Interactive Brokers Expands Forecast Contracts to Europe

Interactive Brokers Group Inc. (NASDAQ:IBKR), a leader in electronic trading solutions, has made headlines with its latest move: the expansion of Interactive Brokers Forecast Contracts into Europe. This development brings a new era of event-based trading contracts in Europe, giving investors a dynamic tool to capture opportunities born from economic, financial, and even climate-related events nearly 24 hours a day, six days a week.

How Forecast Contracts Work and Why They Matter

Forecast Contracts present a straightforward, yet powerful, way for investors to act on their views about specific events—whether through speculation or managing risk. Each contract asks a simple yes-or-no question tied to discrete financial outcomes. For example, traders can take a position on the result of a major US Federal Reserve event—such as whether the Fed will raise its Funds Target Rate at the next FOMC meeting. If you believe a rate hike is coming, you might purchase a “yes” contract; if proven right, your contract settles at $1.00; otherwise, it expires at zero. Prices for these contracts range from $0.02 to $0.99, directly representing the markets collective probability assessment for each event.

With the launch of event-based trading contracts in Europe, Interactive Brokers is catering to both risk-averse and speculative investors. These tools offer a precise and transparent alternative to traditional derivatives, helping traders quickly hedge market-moving events or capture event-driven opportunities.

To make trading accessible and intuitive, Interactive Brokers offers the IBKR ForecastTrader platform—a dedicated, web-based portal designed for seamless navigation and real-time market access. Clients can view all available Forecast Contracts, check market probabilities, and manage their yes/no positions for upcoming events ranging from economic releases to climate benchmarks and central bank decisions, like US Federal Reserve event contracts trading. The IBKR ForecastTrader platform is accessible alongside other Interactive Brokers platforms, ensuring flexibility no matter your trading style or device preference.

Getting started is simple. To trade Forecast Contracts on Interactive Brokers, eligible clients log into the IBKR ForecastTrader platform with their account credentials, select the market event of interest, and choose either a “Yes” or “No” contract. Contracts can be tailored to specific thresholds or timeframes, helping traders manage risk as they speculate on macroeconomic headlines, climate indicators, and market-moving announcements.

Commenting on the launch, IBKR CEO Milan Galik noted, “By extending access to Forecast Contracts in Europe, were giving investors more ways to act on their views and manage risk through our comprehensive, global platform.” This expansion reflects an increasing demand for event-based trading contracts in Europe as investors seek sophisticated, transparent, and accessible ways to manage event-driven risks and express market opinions.

Forecast Contracts are available to eligible clients of Interactive Brokers LLC, Interactive Brokers Ireland Limited, Interactive Brokers Canada Inc., and Interactive Brokers Hong Kong Limited. These contracts, listed by ForecastEx LLC—a CFTC-regulated Designated Contract Market—combine transparent pricing, minimal fees, and daily incentive coupon accrual on open positions, enhancing their appeal versus traditional derivative products.

About Interactive Brokers

Interactive Brokers Group Inc. (NASDAQ: IBKR) is a global leader in electronic trading, offering one of the most comprehensive platforms for trading stocks, options, futures, forex, bonds, and funds worldwide. Known for its advanced technology and competitive pricing, Interactive Brokers serves a diverse clientele that includes institutional investors, professional traders, and individual investors in over 135 markets globally.

Discover seamless trading insights anytime, anywhere—scan the QR code below to download the WikiFX app and start exploring market opportunities today!