IG Vs Interactive Brokers

Category: Broker Guides | Author: Trading Brokers | Date: June 29, 2023

In the world of online trading, making the right choice when it comes to brokerage can greatly impact your investment journey. In the vast sea of options available, two names that often stand out are IG and Interactive Brokers. These industry giants have been serving traders for years, providing a range of services and features to meet diverse needs. In this article, we’ll dive into a detailed comparison of IG and Interactive Brokers to help you navigate the complexities of choosing the best platform for your trading endeavors. So, whether you’re a seasoned trader or just starting out, explore the strengths and weaknesses of these brokers, so you can make an informed decision and set sail toward your financial goals.

Overview of IG



IG, also known as IG Group, is a prominent global provider of online trading and investment services. Founded in 1974, IG has established itself as one of the leading brokers in the industry, offering a wide range of financial products to traders worldwide. With its headquarters in London, the company operates across multiple countries, catering to both individual retail investors and institutional clients. IG provides access to various markets, including equities, indices, commodities, cryptocurrencies, forex, and more. The broker offers a user-friendly trading platform equipped with advanced tools and features to facilitate efficient trading. Additionally, IG places emphasis on providing comprehensive research and educational resources to help traders make informed decisions.

Pros of IG

  • Wide range of financial products available for trading.
  • User-friendly trading platform with advanced tools and features.
  • Comprehensive research and educational resources.
  • Reliable execution and competitive pricing.
  • Strong regulatory compliance and security measures.

Cons of IG

  • Limited availability in certain countries.
  • Inactivity fees for dormant accounts.
  • Additional charges for premium features and services.
  • Some traders may find the platform’s customization options lacking.
  • Customer support response times can vary.
IG Logo

IG have an impressive selection of 18,000+ instruments including Forex, Stocks, Cryptos and Commodities. You can trade via easy to use platforms for desktop and mobile apps, with low trading costs and the peace of mind that you are using one of the most well-known brokers in the industry.

71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Overview of Interactive Brokers

Interactive Brokers

Interactive Brokers

Interactive Brokers is a renowned brokerage firm established in 1978, offering a wide range of online trading and investment services. Headquartered in the United States, it has gained a strong reputation for its advanced trading technology and comprehensive access to global financial markets. Catering to both individual traders and institutional investors, Interactive Brokers provides an extensive selection of tradable assets, including stocks, options, futures, forex, and more. With a highly regarded trading platform known for its powerful tools, customizable interfaces, and direct market access, the broker appeals to active traders and professionals. Its global reach, low-cost execution, competitive pricing, and transparent fee structures further contribute to its popularity. Upholding strict security measures and regulatory compliance, Interactive Brokers ensures client protection, while also offering educational resources, research tools, and a demo account for traders to enhance their skills and knowledge.

Pros of Interactive Brokers

  • Comprehensive access to global financial markets and a wide range of tradable assets.
  • Advanced trading technology with powerful tools and customizable interfaces.
  • Competitive pricing and low-cost execution for active traders.
  • Strong regulatory compliance and security measures to protect client funds.
  • Educational resources and research tools to enhance trading skills and knowledge.

Cons of Interactive Brokers

  • Complex platform interface, which may be overwhelming for beginners.
  • Inactivity fees for dormant accounts, impacting infrequent traders.
  • Minimum deposit requirements and higher account maintenance fees.
  • Customer support response times can be variable.
  • Limited availability of certain investment products or markets.
Interactive Brokers Logo

Interactive Brokers provide leading online trading solutions for traders, investors and advisors, with direct global access to stocks, options, futures, currencies, bonds and funds.

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

Comparing IG and Interactive Brokers: Which is Right for You?

To determine which platform is more suitable for you, let’s compare IG and Interactive Brokers across various factors:


Both IG and Interactive Brokers are highly regulated brokers, ensuring a high level of trust and compliance. IG holds licenses from various tier-1, tier-2, and tier-3 regulators, including the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investments Commission (ASIC), and the Monetary Authority of Singapore (MAS). Interactive Brokers, on the other hand, holds licenses from tier-1 and tier-2 regulators such as the Securities and Exchange Commission (SEC) in the US, the Financial Industry Regulatory Authority (FINRA), and the UK’s FCA. These regulatory bodies impose strict guidelines and standards to protect clients’ interests and ensure fair trading practices.

Trading platforms

IG offers its own proprietary web and mobile trading platforms, known for their user-friendly interfaces and comprehensive features. These platforms provide advanced charting tools, trading signals, customizable layouts, and news feeds to assist traders in making informed decisions. Additionally, IG supports the popular MetaTrader 4 platform, which is highly regarded for its extensive technical analysis capabilities and automated trading options. On the other hand, Interactive Brokers offers a suite of trading platforms, including Client Portal, Trader Workstation (TWS), and IBKR Mobile. Interactive Brokers’ platforms cater to professional traders and feature advanced order types, real-time market data, and sophisticated trading tools. Traders can also customize their trading environment with a wide range of options and widgets. Furthermore, Interactive Brokers supports third-party platforms like MetaTrader 4, TradingView, and NinjaTrader, providing additional flexibility and choice.

Pricing and fees

When it comes to pricing and fees, Interactive Brokers generally offers lower trading costs compared to IG, particularly for stocks and ETFs. Interactive Brokers provides commission-free trading for US-listed stocks and ETFs, which can significantly reduce trading expenses for frequent traders. On the other hand, IG charges fixed commissions for stocks, with fees varying based on the market and trade size. For example, IG charges a fixed commission of $0.02 per share for US stocks and £10 per trade for UK stocks. When it comes to forex and CFD trading, IG offers competitive spreads, although Interactive Brokers has even lower spreads for forex pairs. For instance, the average spread for the popular EUR/USD currency pair is 0.6 pips at Interactive Brokers, while it is 0.86 pips at IG. It’s important to note that both brokers may have additional fees for certain services, such as data subscriptions or premium features. However, IG has an advantage over Interactive Brokers when it comes to non-trading fees, as IG does not charge inactivity fees, withdrawal fees, or account maintenance fees, whereas Interactive Brokers may have charges associated with withdrawals.

Broker Type

IG operates as a market maker broker, acting as the counterparty to its clients’ trades. As a market maker, IG sets its own prices and earns revenue from the spreads, which are the differences between the buying and selling prices of an asset. This model provides stability in terms of fixed spreads and predefined fees, making it easier for traders to calculate their trading costs. On the other hand, Interactive Brokers is a no dealing desk (NDD) broker, which means it connects traders to various liquidity providers in the market. As an NDD broker, Interactive Brokers aggregates prices from multiple sources and executes clients’ orders at the best available prices. This can result in variable spreads and direct market access, providing traders with more transparency and potentially tighter spreads, especially during high market liquidity.


Both IG and Interactive Brokers offer leverage trading options, allowing traders to amplify their trading positions. However, the maximum leverage levels may vary depending on factors such as the client’s account type, location, and regulatory restrictions. For example, IG offers leverage up to 1:200 for forex trading to professional clients in the UK and Europe, enabling them to control larger positions with a smaller amount of capital. Interactive Brokers, on the other hand, offers leverage up to 1:50 for forex trading to all clients in the US.

Asset selection

Both IG and Interactive Brokers provide traders with a wide range of asset classes to trade, allowing diversification and access to various markets. IG offers a comprehensive selection of assets, including stocks, ETFs, forex, indices, commodities, bonds, options, futures, and cryptocurrencies. They also offer a vast number of contracts for difference (CFDs) on these assets, with more than 19,500 CFDs available. On the other hand, Interactive Brokers offers an extensive range of tradable instruments, including stocks, ETFs, forex, bonds, options, futures, mutual funds, and CFDs. They have a notable focus on options and futures markets, with over 40 options markets and 35 futures markets available. While IG has a larger number of CFDs, Interactive Brokers has a more significant presence in options and futures trading, catering to traders with specific preferences or strategies.

Social Trading

Neither IG nor Interactive Brokers offer built-in social trading features on their platforms. However, both brokers support third-party social trading platforms, which allow traders to follow and copy the trades of other successful traders. For instance, ZuluTrade and eToro are supported by both brokers, enabling clients to engage in social trading and benefit from the strategies of experienced traders within those platforms.

Minimum Deposit

Both IG and Interactive Brokers have no minimum deposit requirements to open a trading account. This accessibility allows traders to start trading with the amount they are comfortable with, without any significant financial barriers. However, it’s important to note that certain account types or services within each broker may have specific funding or equity requirements. For example, Interactive Brokers requires a minimum deposit of $10,000 to open a margin account or access its desktop platform, Trader Workstation (TWS).

Withdrawal and Deposit methods

Both IG and Interactive Brokers offer various methods for depositing and withdrawing funds from trading accounts, providing flexibility and convenience to clients. Common options include bank transfers, credit/debit cards, and online payment services. IG offers additional options such as PayPal, Skrill, and Neteller for specific regions. Interactive Brokers supports the above methods, and also accepts checks for withdrawal requests. It’s important to note that while IG does not charge withdrawal fees, Interactive Brokers may apply fees depending on the method, currency, and amount of the withdrawal. These fees may vary, so it’s essential to review the specific fee structure of each broker for accurate information.

Choosing the Right Broker: Is IG or Interactive Brokers the Better Option for You?

Determining the best online trading platform for you depends on your individual preferences and goals. If you’re someone who values user-friendly platforms with intuitive interfaces, extensive educational resources, and a focus on beginner-friendly features, IG may be the ideal choice. Their proprietary platforms and support for MetaTrader 4 provide a seamless trading experience for traders at all levels. On the other hand, if you’re someone who seeks advanced trading tools, sophisticated order types, and in-depth analytics, Interactive Brokers’ platforms, such as the Trader Workstation (TWS), cater to your needs. Consider your pricing preferences, with Interactive Brokers offering competitive trading fees, particularly for stocks and ETFs, while IG stands out with its absence of inactivity fees and withdrawal fees. Additionally, take into account the range of tradable assets, as IG offers a broader selection of CFDs, while Interactive Brokers excels in options and futures markets. By evaluating these factors and aligning them with your trading style and objectives, you can confidently determine which broker is best suited to help you achieve your trading goals.


In conclusion, choosing between IG and Interactive Brokers depends on your trading experience, goals, preferred platforms, pricing preferences, and desired asset selection. IG may be more suitable for beginners or those seeking user-friendly platforms, while Interactive Brokers caters to professional traders with advanced tools. Consider the fees, including trading costs and non-trading fees, and assess the range of assets available on each platform. By carefully evaluating these factors, you can make an informed decision and select the broker that aligns best with your specific trading needs and preferences.

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