Institutions prohibited from depositing margin collateral directly with a broker/dealer can open an IBKR Custody Account to trade stocks and options. Please note that futures are prohibited per regulations and would require a separately funded account.
The Custody Account constitutes a tri-party agreement between IBKR, the custodial bank holding the customer's assets, and the IBKR client. Assets (e.g., long stock, retail and government money-market funds, and Treasuries only) that are held at a pledged account at the Custodial bank are reflected in the customers IBKR trading account and used to margin trades.
IBKR Custody Accounts provide the following benefits:
To find out more about our Custody Account service, please contact your IBKR Sales Representative.