Investment trusts are apparently "Complex or Leveraged Exchange Traded Products"

[Foxx]

Investment trusts (closed ended UK funds) are apparently "Complex or Leveraged Exchange Traded Product" - at least according to Interactive Brokers.  A couple of days ago they blocked me from trading most of my trusts.  This came totally out of the blue.  (Yes, technically investment trusts are leveraged, but the level of borrowing is minuscule, perhaps 5% or so.  They're much more akin to regular mutual funds than something like leveraged 3x ETFs.)

 

I discovered I could apply for permission to trade Complex or Leveraged Exchange Traded Products, but was rejected as unqualified, despite my having been investing in them for 40 years.

 

So, a couple of questions:

 

(1) Has anyone else been caught up like this with Interactive Brokers and found a way to get trading permission restored?

 

(2) Is this just an IBKR thing? Or are other American brokers similarly blocking trading in investment trusts?
 

 

Thanks

[topt]

I am surprised as I have them with both II and HL in the UK without any issues. I just bought some the other day.

 

However saying that I had to pass some online test in various other types of investments some years ago but I have not had that pop up since. Also the questions were pretty simple and not an issue to check answers online and then answer the quiz.........Did they not offer you that option?

 

Originally I think I did it for Bond buying but cannot remember.