minimum monthly fees, IRA account fees and market data / research fees are charged to client accounts. To charge these fees to your Advisor account instead, click the Other Fees toggle buttons.

5. The Fees Effective Date configuration will allow fees which are consented to by clients to become effective at a future date.

   • Fee configurations are effective starting effective date.

   • If the account opening date is after the effective date, the fee configurations are effective 1 day after the open date.

   • If the request approval date is after the effective date, the fee configurations are effective 1 day after the request approval date.

   • Fee computations will not exist until the effective date (based on above bullet points) & the account is funded.

Additional Resources

• Learn About Fees in Advisor Portal at IBKR Campus

• Visit the IBKR Advisor Portal Website

• Log in to Client Fees