IBKR launches daily options on the French CAC 40 index

Daily Options on the CAC 40 index cater to growing demand for options with daily expirations, which have potentially lower costs.

Interactive Brokers has introduced Daily Options on the CAC 40 index to its product suite, thus providing experienced investors with another means to execute short-term trading strategies and manage exposure to the French stock market.

The automated global electronic broker is actively looking to attract options traders by enhancing its product offerings, such as with the addition of major indexes like the CAC 40, alongside stocks, bonds, funds, and more.

IBKR provides algorithmic trading options, risk management tools, and market scanners that help identify trading opportunities, particularly useful for options traders, who also benefit from the broker’s low cost of execution in high-frequency options trading.

The brokerage firm offers extensive resources, including webinars, courses, and tutorials tailored to both novice and experienced options traders.

Short-term trading strategies have potentially lower costs

Daily Options on the CAC 40 index cater to growing demand from institutional and retail investors for options with daily expirations. These options offer a unique opportunity to engage in short-term trading strategies with potentially lower costs due to their shorter time frame and thus decreased time value.

Milan Galik, Chief Executive Officer of Interactive Brokers, said: “We are pleased to offer Daily Options on the CAC 40 index, which will allow our clients to balance risk and swiftly adjust their portfolios in response to market movements. At Interactive Brokers, we strive to equip our clients with an array of products to find global opportunities, and this new offering underscores our commitment to providing traders with comprehensive product solutions.”

IBKR launched HK spot Bitcoin and Ether ETPs

Interactive Brokers recently launched Hong Kong Spot Bitcoin and Ether Exchange Traded Products (ETPs), available to trade on the Hong Kong Stock Exchange.

The automated global electronic broker first launched crypto trading in Hong Kong in early 2023, which included trading and custody of Bitcoin (BTC) and Ethereum (ETH) but only for professional investors.

In November 2023, IBKR HK obtained an SFC license to engage in virtual asset trading for retail clients. The license permits the brokerage to facilitate trading in major cryptocurrencies like Bitcoin and Ether, with a formal announcement anticipated shortly.

IBKR’s revenue figures exceeded Wall Street forecasts

Earlier this month, Interactive Brokers announced its first-quarter financial results for the period ending March 31, 2024. The leading automated global electronic broker reported a GAAP diluted EPS of $1.61 and an adjusted EPS of $1.64. Revenue figures exceeded Wall Street forecasts, with GAAP net revenues reaching $1,203 million and adjusted net revenues at $1,216 million.

IBKR derives nearly 70% of its net revenue from the U.S. market, with the remaining 30% coming from international operations. The company has seen a robust increase in its financials, with net income available for common stockholders rising from $148 million in Q1 2023 to $175 million in Q1 2024. This growth was supported by increases in both interest and non-interest income, indicating a diversified revenue stream.

Despite the strong financial performance, the discount broker reported a $104 million decrease in earnings due to its currency diversification strategy, which was affected by a 0.73% depreciation in the U.S. dollar value against its GLOBAL basket.