I know I can change the base currency on Interactive Brokers. Anyone has some experience with what happens if I do? Some of my concerns: What are the consequences? What’s the exchange rate? Is it changed instantly? Will I see all my values in the new currency or does it affect only the cash? What happens if I want to switch it back? How often can I switch it?
thank you for your message. Yes, you can change your currency if you log into the platform, go to your account settings, and select “base currency”, as per the screenshot below:
As Interactive Brokers accounts are multi-currency accounts, there are no big consequences. The reporting of your account will be in that currency, i.e. the value of your total portfolio and you see values in your currency when you download account statements.
The fee for changing currency at Interactive Brokers is competitive. To give you a comparison, the total cost for a $1,000 change to EUR is roughly 20 basis points (0.20%), while the same would cost between 0.40%-0.90% at neobanks, such as Wise or Revolut.
What does the fee look like? The exchange rate is close to the interbank rate (Interactive Brokers doesn’t add a markup to it), but there is a commission charged: 0.20% with a $2 minimum.
The change is instant and you can switch it back anytime you would like to. In general, there is no limitation on how often you can change currency. However, if you’re under IBCE, then you can change currency once per 3 months.
Let me know if you have any questions.