real time forex quotes
items of interest

"I totally agree (with Barron's 2006 Online Broker Survey). I have been with MB for almost 10 months now and have completed 1,166 trades with only one trade where I had a problem, but that was..."

Frank - Eufaula, AL**

**The testimonial is not indicative of future success

Interest Rates

The information below does not apply to Forex account

All rates listed on this page are subject to change at any time, without prior notice.
Margin Interest: 7.45% APR
Margin account holders have the ability to borrow money at the margin interest rate above. Borrowing money on margin lets you leverage securities you already own to purchase additional securities. Accounts are not charged for the use of margin when borrowing money throughout the day. The margin interest rate is only charged when you borrow money to hold securities overnight. Therefore, if the market value of securities in your account exceeds your account value overnight, you are using margin.
Credit Interest: 0% APR
Clients are paid interest each month on any free cash that remains in their margin or cash account.
Money Market Rates: see below
Free cash is swept into a separate Scudder Funds money market account at the end of each day to earn a higher interest rate. If a specific fund is not selected when opening a new account, the highest average yielding fund (CAT MM Portfolio) is selected automatically. To switch between the available money market funds below, simply email support@mbtrading.com.

  Scudder Fund Name Code 1 Day Yield
  CAT Tax Exempt Portfolio ST 0.01%
  Tax Exempt California¹ SA 0.01%
  Tax Exempt New York¹ SY 0.01%
  CAT MM Portfolio SC 0.01%
  CAT Gov't & Agency SG 0.01%
  ICT Treasury Portfolio SR 0.01%
  Connecticut¹ SN 0.00%
  Massachusetts¹ SS 0.01%
  Ohio¹ SO 0.00%
  Virginia¹ SV 0.00%
  Federated Penn Muni Fund 150 S1 0.00%
  Federated Fla Muni Fund 815 S2 0.01%
  Federated NJ Muni Fund 824 S3 0.00%
  Reich & Tang RT 0.00%
Updated to 01-28-2010

Margin and Credit Interest Calculations:
Interest charges and credits are calculated on the net daily debit or credit balance in your account. Interest incurred and interest earned will be posted monthly to your account and is calculated on a 360-day year.
The applicable interest period is from the first day of each month to the last. Any free credit balances will be offset against any debit in the margin account, and interest will be charged on the net debit balance, if any.

  Example
Account value: $10,000
Margin Interest rate: 7.95% APR
Transaction: $20,000 of XYZ purchased on 1/01 and sold on 1/15
  1. Take the amount of money borrowed and multiply it by the interest rate:
    10,000 * .0795 = 795
  2. Take the product and divide it by the number of days in the year:
    795 / 360 = 2.21
  3. Multiply this result by the number of days XYZ was held on margin:
    2.21 * 15 = 33.15
It would cost $33.15 to borrow $10,000 for 15 days.

1. These funds are only available to residents of the state listed in the fund name.

Login Get Started MB Trading Follow Us on Twitter