Is IBKR (Interactive Brokers Group, Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, IBKR is Not Halal (Haram) and is not considered permissible for Muslim investors. It failed 2 of 4 compliance screens. Interactive Brokers Group, Inc.'s core business activity was found to be non-compliant. Its interest income of 40.78% exceeds the ≤5% limit.

Interactive Brokers Group, Inc. operates as a major automated electronic broker, executing and clearing trades across stocks, options, futures, forex, and bonds globally. The firm also provides custody, margin lending, and prime brokerage services for hedge funds, mutual funds, and individual investors. For Muslim investors utilizing HalalStocks.co.uk, IBKR is currently classified as Not Halal (Haram). The stock fails both the business activity screen due to its conventional financial services and the financial screening due to excessive interest income, making it strictly unsuitable for a Shariah-compliant portfolio. From an Islamic finance perspective, the primary concern is IBKR's revenue structure, where interest income constitutes 40.78% of total revenue, vastly exceeding the 5% permissible limit. However, the company does maintain a strong balance sheet with a 0.0% debt-to-market cap ratio and an acceptable cash-to-market cap ratio of 3.7%. Because its core business model relies heavily on margin lending, interest generated on customer cash balances, and facilitating derivative trades, it is highly unlikely IBKR will become Shariah-compliant. Muslim investors should look toward permissible alternatives within the broader technology or financial services sectors. Interactive Brokers Group, Inc. operates in the Financial Services sector under the Investment - Banking & Investment Services industry and is headquartered in Greenwich, CT, US. The company is led by CEO Milan Galik and employs approximately 3,027 people.

IBKR was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. IBKR passed 2 of these 4 screens.

IBKR was last screened on 2026-04-29. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.