Many people working in the finance/business world are fascinated by Forex trading but are unable to quite get to grips with the dynamics and become confident, successful traders. However this does not mean that those same players cannot make money from Forex. They can do it by acting as an introducing broker, and especially as a Forex White Label IB.
An introducing broker does not actually trade Forex; instead they guide and manage their clients while delegating the trades to another party, usually a Future Commissions Merchant. Basically anyone who can convince others to trade Forex can be an introducing broker and they meet with varying degrees of success. A Forex White Label means that a more established trading company trusts in an introducing broker and is willing to extend their name and various other valuable resources in exchange for the IB’s co-operation.
What are the practical advantages of a Forex White Label program?
For the introducing broker there are many advantages to a Forex White Label program. One thing is that the IB gains access to otherwise extremely expensive trading software and the general expertise of the White Label issuer.
A Forex White Label is also enormously useful in that by allying themselves with established Forex entities IBs gain the trustworthiness and status of their sponsors. In a high security, high risk environment like Forex trust is everything. Apart from the high risk of fraud, Forex traders need to trust their associates because the sharing of privileged information is so central to their industry’s workings.