Interactive Brokers’ Stocks Jump 7% as January DARTs Set Record

Interactive Brokers’ Stocks Jump 7% as January DARTs Set Record

February 1, 2021

Interactive Brokers LLC (NASDAQ:IBKR) has published its trading metrics for the month of January, showing another record month in terms of the daily average revenue trades (DARTs), a metric that set records for the past two consecutive months.

With 3,295 thousand DARTs for the month, the metric went up 43 percent compared to the prior month and 223 percent when tallied with the same month a year before.

This impressive figure was mostly backed by the increased traders’ activity in the market with the ongoing frenzy. The recent tremendous volatility of stocks like GameStop, AMC Entertainment, and a few others have skyrocketed the retail trading demand.

Records Across all Metrics

Additionally, the Connecticut-headquartered broker ended the month with total client equity of $313.4 billion. This number includes the $2.43 billion in client equity the brokerage gained with its acquisition of Folio.

The broker’s client equity went up by 78 percent year-on-year and by 9 percent, compared to December 2020.

The client margin loan balance on the broker further jumped by 49 percent year-on-year to $40.8 billion, which is also 5 percent higher than the prior month. The $82.7 billion in client credit balance for January also ended up 40 percent higher than the prior year and 6 percent higher than the prior month.

The US-listed brokerage further detailed that it added 1,189,000 new clients last month, which include 57,000 new accounts acquired from Folio. This metric is 69 percent higher year-on-year and 11 percent higher month-on-month.

Earlier, the broker revealed to Finance Magnates that nearly 80 percent of their new clients come from outside the US, citing the increasing number of mutual funds and products available to trade in fractions.

Interactive Brokers additionally secured its position in Europe after Brexit by forming two local entities, one in Ireland and the other in Hungry, to serve its EEA clients.

Meanwhile, the publicly-listed shares of the company are performing well and jumped almost 7 percent as the broker posted the record trading metrics for January.

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