Interactive Brokers vs. Moomoo: Takeaways
• Moomoo offers brokerage accounts only.
• Interactive Brokers has robo and self-directed accounts.
• Advanced software will be found at both firms.
Moomoo vs. Interactive Brokers Introduction
If you’re looking for a high-powered brokerage firm with great software, look no further than Interactive Brokers and Moomoo.
Cost
| Broker Review | Broker Rating | Stock/ETF Fee | Mutual Fund Fee | Option | Promotion Offer |
|---|---|---|---|---|---|
| IB |  | $0 | $14.95 | $0.70 | Use this referral link to get up to $1,000 of IBKR stock for free! |
| Moomoo | | $0 | na | na | Get zero commissions at Moomoo. |
Services
| Broker Review | Cost | Investment Products | Trading Tools | Customer Service | Research | Overall Rating |
|---|---|---|---|---|---|---|
| IB | |  |  | | | |
| Moomoo | |  | | | | |
Promotions
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
Moomoo: Get zero commissions at Moomoo.
Trading and Investing
Moomoo customers can buy and sell options, stocks, closed-end funds, and ETFs. The broker’s stock category includes equities trading on the Chinese exchanges.
Interactive Brokers offers access to the Hong Kong stock market but not the mainland Chinese market, which Moomoo customers do get. But in its place, IBKR offers many other exchanges around the world. On top of all the international markets, IBKR clients also gain access to mutual funds, fixed-income securities, cryptocurrencies, precious metals, futures, forex, and warrants (in addition to everything else on Moomoo’s list, minus China A-shares).
And IBKR also operates Interactive Advisors, a robo firm that offers automated trading in a curtailed list of exchange-traded funds. Moomoo has no investment-advisory program.
IBKR, but not Moomoo, has a long list of account types. IBKR has lots of business and entity accounts along with tax-deferred accounts. Moomoo only has the taxable individual account.
Winner: Interactive Brokers
Bank Products
Investors at Interactive Brokers earn interest on their uninvested cash, which is FDIC insured through a sweep program. Right now, balances of U.S. dollars yield 4.83%. A previous debit Mastercard has been retired and is no longer available.
Moomoo does not have a debit card, either, although it does have an FDIC-sweep program for idle cash. Currently, the interest rate is 5.1%.
Winner: Moomoo
Trading on Margin
In addition to quasi-bank accounts, both firms in this survey also provide the ability to borrow money. For this privilege, Interactive Brokers charges a flat 7.83% (IBKR Pro clients pay 6.83% ). Moomoo charges 6.8% for positions of Hong Kong and U.S. equities. Mainland China shares are 8.8%. Trading platforms at both firms display margin details for entered ticker symbols.
Winner: Pretty close
Websites
Moomoo’s website has no trading capability, but that doesn’t mean it has no use. On the contrary, we found lots of helpful resources. There is a stock screener that can look for both American and Chinese equities. There is also a digital bulletin board called Moo where traders can chat about market news. Charts and simulated trading make appearances as well.
The IBKR website doesn’t have the community forum that Moomoo clients get. But charting is on a higher level, and live trading is possible. The broker’s order ticket includes several trade types and multiple duration choices.
Winner: Interactive Brokers
Mobile Apps
When we get to mobile trading, Moomoo delivers live trading. The broker’s mobile app has integrated option spreads like collar and butterfly. The equity order ticket has several advanced trade types, including market-if-touched and trailing stop. Moo makes another appearance, and charts are on a good level with all sorts of bells and whistles, like drawing tools.
The IBKR app has many useful features, too. These include an options wizard that brings the user step by step through a series of questions to build a custom options trade. Alerts and a watchlist are standard fare, and iBot, an AI, helps to create an advanced feel. Charts and the order ticket are on a high level. We did find mobile check deposit on the app. Moomoo does not have it.
Winner: Interactive Brokers
Desktop Software
Desktop programs are available at both firms, and the platforms bring trading to its highest level. At Moomoo, the desktop system has one order ticket with twelve trade types. These include trailing stop limit and market sell. There are only two duration choices, though (GTC and day).
The IBKR desktop platform has one order ticket, too, but unlike Moomoo’s order form, this one has several time-in-force choices. Examples include IOC (immediate or cancel) and overnight trading. There are lots of trade types, including pegged-to-best, snap to primary, and market on close. Advanced option tools help to round out the picture.
Winner: Interactive Brokers
Day Trading
Direct-access Routing: IBKR’s desktop program has routing choices on its order ticket. Moomoo’s software has no such feature.
Extended Hours: Moomoo has pre-market and after-hours trading. Interactive Brokers offers 24-hour trading in cryptocurrencies, futures, forex and thousands of securities.
PDT Counter: Trading platforms at both firms keep track of an account’s day trades.
Shorting: Bearish trades can be made at either firm, and both brokers show margin details on short trades, including number of shares available for shorting.
Maker-Taker Fees: Only IBKR offers fees and rebates for removing and adding liquidity.
Level II Quotes: Available at both broker-dealers.
Winner: Interactive Brokers
Extra Services
Automatic Mutual Fund Investing: Not available at either firm.
IRA Lineups: Interactive Brokers has Roth, Traditional, Rollover, Inherited, SIMPLE, and SEP IRAs. Moomoo does not.
Initial Public Offerings: Moomoo has IPO trading.
Fully-Paid Securities Lending: Interactive Brokers, but not Moomoo, has a program that allows its customers to earn money by loaning out their shares.
Fractional Shares: Only at Interactive Brokers.
DRIP Service: Interactive Brokers has it for stocks but not for ETFs.
Winner: Interactive Brokers
Promotions
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
Moomoo: Get zero commissions at Moomoo.
Recommendations
Mutual Funds: Interactive Brokers is it.
Beginning Investors: We suggest a robo account with Interactive Advisors. Paper trading at either firm is also a good idea.
Small Accounts: Interactive Advisors requires $100 (or more for some portfolios), while Moomoo and Interactive Brokers have no account minimums. The latter brokerage firm is a little better for small investors due to its fractional-share service, which requires just $1 per trade.
Retirement Planning & Long-Term Investing: A trust, custodial account, or IRA (or all three) with Interactive Brokers or Interactive Advisors (Advisors doesn’t have custodial accounts) would be a decent way to build a long-term plan.
Frequent Stock Trading: Moomoo or Interactive Brokers would be good.
Moomooo vs IBKR Verdict
Although Moomoo has the cuter name, IBKR is the clear winner here for advanced traders and beginners alike.
Updated on 2/27/2024.
About the Author
Chad Morris is a financial writer with more than 20 years experience as both an English teacher and an avid trader. When he isn’t writing expert content for Brokerage-Review.com, Chad can usually be found managing his portfolio or building a new home computer.
