Every month I put real money into the same ETF on Interactive Brokers. It is the boring, automated core of my long-term portfolio, the money I am not trading, just slowly compounding over years. This post is exactly how I do it, on the web and on the mobile app, plus the two account settings that trip almost everyone up and the small currency rule that quietly saves you money over time.
If you want the full step-by-step with every screenshot, I wrote a complete guide on my broker comparison site, MatchMyBroker, linked at the end. This is the shorter, personal version.
Why IBKR is where I hold my long-term ETFs
My ETFs are my long-term convictions. I am not in and out of them, I am dollar-cost averaging into the same positions every month, year after year. That means the broker holding them has to be one I genuinely believe will still be around in ten, twenty, thirty years.
I do use other brokers for other things, especially where zero-commission trading makes sense for more active buying and selling. But here is the catch most people miss: zero commission does not mean cheapest. The real cost of buying an asset is the commission plus the spread, and some "free" brokers make their money back through wider spreads. For ETFs I plan to hold for years, IBKR's tiny commission and tight spreads usually win on the number that actually matters. If I had to leave all my long-term money with one broker, this would be it.
Watch me do it
I recorded the whole process end to end, with my own money, once on the web Client Portal and once on the Global Trader mobile app. If you would rather watch than read, here it is.
The two settings that trip everyone up
If your very first ETF order ever gets rejected on Interactive Brokers, it is almost always one of these two settings, and both take about a minute to fix. You will find them under Settings, then User Settings, then Trading Permissions.
If you ever see "no trading permissions" or "fractional not enabled" when you place an order, this is the cause every single time. Sixty seconds in that menu and you are done.
The currency rule that quietly saves you money
This is the sneakiest cost in international investing, and most people never think about it until they realise they have been paying a hidden fee on every trade. If you buy a US-dollar ETF but fund your account in pounds or euros, you have to convert currency, and there are two ways to do it. IBKR can auto-convert at roughly 0.03% with no minimum, or you can convert manually first on its currency market for basically nothing in percentage terms but with a $2 flat minimum. Which one is cheaper flips at a single number: $6,667.
The $6,667 figure is just arithmetic: a $2 flat fee divided by the 0.03% auto rate. Below it, the percentage is cheaper. Above it, the flat fee wins.
To make it concrete, here is the same rule playing out at two amounts:
Either way you are paying a fraction of what most European brokers charge in FX fees, often 0.5% to 1.5%, which compounds into real money over years of monthly investing. I have a longer breakdown in my post on IBKR auto vs manual currency conversion. For what it is worth, I fund my own account in dollars, so this one does not apply to my buys, but it matters for most people reading this.
Web or mobile: which one I actually use
Interactive Brokers gives you several ways into the same account, all sharing one login. For ETF investing you really only need two of them.
The full-feature browser version. Where you set up your account, flip those permissions, pull statements, and control currency conversion. Not the prettiest interface, but the most complete.
- Everything you need to get set up
- Statements and tax docs live here
- Full control over FX conversion
The simplified mobile app. Stripped-down, fast, and it syncs instantly with everything else. This is what I personally use for my monthly ETF buy, the kind of trade I do in thirty seconds on my phone.
- Much less intimidating UI
- Fractional buys, ideal for top-ups
- Same account, same holdings, instant sync
If you prefer IBKR Desktop or one of the other apps, the steps are the same, the login works everywhere. But for most people, Client Portal to get set up and Global Trader for the monthly routine is all you need.
Want the full step-by-step?
That is the short version of how I do it. If you want the complete walkthrough, with screenshots of every screen, the order ticket, the fee breakdown, and a few traps to avoid (including how to not accidentally take out a margin loan), I wrote a full guide on MatchMyBroker: How to Buy an ETF on Interactive Brokers.
Open the account I use for my long-term ETFs
Free to open, no minimum deposit, web or mobile. It is the same Interactive Brokers account I put real money into every month.
Open Interactive BrokersFrequently Asked Questions
IBKR uses a permission-based system. US stocks and ETFs are enabled by default, but to buy ETFs listed on other exchanges, like the London Stock Exchange or German Xetra, you have to add those regions under Settings, then User Settings, then Trading Permissions. If an order is rejected, this is almost always why.
Fractional trading is not on by default. Go to Settings, then User Settings, then Trading Permissions, and opt in to fractional trading. Once enabled, you can buy any dollar amount on more than 22,000 eligible stocks and ETFs, so you do not need enough cash for a full share. Approval is usually instant.
Below roughly $6,667 per conversion, let IBKR auto-convert. It charges about 0.03% with no minimum, which is cheaper than the $2 flat fee on a manual conversion. Above $6,667, do a manual conversion first, since the flat $2 then beats a growing percentage. Either way, IBKR's FX costs are a fraction of what most European brokers charge.
For setting up your account and making your first trade, use the Client Portal in your browser, it has every feature. For monthly top-ups, the Global Trader mobile app is faster and simpler. Both share the same login and holdings, so you can mix and match. IBKR Desktop and the other apps work too, but most ETF investors only need those two.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Fees, features, and availability can change over time and vary by region. Always check the latest details on the Interactive Brokers website before making a decision. Capital is at risk when investing.
