Interactive Brokers Group, Inc., earlier this week, banned clients from borrowing money to buy any of 160 Chinese securities because of accounting
Interactive Brokers Group, Inc., earlier this week, banned clients from borrowing money to buy any of 160 Chinese securities because of accounting scandals in China, the company’s CEO said, adding that he hoped the move would prompt the Chinese to toughen accounting standards. The small Connecticut-based broker-dealer caused a big stir this week when it announced it would no longer let customers borrow money to take leveraged positions in certain Chinese securities. Interactive Brokers began enforcing the ban on Monday and phased it in over the course of this week.
Interactive Brokers, he added, was in strong financial shape with about $4.5 billion in capital.
