IB will eliminate intraday margin reductions. Commencing at 12:00 EST today

Discussion in 'Retail Brokers' started by Tums, Jul 15, 2008.

  1. Tums


    Interactive Brokers Bulletin Board

    IMPORTANT NOTICE regarding Intraday Margin In light of the market volatility and the continuing turmoil in financial services stocks, IB will eliminate intraday margin reductions. Commencing at 12:00 EST today (18:00 CET), contracts which utilize value-at-risk margin models such as SPAN, Eurex, or TIMS in the commodity sub-account will be margined using the same parameters as for overnight margin. Please note that it may take up to 45 minutes for the new margin requirements to be expressed in the TWS but traders may consult the account window in the Trader Work Station to see what the overnight margin will be. We expect that intraday margin reductions will remain suspended for subsequent trading sessions and we will make further announcements as market conditions develop. Regardless of the likelihood of large, rapid changes in market conditions, we recommend that traders examine their portfolios to consider their exposure under extreme-move scenarios. Interactive Brokers Risk Management
  2. Is this a big deal?
  3. It is if you trade futures.
  4. For all of you with money at IB... this is a good safety measure.
  5. This maybe true - but how about some fucking clarity about their margin policy. They just can't eliminate intraday margins whenever they feel like it.

    How about having a clear policy such as:
    VIX = 10-20 = Intraday Margin
    VIX = 20-30 = 50% increase in Intraday Margin
    VIX = 30+ = No Intraday Margin
  6. futuman


    IB is a joke.

  7. Does this change apply only to ES contracts?
  8. You get what you pay for. Trade with a firm with a real risk management dept.
  9. It applys to all futures contracts.
  10. I bet it was the $10 move in CL in just minutes that caused this change - that move probably blew out many accounts at IB.

    But if that was the case then eliminate intraday margins on CL instead of on all futures.
    #10     Jul 15, 2008