Guys, I am not yet an IB member, but I was wondering if you want to exchange euros into dollars (or vice versa), does IB give a fair currency exchange? Or is it better that I go to my bank for the exchange? Which one is the best, which one is the cheapest? Thanks for your help!!!!
You should get a better rate than you'll get at your bank. But since I work for IB, I'll let others confirm this.
I think the markup the last time I exchanged currency at a bank was about 2%. You'll do much better through IB.
The worst place to go is the bank where they usually charge 300 or 400-pip spread. If you are in a major city, try one of those currency exchange places downtown. You should be able to get 25 to 50 pip spreads max. If IB can give you that, then use IB otherwise shop around.
I have seen often IB under 10 pips, better any bank or exchange desk currency. In near future, they should have a true FX and it should be better again for us.