Who is Forex Broker?
With USD 5 trillion trading volume per day, FOREX Market is world’s volume. Yes, you read it right, its USD 5 trillion a day! This is one-fourth of US GDP of $ 19.39 trillion. Such humongous is the Forex Trading Market. And why shouldn’t it be, after all we live in a globalized world where most of the countries trade with each other. And all these transactions involve one or the other currency. Investments are being made world over by one country to another and all these need transaction in Forex. Everyday billions of businesses located across globe transact with each other for their trade.
All these parties and people need currencies every day and their buying and selling creates this huge FOREX Market. With the advent of technology, FOREX Trading has got widespread popularity. It’s quick, easy and can be a good source of income for traders.
While International Banks and Institutions create the largest part of volume, small time retailers participate in Forex Market too on day to day basis. People from every walk of life from different regions of various countries are actively participating in forex trading and making livelihood for themselves.
Forex Brokers play a vital role in bridging gap between these small retailer and the large forex market. Forex Brokerage Business can be extremely rewarding if done with proper planning and right tools. We at MT4 & MT5-Whitelabel provide the forex trading software and tools, consultancy for starting Forex Brokerage Business, Opening On Shore and Off Shore Business, Getting Forex License and Regulatory approvals etc.
We are going to share Step-By-Step Guide To Starting Your Own Forex Brokerage Business. And this blog is very first in this series.
Who is a FOREX Broker?
Forex brokering business provides currency traders with access to a trading platform that allows them to buy and sell foreign currencies. It’s basically a platform that connects forex traders (primarily forex retail traders) with global network of forex market at large. Forex Brokers are the gateway to huge Forex Market for the small time retails forex traders. Forex Brokers are the most important part of this glorious international financial market and here is the List of 15 Things Forex Brokers do for Forex Traders.
- 1. Open Account
- 2. Do the KYC
- 3. Take care of AML and other regulatory compliance to keep everything clean
- 4. Deposit and withdraw money with multiple options like Bank Account, Credit Card, Wallet etc
- 5. Keep the charges clear and transparent
- 6. Provide platform to place Forex Trading orders
- 7. Wide range of Currency Pairs
- 8. Provide leverage so that traders could take larger traders with lower capital
- 9. Liquidity which makes sure traders get in and get out from trader at their choice of price point
- 10. Quick Support and Query resolution
- 11. Tools to keep track of their trade, profit and loss, charges etc.
- 12. Freedom to trade as and when a trader wants not only this but the freedom to not to trade is essential too
- 13. Close the account whenever a trader wants
- 14. Share the news and events that may impact Forex Market
- 15. Keep on upgrading the systems and tools with latest versions
This is just a quick list that a forex broker does but there are more to this and we will discuss them in next blogs about forex broker. So stay tuned!