Interactive Brokers Launches High Touch Prime Brokerage Service for US Hedge Funds

Interactive Brokers, a US-based global electronic broker, has launched High Touch Prime Brokerage and Global Outsourced Trading. These services are designed to assist select US hedge funds in managing and expanding their businesses.

Eligible hedge fund clients can now take advantage of the high touch services that seamlessly deliver Interactive Brokers' cost-effective platform with personal resources and attention, streamlining the process so they can focus more on implementing their investment strategies and working with clients.

According to the American broker, the High Touch Prime Brokerage provides access to a dedicated Relationship Manager who serves as a single point of contact for support and has a deep understanding of their client's trading strategy and requirements. The Relationship Manager will navigate the firm on behalf of the fund to address questions or concerns, resolve issues quickly, and facilitate special requests. Hedge funds can also leverage the expertise of Interactive Brokers in various departments such as Risk, Compliance, Securities Lending, Corporate Actions, Tax, Clearing, Transfers, and Proxy.

In addition, clients of the High Touch Prime Brokerage service can gain access to new IBKR Outsourced Trading desks located in Europe and Asia, expanding their trading services beyond North America.

Milan Galik, Chief Executive Officer of Interactive Brokers, commented: "Hedge funds select Interactive Brokers for our automated systems and advanced trading technology, which can help keep costs low. However, we recognize that many hedge funds appreciate having a single contact familiar with their trading objectives and business strategies. High Touch Prime Brokerage enables Interactive Brokers to compete with large prime brokers and removes a potential barrier for hedge funds who want to move to a low-cost platform but are accustomed to personalized service."

Interactive Brokers' strong financial strength provides stable support for its business development. At the beginning of this month, the company updated its latest monthly trading data​, unveiling its Daily Average Revenue Trades of 2.412 million in March 2024, a slight decrease of 1% month-on-month (MoM), but an increase of 17% year-on-year (YoY). The client equity at the end of the month reached $465.9 billion, up 4% MoM and up 36% YoY.