How to transfer funds to Interactive Brokers?

Stocks
1

I opened an Interactive Brokers account to invest in US stocks / ETFs either domiciled in Ireland or US.

I’m not sure of the deposit method to be used.

Can anyone who has had experience with this help me on choosing from the different methods in funding my account with least charges?
How would the charges and currencies differ if I plan to invest in Irish domiciled stocks and US domiciled stocks?

I’ve listed the methods by which IBKR allows funding.

Please let me know which of these methods is easy, cost-efficient, takes least time to realize when transferred / redeemed and involves least paper work or physical bank visits assuming I have SBI savings account (with internet banking).

  1. Bank Wire (Not sure how this works)
  2. Direct ACH Transfer from your Bank (I suppose this isn’t available for Indian residents)
  3. Link a New Bank Account (Not sure how this works)
  4. Transfer from Wise Balance (I suppose this isn’t available for Indian residents and not interested too)
  5. Online Bill Pay (Not sure how this works)
  6. Mail a Check (Not interested as it seems to be physical paper work and visiting branches)
1 Like
2

I don’t know about every indian bank, but eg. hdfc/icici allow international transfer from netbanking (online) under LRS scheme
you just need the bank details/swift code of the a/c to send (recipient)

3

Okay. Thanks for the info.

4

I use Bank Wire. I have not done it in the recent times but did that 3 - 4 times in the last two years through Online SBI from my saving bank account.

As far as I remember, when you select bank wire they give details of an account with bank account number and SWIFT code to which you transfer your funds to. They ask how much amount you will be sending. They also asked to mention the IBKR trading account number in the remark field of the form on Online SBI when we transfer the funds.

It was kinda straightforward. Follow the steps and instructions on clicking on the Bank Wire option on IBKR. Use these details on Foreign funds transfer function on Online SBI. SBI withholds 20% TCS of the amount above 10L (previously 7L). ~$10-20 was the transaction charge for it. I don’t remember the buying rate but I think it is a fixed TT buy rate they mention on their website.

5

Thanks for your info.

Assume I want to buy Irish domiciled US stocks / ETFs, then I have to convert to Euros, right? Any idea about this?

6

Try india inxga. I heard reports that the credentials for interactive brokers also work here. You may have to register separately again though.

7

I’m aware of that but I guess it’s better with IBKR with several markets open (although INXGA too would open slowly for more markets) and as of now IBKR seems cost-efficient as compared to INXGA I believe.

8

If it’s the same account, you can transfer funds via inxga and use it in IBKR… They seem to send a coupon for bank transfers. Transfer is done in USD.

9

Ok. Thank you for the inputs.

Are you aware of investing in Irish domiciled US stocks? It has to be done in Euros?

10

I’m sorry, I think INX GA is cost-effective as compared to IBKR.

11

Mind sharing the cost comparison?

12

Anyone tried https://www.fxretail.co.in ?

fxretail
fxretail720×1248 176 KB

13

Sorry, I don’t have an exact calculation. But, roughly speaking I guess for small investments like ₹1000 a month, IBKR isn’t cost effective. For at least ₹5lakhs or above, IBKR would be cost effective along with spending for CA fees.

14

Is that because of brokerage or bank fees?

15

Works good, if you’re not already registered. It’s important to register through the UPI app and not on their website… you’ll get like 20p Fx markup.

16

Please check this to fund your Interactive Broker account.

17

Thanks

18

I registered through their website and seldom use apps for transactions

19

Bank? Wire transfer fees? Forex markup?

20

Haven’t transacted yet. If I do, I’ll update.