Interactive Broker Fully Disclosed Clearing Agreement

First founded in 1977 as T.P. & Co., the original organization was renamed Timber Hill Inc. in 1982. It was the first to use fair value price sheets on a stock market in 1979 and the first in 1983 to use laptops for trading. In 1987, Peterffy also created the first fully automatic algorithmic trading system to automatically create orders and send them to a market. The Interactive Brokers Group was established between 1993 and 1994 and the subsidiary Interactive Brokers LLC was created to control its electronic brokerage and keep it separate from Timber Hill, which operates the making market. In 2014, Interactive Brokers was the first online broker to offer direct access to IEX, a private securities trading forum. At present, about 16.6 per cent of the enterprise is publicly owned, while the rest is owned by employees and their related enterprises; Thomas Peterffy is the largest shareholder. In 1983, Peterffy tried to computerize the options market and first targeted the Chicago Board Options Exchange (CBOE).

[7] At the time, brokers still used fair value price cards that were previously updated once or twice a day. In 1983, Timber Hill developed the first commercially used laptops. As Peterffy explained in a 2016 interview, battery-operated units had touch screens on which the user could enter a stock price and would produce the recommended option prices[9][10] and he also tracked constantly revalued positions and options on the shares. [11] However, he immediately encountered resistance from the stock market executives. When, for the first time, he put on the floor a device that was 12 inches (30 cm) by 9 inches wide (23 cm), a stock exchange committee told him it was too big. When it reduced the device, the committee explained that no analytical device could be used in the exchange hall. Effectively blocked by the use of the CBOE, he tried to use his devices in other exchanges. [7] Interactive Brokers Inc.

was founded in 1993 as a U.S. broker to provide clients with the electronic network and distribution services technology developed by Timber Hill. In 1994, Timber Hill Europe began trading on the European Options Exchange, the OM Exchange and the London International Financial Futures and Options Exchange. Also in 1994, Timber Hill Germany became a member of the Belgium Futures and Options Exchange, IB became a member of the New York Stock Exchange and Timber Hill Group LLC was established as the holding company of Timber Hill and IB. Created in 1995, Timber Hill France S.A. began marketing the Paris Tradable Options Market (a subsidiary of Euronext Paris) and the French International Futures Exchange. Also in 1995, Timber Hill Hong Kong started doing market making at the Hong Kong Futures Exchange and IB created its main trading platform Trader Workstation and made its first trades for public clients. [11] A non-U.S. bus broker must be registered with the U.S. IRS as a qualified intermediary. In 2001, the company name Timber Hill Group LLC was changed to Interactive Brokers Group LLC, which at the time made 200,000 trades per day.

In 2002, Interactive Brokers founded the Boston Options Exchange with the Montreal Stock Exchange and the Boston Stock Exchange. [14] Ib Mobile Trader also introduced in 2002 and an application programming interface for clients and developers to integrate their mobile phone systems into IB`s trading system. [15] In 2002, Timber Hill became the main market maker for the New United States. . . .