Offshore company for stock trading with Interactive Brokers

[Piano]

Interactive Brokers will not let you transfer any founds to any account, owned by other than the company. Currently they are not accepting BVI companies, I had to close my BVI company account with them. They refused to move positions to my personal account, even being the sole director and only beneficiary.

which offshore jurisdictions does Interactive accept ?

 

[glengoolie]

IB supports all banks AND customers who are from countries on this list, according to their website: Countries - Financial Action Task Force (FATF) although different IB branches might support different countries. find the branch you want, click on open account, then "what you need" and you have different information for different countries/jurisdictions.

 

[BlueMist]

The nominee agreement holds different titles: declaration of trust, trust deed etc. Maybe that’s why you are confusing it with trust structure.

Last year I opened account at Bank of Cyprus for Malta company with Cyprus holding nominee. So it is definitely possible. I also know that Sepaga (Cyprus EMI) open accounts with nominee structure. Yes Bank of Cyprus is not cheap. They indeed charge EUR 50 + EUR 20 per month, but SEPA transfers are reasonably priced. Cyprus banking is not cheap for business accounts but it nowhere is apart from Wise or Revolut.

 

[glengoolie]

SEPA transfers are reasonably priced

shouldn't SEPA be free through entire EU??

 

[CyprusLaw]

The nominee agreement holds different titles: declaration of trust, trust deed etc. Maybe that’s why you are confusing it with trust structure.

Last year I opened account at Bank of Cyprus for Malta company with Cyprus holding nominee. So it is definitely possible. I also know that Sepaga (Cyprus EMI) open accounts with nominee structure. Yes Bank of Cyprus is not cheap. They indeed charge EUR 50 + EUR 20 per month, but SEPA transfers are reasonably priced. Cyprus banking is not cheap for business accounts but it nowhere is apart from Wise or Revolut.

As you have mentioned it is possible to open a bank account with a nominee structure, most, if not all, of the holding companies in Cyprus work with nominees and unless their activities are deemed high risk banks open accounts for them.

 

[Dom pedro]

IB supports all banks AND customers who are from countries on this list, according to their website: Countries - Financial Action Task Force (FATF) although different IB branches might support different countries. find the branch you want, click on open account, then "what you need" and you have different information for different countries/jurisdictions.

This is confusing. There was a reply just above that stated that they are not accepting BVI companies. I wonder if someone found a solution for opening an offshore for trading with them.

 

[TravelAfficionado]

IB publishes their supported countries at the following link:

Available Countries and Territories | Interactive Brokers LLC

Clients can open Interactive Brokers accounts in the following countries.

www.interactivebrokers.com

So no reason to consult the FATF list, which is different.

 

[Fred]

IB publishes their supported countries at the following link:

Available Countries and Territories | Interactive Brokers LLC

Clients can open Interactive Brokers accounts in the following countries.

www.interactivebrokers.com

So no reason to consult the FATF list, which is different.

From there list they basically consider close to all jurisdictions however the difference will be made during compliance.

For example forget about getting your BVI company a IBKR account if the company doesn't has its own office space apart from the registered office with the agent.

For the UAE they look away of this rule but keep a closer look on if you have a real bank account within the country of incorporation.

So forget about there list because you will end up getting no IBKR account for your American Samoa or Dominica Residence as they will put you in weird loopholes even they mention it as supported countries.

 

[Dom pedro]

I have the same problem as the OP. An offshore would help me a lot in tax optimization for stock investing. I would also love to not do accounting. But it seems like it's becoming very hard to do it in traditional tax havens.
Does anyone knows if I would face problems opening a IBKR account for a Delaware LLC? It's not the ideal for me, but it's better than a personal account.

 

[PaulKruger]

Does anyone knows if I would face problems opening a IBKR account for a Delaware LLC? It's not the ideal for me, but it's better than a personal account.

it's a brokerage account not a bank account?

 

[Dom pedro]

it's a brokerage account not a bank account?

Yes. Getting a bank account would be another problem. But if IBKR does not have a problem with foreign owned LLCs, that's already a good progress, considering that they apparently aren't being friendly with BVI and other jurisdictions.

 

[LYY00852]

Interactive Brokers will not let you transfer any founds to any account, owned by other than the company. Currently they are not accepting BVI companies, I had to close my BVI company account with them. They refused to move positions to my personal account, even being the sole director and only beneficiary.

Thanks for sharing @john254 , would like to ask how is the progress? So it means that they force you liquidate all position and transfer the cash back into your company account, so that they can close your IBKR account? Do you know whether that IBKR is doing this closure to all BVI clients or just selected clients?

I am considering to set up an offshore company to hold stock too, do you know any another offshore jurisdiction that can open IBKR account? Though BVI is supposed to be reputable jurisdiction, things are getting strange and it seems like US / Europe are trying to crack down on any offshore jurisdiction.

 

[PhantomOf ThePits]

Thanks for sharing @john254 , would like to ask how is the progress? So it means that they force you liquidate all position and transfer the cash back into your company account, so that they can close your IBKR account? Do you know whether that IBKR is doing this closure to all BVI clients or just selected clients?

I am considering to set up an offshore company to hold stock too, do you know any another offshore jurisdiction that can open IBKR account? Though BVI is supposed to be reputable jurisdiction, things are getting strange and it seems like US / Europe are trying to crack down on any offshore jurisdiction.

I know people who trade with BVI Co via IBKR US (maybe IBKR EU will create issues).

However, as @Fred wrote, the cleaner setup is Dubai Co.

Depending on where you live, going via (single member) Delaware LLC (or even via LP) may be an option to look into

 

[Onassis]

Has anyone tried to open an IBKR account for a Cypriot Ltd recently? Do they require the company to have a bank account in Cyprus?