The number of customer accounts rose by 23% and, with interest rates on the rise, sales topped the $4 billion mark for the first time. This performance was largely due to net interest margin of $2.8 billion, up $1.1 billion on the previous year.

It should be noted, however, that Interactive Brokers - true to its standard of service - was one of the very first financial institutions to pass on the rise in interest rates to its customers. Clearly, this elegance has not done Interactive Brokers any harm.

Revenues from trading commissions and other technological services remain stable compared to 2022. Anecdotally, trading volume in equities fell by 22%, while trading volume in options rose by 21%.

The broker founded by the charismatic Thomas Peterffy is continuing its ascent. Distinguished for the quality of its platform and services, Interactive Brokers has quadrupled its sales in ten years.

Over the same period, operating expenses have only doubled, resulting in significant operating leverage and a five-fold increase in operating profit, from $600 million in 2013 to over $3 billion in 2023.

We note that Interactive Brokers' valuation has only decreased as the company has grown and taken market share. Its shares were trading at over thirty times earnings ten years ago, compared with fifteen times today.

Does the market assume that growth potential is running out in an ultra-competitive brokerage market where commissions are reduced to almost zero? The argument holds water, but we heard the same thing ten years ago - when Interactive Brokers was already the pioneer of low-cost trading.