IB & forex

Discussion in 'Interactive Brokers' started by Option Trader, Dec 8, 2008.

  1. Yes you would be paying interest if you short GBP/USD, because of the difference in interest rates between borrowing GBP and lending out USD. If you were long GBP/USD you would likely earn a small amount of interest.

    The Oanda interest calculator can help you work it out:

    http://fxtrade.oanda.com/tools/fxcalculators/interest_calculator.shtml

    It won't be exactly the same as IB, as they have slightly different interest rates - but it is a good approximation.
     
    #11     Dec 9, 2008