GREENWICH, Connecticut – (COMMERCIAL THREAD) –Group of interactive brokers (Nasdaq: IBKR), a global brokerage firm, today unveiled IMPACT, a patent-pending mobile trading app designed to help investors easily align their portfolios with their values ââand shape the future they wish to see. Building on our environmental, social and governance (ESG) trading initiatives, IMPACT by Interactive Brokers offers a simple and intuitive app design that streamlines the sustainable investing process for any investor and gives US clients access to zero commission. on US stock transactions. The launch comes at a time when ESG considerations have become increasingly important to investors globally. The Global Impact Investor Network estimates the total size of the market at $ 715 billion managed by 1,720 organizations.
âIMPACT takes the alignment with utility and values ââoffered by our Impact Dashboard and places it in the palm of the investor’s hand,â said Will Peterffy, ESG Director at Interactive Brokers. âWe are at the head of a new generation of investors who make value-based investments by enabling them to develop their own conscious investment plan based on their personal values, offering accountability and transparency. ”
IMPACT allows investors to select their personal investment criteria among 13 values ââand impact principles: Clean Air, Pure Water, Ocean Life, Land Health, Consumer Safety, Ethical Leadership, Gender Equality, Racial Equality, LGBTQ Inclusion, Company Transparency , Sustainable Product Lifecycle, Conscious business models, fair work and thriving communities. Investors can also exclude investments based on 10 categories: animal testing, business ethics controversies, corporate policy spending and lobbying, energy consumption, fossil fuels, greenhouse gas emissions, hazardous waste , high consumption of water, tobacco, alcohol and gambling, and weapons and firearms manufacturers.
Based on these selections, the app provides impact scores on existing portfolios and holdings and identifies companies that match the criteria selected by investors. (Interactive Brokers uses ESG data provided by third-party vendors and combines it with a client’s value preferences to generate impact scores.) This, along with the ability to review financial metrics for stocks and examining the impact scores of companies, offers investors the opportunity to improve their scores through the selection of alternative companies in a simple and efficient way.
IMPACT also includes the âSwapâ feature, a unique offering that gives users the ability to swap positions for the same dollar amount from one security to another. With the touch of a button, investors can buy and sell securities simultaneously based on one company’s comparative impact scores against another.
âIMPACT’s ‘Swap’ function goes even further than our competitors to allow clients to easily realign their portfolio positions with what is most important to them, which is what we are really proud of,â adds Edward Soffer, Manager ESG at Interactive. Brokers. “The app is designed for today’s investors who understand their investments are making an impact and catalyzing change.”
Additional tools and features available on the IMPACT app include:
- Charitable donation: IBKR GIVE allows users to align their IMPACT values ââwith nonprofits and donate cash directly from the app. Using a comprehensive directory of U.S. charities and nonprofits from GuideStar by Candid, IMPACT gives users the ability to easily donate to a charity that matches their values ââor search for a nonprofit organization. lucrative of their choice. This feature is only available for US customers.
- Guided investment experience: IMPACT gives access to Socially responsible investment portfolios via Interactive Advisors, which was named âBest for Socially Responsible Investingâ by Investopedia in 2021. IMPACT users who are interested in these out-of-the-box portfolios will be directed to Interactive Advisors to open an account.
- Access to cryptocurrency: Investors will have access to cryptocurrency trading, allowing clients to trade and hold Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) through Paxos Trust Company. Through Paxos, IBKR clients will be able to trade cryptocurrencies alongside other asset classes available on the Interactive Brokers platform, creating a unified customer experience. While other cryptocurrency exchanges and brokers charge a fee of 2.00% of trade value or more and add spreads or markups to the price, cryptocurrency trading with Paxos on the Interactive platform Brokers have low commissions of only 0.12% to 0.18% of trade value, depending on monthly volume, with a minimum of $ 1.75 per order. In addition, there are no spreads, markups or additional custody fees. This feature is only available for US customers.
IMPACT PLANTING A FOREST INITIATIVE
Along with the launch, Interactive Brokers partnered with One Tree Planted on the IMPACT Plant a forest initiative. Available to the first 30,000 customers who sign up with IMPACT, the Plant a Forest program offers investors the opportunity to have a significant environmental impact. For every $ 1,000 that an investor deposits into their account, IMPACT will plant 25 trees. For the equivalent of 1 tree for $ 40 deposited, IBKR customers who use the IMPACT app can easily help reforestation efforts and direct IMPACT to plant trees in environmentally critical areas such as California, Mexico, Ivory Coast or India. One Tree Planted is a non-profit organization that plants trees around the world to fight climate change and deforestation and partners with carefully selected reforestation organizations in North America, Latin America, Africa and in Asia.
For more information, including disclosures, and to download the IMPACT app, visit IMPACT by IBKR.
About Interactive Brokers Group, Inc.
Interactive Brokers Group subsidiaries provide automated transaction execution and custody of securities, commodities and currencies around the clock in more than 135 markets in multiple countries and currencies, from a single investment account integrated IBKR to customers around the world. We serve individual investors, hedge funds, proprietary trading groups, financial advisors and introductory brokers. Our four decades of focus on technology and automation have enabled us to equip our clients with a particularly sophisticated platform to manage their investment portfolios. We strive to provide our clients with competitive execution prices and trading, risk and portfolio management tools, research facilities and investment products, all at low or no cost, positioning them to obtain higher returns on investments. Barron’s ranked Interactive Brokers # 1 with 5 out of 5 stars in its Best Online Broker Review of February 24, 2020.