Introducing broker programs are currently enjoying more popularity than was ever thought possible. These days it only takes a few hours to become a Forex trader or introducing broker. The reason is simple; anyone with a little knowledge and some valuable contacts can become an introducing broker and make a great living alongside whatever other work they do.
What is an introducing broker?
Introducing brokers work closely with Forex traders but don’t actually make any trades themselves. The idea is for the IB to find likely candidates for trading Forex and to either refer them to a brokerage or handle their trades personally. Introducing brokers offer their clients advise getting started and making intelligent trades.
What are the benefits of working with an introducing broker?
Many traders opt to work with an IB because they offer their clients more attentive care than some big brokerages. A good IB is dedicated to the task of obtaining valuable Forex contacts, and as such they are able to offer their clients access to such contacts. Trading Forex is all about having the right information so knowledgeable contacts are an invaluable asset.
What is a white label?
If a brokerage offers you a white label this means that they want you to refer your clients to their brokerage exclusively. In exchange for this exclusivity the IB earns the right to use the brokerage’s branding and other perks. Forex is very much an economy of trust and it really helps to have a reputable Forex broker backing you up. New IBs often need a little guidance as well so it makes sense for them to ally themselves with an experienced brokerage.
Can I become an introducing broker?
Of course! However your success depends on how many contacts you can convince to trade Forex; if you think you’ve got what it takes then why not give it a shot?