If you trade small caps, short stocks regularly, or need a serious locate desk, the CenterPoint Securities vs Interactive Brokers question comes up constantly on trader forums. Both are real brokers used by active and professional traders, but they are built for different jobs. Here is how they actually compare.
The short answer
Pick CenterPoint Securities if you are an active or professional day trader who shorts frequently, needs deep hard-to-borrow (HTB) inventory, and wants direct-access platforms like DAS Trader or Sterling.
Pick Interactive Brokers if you want the lowest all-in costs, global market access, a wider range of asset classes (options, futures, forex, bonds), and you do not need an aggressive short locate desk.
Traders who need both often run accounts at each and use a journal like RizeTrade to see combined P&L across the two, since broker statements alone will not tell you which platform is actually making you money.
Who each broker is built for
CenterPoint Securities is a broker-dealer built specifically for active traders, especially short sellers. Its reputation is built on:
A large, frequently updated hard-to-borrow list for short selling small caps
Direct-access platforms (DAS Trader Pro, Sterling Trader Pro, Speedtrader) with fast order routing
Locate desk support for traders who need shares that other brokers cannot source
Volume-based commission tiers that reward high-frequency traders
Interactive Brokers (IBKR) is a global, publicly traded brokerage built for breadth and low cost. It stands out for:
Access to stocks, options, futures, forex, bonds, and international markets from one account
Some of the lowest commissions and margin rates in the industry
Trader Workstation (TWS), a powerful but famously steep-learning-curve platform
Strong regulatory standing and a much larger balance sheet than most direct-access brokers
Head-to-head comparison
Category | CenterPoint Securities | Interactive Brokers |
|---|---|---|
Best for | Active short sellers, small-cap day traders | Cost-conscious traders, multi-asset investors |
Short locate inventory | Deep, curated HTB list | Available, but less specialized for aggressive shorting |
Platforms | DAS Trader Pro, Sterling, Speedtrader | Trader Workstation (TWS), IBKR mobile, web |
Commissions | Volume-tiered, competitive for active traders | Among the lowest in the industry |
Asset classes | Primarily equities | Stocks, options, futures, forex, bonds, international |
Account minimum | Higher, geared to funded active traders | Low minimum, accessible to most account sizes |
Learning curve | Moderate, direct-access style | Steep, TWS is powerful but dense |
The trade-off that actually matters: locates vs breadth
The real decision is not price. It is what you trade and how you trade it.
If your edge depends on shorting momentum small caps, a broker's locate desk is not a nice-to-have, it is the constraint on whether you can even place the trade. CenterPoint built its business around solving that problem. Traders on forums like Elite Trader and Bear Bull Traders consistently flag CenterPoint as stronger for hard-to-borrow access, while flagging Interactive Brokers as stronger on cost and customer reputation.
If you trade across asset classes, hold international positions, or just want the cheapest possible execution without needing exotic shorts, Interactive Brokers wins on pure economics and platform depth.
Is CenterPoint Securities legit?
Yes. CenterPoint operates under Precision Securities, a FINRA and SIPC member, and has served active traders since 2000. It is a legitimate, regulated broker-dealer, not a prop shop or unregulated platform. The tradeoff versus IBKR is scale: IBKR is publicly traded with a much larger balance sheet, which matters to some traders during volatile markets.
What is the downside of Interactive Brokers?
The most common complaints are the learning curve on Trader Workstation, a support experience that can feel less white-glove than a boutique broker, and a locate/short-selling experience that active short sellers often find thinner than what CenterPoint offers.
Fees, minimums, and account setup
Both brokers publish tiered commission structures rather than flat-rate pricing, so the "cheaper" broker depends on your volume and order type. Before opening either account:
Confirm the current minimum deposit on each broker's site, since these change
Ask for the current HTB fee schedule if shorting is your strategy, as locate fees can spike sharply on high-demand names
Compare margin rates directly, since IBKR is typically the low-cost leader here