Since the Dealers entered the mainland market, more and more people have participated into it. As we all know, the transactions need to pay spreads. Then how to reduce spreads and reduce transaction costs? One of the methods is to become an introducing broker(IB), and IB can get the rebate, which is to reduce the spread and reduce the transaction cost. However, there are so many Dealers in the foreign exchange market. How to choose one and how to become an introducing broker?
Step1: choose the dealer
It is important to choose a dealer, especially if the dealer is subject to formal supervision. Only a strictly regulated dealer can guarantee the security of funds, and security is the most important. In general, Australian ASIC, the British FCA is very strict supervision, the dealer of these two supervision is the first choice for introducing brokers.
Step 2: test the trading environment, deposits and withdrawals etc.
Introducing Broker needs to serve the customers, then before introducing the customer to dealer, it is necessary to test the dealer. IB need to test the dealer's trading environment, slippage, etc., as well as the dealer’s account types, deposits and withdrawals, and so on.
Step 3: Compare rebates and services
Compare the rebates, the support policies and activities of each dealer to be selected. A good dealer often has a sound agency support policy and activities to support the agency development client.