
Interactive Brokers Group Inc
NASDAQ:IBKR

ROE
Return on Equity
ROE, or Return on Equity, is a key financial ratio that measures a company's profitability. Specifically, it measures how many dollars of profit are generated for each dollar of shareholder's equity. A higher ROE indicates better financial performance and effective use of capital, making it a valuable metric for investors assessing a company's earning potential.
ROE Across Competitors
Country | Company | Market Cap | ROE | ||
---|---|---|---|---|---|
US |
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Interactive Brokers Group Inc
NASDAQ:IBKR
|
88.6B USD |
19%
|
|
US |
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Morgan Stanley
NYSE:MS
|
205.7B USD |
13%
|
|
US |
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Goldman Sachs Group Inc
NYSE:GS
|
186.6B USD |
12%
|
|
EG |
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EFG Hermes Holdings SAE
LSE:EFGD
|
167.9B USD |
11%
|
|
US |
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Charles Schwab Corp
NYSE:SCHW
|
161.8B USD |
13%
|
|
US |
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Robinhood Markets Inc
NASDAQ:HOOD
|
58.5B USD |
21%
|
|
CN |
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CITIC Securities Co Ltd
SSE:600030
|
378.2B CNY |
8%
|
|
CN |
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Guotai Junan Securities Co Ltd
SSE:601211
|
302.9B CNY |
12%
|
|
US |
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Raymond James Financial Inc
NYSE:RJF
|
29.9B USD |
19%
|
|
US |
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LPL Financial Holdings Inc
NASDAQ:LPLA
|
28.9B USD |
40%
|
|
CN |
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China Securities Co Ltd
SSE:601066
|
178.2B CNY |
6%
|
Interactive Brokers Group Inc
Glance View
Interactive Brokers Group Inc., a powerhouse in the world of brokerage, began its journey in 1978, founded by Thomas Peterffy, a man whose vision reshaped trading with technology and automation. From its inception, the company has been at the forefront of electronic trading, a pioneering move that transformed the brokerage industry. Initially specializing in options market making, Interactive Brokers has consistently leveraged technology to offer sophisticated trading platforms that cater to a diverse clientele, ranging from individual retail investors to large institutions. These platforms, known for their speed and low cost, provide users access to over 150 market destinations worldwide, enabling them to trade a wide range of financial products, including stocks, options, futures, forex, bonds, and funds. By always being ahead of the curve technologically, the company has maintained an edge in a cutthroat industry, allowing it to provide cost-effective solutions that appeal to savvy traders. The company's revenue model is intricately linked to its broad spectrum of offerings. It earns money primarily through commissions and fees, benefiting from high transaction volumes across various asset classes. Additionally, Interactive Brokers generates substantial interest income by loaning securities to clients participating in margin trading, a service that allows investors to borrow funds and increase their market exposure. This dual income stream is complemented by fees earned on clients' idle cash balances, which the firm invests conservatively but profitably. With a robust infrastructure built on automation, the company benefits from operational efficiencies that not only enhance profitability but also provide competitive pricing to its customers. This blend of technology, vast market access, and a diverse financial product suite has cemented Interactive Brokers as a powerhouse in global brokerage.

See Also
ROE, or Return on Equity, is a key financial ratio that measures a company's profitability. Specifically, it measures how many dollars of profit are generated for each dollar of shareholder's equity. A higher ROE indicates better financial performance and effective use of capital, making it a valuable metric for investors assessing a company's earning potential.
Based on Interactive Brokers Group Inc's most recent financial statements, the company has ROE of 19.3%.