Introducing broker programs are becoming one of the biggest parts of running a brokerage. Brokerages need good introducing brokers to keep clients coming in and clients love the level of service they provide. If you’ve ever had an interest in Forex, it might interest you to know you can start a career as an introducing broker, and be rubbing shoulders with some of the biggest players in Forex in just a few hours.
What is an introducing broker?
An introducing broker manages the trades of a fulltime trader. The trader discusses his options with their IB and then places their orders. The IB delegates the trades outlined in the order to a Future Commissions Merchant. Many traders prefer to work with introducing brokers because they can afford to dedicate more time to their clients than larger brokerages. This extra level of attention is especially valuable to new traders who depend on the introducing broker to show them the ropes.
What does working as an introducing broker involve?
Working as an IB involves networking, finding potential traders, illustrating to them the potential benefits of trading Forex, helping them to open accounts and manage their trading software, and advising their early trades and strategies if they should request it. White label IBs concentrate on referring clients to their parent brokerage; they do this in exchange for the right to use the white label’s branding and good name.
What are the main benefits of working as an introducing broker?
IBs make rebates on their client’s trades; if they recruit good traders this quickly turns into a healthy income. Working as an IB is a great learning experience; if you’ve ever been interested in becoming a Forex trader, there’s no better way to deepen your understanding of Forex and develop valuable contacts than a stint as an introducing broker.