Interactive Brokers (IBKR) is a US-based brokerage firm that provides online brokerage services by providing access to overseas markets. Interactive Brokers is an international brokerage house based in the USA that allows you to invest in 24 currencies in more than 150 markets around the globe. Regarding product options, I think it is the largest one. IBKR’s client base is primarily institutional investors and sophisticated individual investors. In other words, that is the choice of professionals.
Besides, you can also open and use an account with IBKR by applying online. However, let me just warn you before we start. Suppose you do not have sufficient knowledge of English. In that case, it may not be a good idea to work with a foreign brokerage firm that does not support your native language. Because if there is any problem, you will have difficulty communicating. By the way, I actually used my Turkish post at pintidegiltutumluyum.com to prepare this post.
Interactive Brokers website
Open the company’s website. You see the phrase “Open Account” in the upper right corner. Click here to start the account opening process. If you want to support me, please use this link when opening an account.
A page will appear, as you can see below. Since we will open an individual account, we click on the “Start Application” button.
Creating username and password
As a first step, we are asked to create a username and password, as shown in the picture below.
We enter our e-mail address. Right after that, we define a username 8-9 characters long, consisting of at least 3 numbers and at least 3 letters, all in lowercase. Our username must not contain any special characters.
Similarly, as you see below, we set our password with a length of 8 to 40 characters, containing at least one letter and one number. Press the “Create Account” button.
After this process, Interactive Brokers sends us a confirmation e-mail.
Click on the “Verify Account” button that comes to your e-mail.
Account type selection
We log in from the screen that appears to continue the application process with the username and password we have determined.
After this stage, our actual application process begins. First, we determine the type of account we will open. Since we will open an individual investment account, we choose “Individual” and “Continue.”
Our application process consists of 4 stages. In the first stage, we will share information about ourselves. We enter our name, surname, address, and phone number, as you see below. Of course, let me also state that the information I entered to show you during the application process is completely fabricated.
About you section
After our contact information, we enter our personal data, as you see below.
We continue the application process by entering our TR Identity Number, as you see below.
Now it’s time for the “Employment” section. Here we select the “Employed” option. If your situation is different, you can, of course, choose the option that suits you. Then we enter the name and address of the place where we work, what the company does (like import-export) and what business we do in this company (like an accountant).
We come to the money issue. 🙂 Here, we are asked how we contribute to our net worth. Here, the salary option (Income from Employment) is automatically selected. If there are other suitable options, you choose them as well. For example, I also set the interest and dividend income options.
The final questions of this section are on security. You will need these questions and answers if you forget your password. You can see the questions I have chosen as an example. The answers are fake, of course.
Information required by Interactive Brokers under the legislation
Account info
The second stage of the application process is the regulatory information stage. First, you choose the type of your account. You have “cash“, “margin” and “portfolio margin” options. I prefer the cash option as I will not trade with leverage. You select the appropriate option for your annual income, net wealth, and investable net wealth questions. The next question asks about your investment purpose. As you can see in the picture below, I chose the capital preservation and growth and income generation options.
Investment experience and products
Next, you are asked about your experience as an investor. I guess what kind of actions you can do is determined according to the answers here. For example, I stated that I have 6-10 years of experience, 51-100 trades per year, and I have a good knowledge of investing in stocks. You can also tick the options that are appropriate for your situation. As you can see below, I have stated that I am less experienced in the options section.
After transferring your experience, you need to determine which geographical areas you will trade in the “Markets” section. The USA is already defined. You click on the “Add” option to select other country markets. An interface as below appears. I chose the European countries and the USA. You can tick the options that are suitable for you.
The “Currency Conversion” option comes automatically as “global.” Just below, there is the option “Additional products.” As you can see below, there are options such as bonds and futures contracts. You can mark them if you are interested.
Employment information
Another question is whether you, as an account holder, have a 10% or higher stake in any company traded in the capital markets. Unfortunately, I’m ticking the no option. 🙂 Suppose you want to lend your assets in return for income. In that case, you can click the “Stock Yield Enhancement Program” opportunity to participate.
Don’t worry, it’s almost time. You must answer the questions about which tax law you are subject to, as you see below. Write your Turkish ID in the “Foreign tax identification number” section. Because this number is also your tax identification number.
Finally, we come to the part of the contract. In this section, you say “Yes,” sign the relevant details as you can see below, and say continue.
Review and contracts
Now, you see the review page and, after that, the contracts. Check the accuracy of this information and sign it. Your application is almost finished. Only the required documents remain.
Documents required by Interactive Brokers
As you can see below, here are the last steps you need to take to open your account. Previously, after entering a valid phone number in the contact information section, I was asked to confirm that number. However, I postponed this step until this stage. As you can see below, at this stage, I entered the code I received on my phone and confirmed that the phone number belonged to me. In the “Fund Your Account” option, you are expected to deposit money in advance. If you deposit, your application will be reviewed first, and the result will be started. If the account is not opened, the money you deposit will be returned to you. So it’s not a mandatory step. The choice is yours.
Documents
Two documents are required to open an account. The first is a photo ID proving that you are the person you declare. As you can see below, one of the Passport, National ID, or Driver’s License options works for you. Also, if you have a Green Card, you can use it.
The second required document is about your residence. A bank statement sent to your address, a brokerage account statement, or one of the current (not exceeding 12 months) electricity/water/fixed phone/natural gas bills options works. Other documents are also accepted, but these are the kind of documents that are not very common in Turkey. I think scanning an invoice such as an electricity bill is the easiest. Of course, the choice is yours.
You need to scan these two documents and upload them to the site (Upload Documents), as you can see below. You can access the upload options by clicking the “Email, Fax, or Mail” button on the requested documents page. Instead of uploading it to the site, you can send it to newaccounts@interactivebrokers.com by email. Accepted file formats are pdf, jpeg, jpg, and png. In other words, you can take a picture of your documents with your phone and upload them easily. 🙂
In conclusion
If you want to work with Interactive Brokers, I tried to explain how to open an individual account with visuals. I hope this study will be helpful to my readers who want to invest in global markets. I will continue to write about other practical issues, such as transferring to or withdrawing money from your investment account.
See you in the following article, bye.