IBKR Spot Gold (symbol XAUUSD) and IBKR Spot Silver (symbol XAGUSD) are available to most customers who are not residents of the U.S. or certain other countries.1 IBKR Spot Gold and IBKR Spot Silver are efficient, flexible and low-cost products that provide long and short exposure to the gold and silver markets. Additional benefits include:
Commissions start at just 1.5 basis points for Gold and 3 basis points for Silver, and overnight financing rates for short positions start at the benchmark rate + 1%, with lower rates available for larger balances. IBKR passes through prices from its liquidity providers without widening the spread.
The London bullion market is a wholesale market. However, IBKR clients have access to the corresponding efficient pricing, as quoted by IBKR's liquidity providers, without having to trade in wholesale quantities.
Trade from the same TWS quote monitor as gold and silver futures and other asset classes such as stocks, options, futures, currencies, bonds, funds and CFDs.
Spot gold and spot silver are traded in units of 1 troy ounce fine gold and fine silver, respectively, and is quoted vs USD.
Spot gold and spot silver can both be traded on margin.
A Troy Ounce is the traditional unit of weight used for precious metals. The term derives from the French town of Troyes, where this unit was first used in the Middle Ages. One troy ounce is equal to 1.0971428 ounces avoirdupois. In the bullion market, all references to ounces mean troy ounces.
The Loco London Spot Price is the basis for virtually all transactions in gold and silver in London. It is a quotation made by dealers based on US dollars per fine ounce for gold and silver. IBKR's liquidity providers provide quotes based on this price, including a spread. Settlement and delivery for gold and silver are two good business days in London after the day of the transaction (T+2).
IBKR Spot Gold and IBKR Spot Silver are considered "unallocated", which represents the most popular and straightforward way of trading gold and silver. Credit balances are backed by the general stock of the bullion dealer who has the gold or silver, and debit balances represent the indebtedness of the client to the bullion dealer. In other words, a position in gold or silver is not an entitlement to specific bars of gold or silver, although the latter can be arranged on request by contacting Client Service. There is an Unallocated Carrying Fee of 10 basis points charged for storage. IB Spot Gold and IB Spot Silver are traded through your margin account, and you can therefore enter long as well as short leveraged positions.
Interactive Brokers offers trading on various COMEX precious metal futures and eligible clients can take physical delivery of COMEX silver or gold futures.
Eligible customers must apply for Metals trading permissions via the Trading Permissions page in Account Management.
Metals are maintained in a segregated IB UK L account in Account Management. To trade gold, you must deposit or transfer cash into your IB UK L account using the Fund Transfers page in Account Management.
The risk of loss in online trading of stocks, options, futures, currencies, foreign equities, and fixed income can be substantial. Options are not suitable for all investors. For more information read the "Characteristics and Risks of Standardized Options". For a copy click here.
Your capital is at risk and your losses may exceed the value of your original investment.
Interactive Brokers (U.K.) Limited is authorised and regulated by the Financial Conduct Authority. FCA Reference Number 208159.
Interactive Brokers LLC is regulated by the US SEC and CFTC and is a member of the SIPC (www.sipc.org) compensation scheme;
products are only covered by the UK FSCS in limited circumstances.
Before trading, customers must read the relevant risk disclosure statements on our Warnings and Disclaimers page.
For a list of IBG memberships worldwide, click here.