Good morning,
I would be interested to open a universal account with margin to make transactions on stocks ( long/ short)
The initial deposit would be in euros.
Could you explain me the different interest rates that are running with an IB account ?
+ The money in my account : does it have a daily interest ?
+ If I make a short operation , could you explain me with the exact technical terms how daily interest are paid ? (Operations involved , and parameters used like EONIA, and number value)
For this second question I suggest an example, that I would like to be explained by you, if you have enough time :
I open an account with 8 000 euros
I decide do short a stock of the Cac40 (so a common stock) for an amount of 5000 euros.
I hold the position for 3 nights
==> What is the amount of commission I will have to pay at the end for only the interest ( if there is some)
==> Whate are the additional comission I will have to pay ( i mean for a short sale using margin, is the commission to open / close the position the same as if i am long without margin , with the same amount of money involved ?)
Thank you for your explanations.