If you are involved in the investing world, especially FX trading. Then you most likely are in contact with other traders who share similar interests. Many traders and individuals involved in the world of investing are unaware of the many benefits of registering to become an Introducing Broker. Many see becoming an Introducing Broker as an …
What is an Introducing Broker and the Benefits of Becoming One
If you are involved in the investing world, especially FX trading. Then you most likely are in contact with other traders who share similar interests. Many traders and individuals involved in the world of investing are unaware of the many benefits of registering to become an Introducing Broker.
Many see becoming an Introducing Broker as an opportunity thanks to the ability to make a profit without much of an initial investment needed. An opportunity that is accessible to all traders, regardless of their trading experience. However, it should be mentioned that previous knowledge in Forex will help IBs in developing relationships which is an essential part of the business.
That being said, we will break down the full benefits of being an Introducing Broker, and the advantages of being a Tradeview Partner.
- We will explain exactly WHAT an Introducing Broker is and its function
- How Introducing Brokers make money and how much can they earn
- Growth as an Introducing Broker
- How anyone can become an IB
- The freedom in becoming an IB
To finalize we will respond to some FAQs about being an IB that we often receive.
What is an Introducing Broker?
The definition of an Introducing Broker is simple. An Introducing Broker (IB) is an individual or organization that refers new clients to a trading company (a broker) and receives compensation for that referral.
An IB acts as an intermediary between the broker and trader, connecting them with each other. Over the last 20 years, we have seen the rise in entrepreneurs in all aspects of life. With social media being so prevalent in today’s world, you can reach and communicate with traders from around the world throughout the trading day.
By deciding to become an Introducing Broker, you are essentially establishing your own business. What this means is that just like everything else, the amount of effort you exert will determine how successful your IB business will be. We have some IB’s who simply refer to their significant others and maybe some family members in order to receive a part of their commission back in the form of a rebate.
We also have other IB’s who have created their own website, spent money on advertising, and created their own social media channels. In return they have built a successful business for themselves and receive a healthy sum of money each month in commissions.
How Introducing Brokers make money and how much they can earn
Like other types of brokers, Introducing Brokers make money by charging their clients a commission, and given that as an Introducing Broker you can provide added value to your clients by offering additional services, support, or educational content.
They are more likely to want to do business with you than directly with the broker. These variables that determine the additional value for clients can be a way to get high-value clients that can get you $1,000 in commission every week.
Another strategy for Introducing Brokers to make money is to get many “small fish” – rookie traders. That need guidance and instruction on how to start trading. Whatever the strategy the IB chooses, he/she must make sure they pick the right niche for them. IBs should make sure they are always up to date with news, watching market reactions, and learning constantly to instruct and help clients to their own successful path.
The short answer is: the amount of money an Introducing Broker can make, comes down to the quality or quantity of clients. An IB could make $1,000 dollars a day with either one client or one hundred clients.
Growth as an Introducing Broker
One benefit many people overlook from becoming an IB, is that you grow as a trader, as an entrepreneur, and even as a person. Any time we embark on a new challenge or a new journey we are forced to grow, learn about ourselves, and change our views. If you are passionate about trading, working as an Introducing broker will be an enjoyable experience and that growth will be even more pronounced.
In a certain way, as an IB you are taking a step into the world of entrepreneurship. You work on building a personal brand, you’re constantly looking to innovate in order to offer a service that gives users added value and is easily differentiated from other, similar competitors, and you build relationships. If you have ever talked to someone who has given entrepreneurship a real shot, they’ll tell you how they grew, regardless of the level of success they achieved.
Anyone can become an Introducing Broker
Just because anyone CAN become an IB, doesn’t mean anyone SHOULD become an IB
When we say anyone can be an Introducing Broker, that doesn’t mean that you can just decide to become one in a day and you automatically are. What it does mean is that you don’t need to have a university degree, or an abundance of certifications behind your name. However, you do need to go through a process by filling out some forms and possibly getting a license – if you’re required to do so. But more on that later.
That being said. Just because anyone CAN become an IB, doesn’t mean anyone SHOULD become an IB. Keep in mind that in a way, people will be depending on you; on the information you provide, as well as the support you give.
Many successful Introducing Brokers are talented traders with a lot of experience that decided to venture off into this style of business. Experience IS important, and it may help get you many more clients because you’ll be seen as an authority on the subject.
However, it is ALSO important to mention that anyone can become an experienced trader, like everything else in life it just takes time. So if you’re thinking about embarking on the exciting world of becoming an Introducing Broker, develop your skills in Forex, and making the most of your entrepreneurial talent, the most important step is to just start.
The freedom in becoming an Introducing Broker
In order to earn money, IBs must get clients, within time, as your client base grows you now have the chance to travel the world in search of new opportunities, or stay local and develop your business at home. For many, this represents a level of freedom that is unique to this type of career. What person wouldn’t like to have the opportunity to grow a business that gives them the chance to live the life they desire.
Unlike affiliate marketing, Introducing Broker programs give you the chance to hand your clients a customized experience in terms of the service the brokerage offers. This type of freedom allows you to improve your offering to attract more clients. You don’t need to depend solely on the brokerage, if you can give something more you will be more successful . Providing something clients value, by doing so – as mentioned beforehand – you can attract high-value customers that can give you a boost in your commission.
How to Become a Forex Introducing Broker
It is very simple. To register and become an IB all you need to do is fill out an IB application using this link: https://tradeviewpartners.com/en. You will need to provide a passport and proof of address and some other information. Once you have been approved by our compliance team, we will set up a custom account application link for you which will ensure any clients you introduce are recorded as being yours.
Tradeview has also built a back-office application where you as an IB will be able to view all of your introduced trading accounts in real-time:
Considerations When Becoming an Introducing Broker
Keeping your clients happy – One of the most important factors to being a successful introducing broker is keeping your clients happy. You can have the best training programs or be a quality advisor. But if you’re not working with a broker that you value and has proven themselves to be a quality partner. There’s not a lot you can expect them to do. In simple terms, the better the broker, the better the results for your clients, and the better results your clients get, the more they’ll want to do business with you.
But, what makes a broker a superior one?
The best brokers for your business have excellent customer service and an army of adoring fans, one useful tool for checking the popularity of a broker is Trustpilot. Trustpilot gives real, verified customers the ability to share their experiences. Taking into account the previous experience of other clients will get you a pretty good idea of how a broker treats its clients before you decide to refer new ones to them.
One of the things many people don’t take into consideration when choosing a broker is the diversity of the trading platforms offered. As you get more and more clients you will find traders that have preferences for one platform or another. Make sure you do business with a broker that works with multiple platforms (MT4, MT5, cTrader, Currenex, etc.) so you can expand your client offering.
Marketing
As with any other business, marketing plays an essential role in getting new clients and beating previous sales numbers. Whether you are marketing on social media, search engines, or traditional marketing techniques, developing a plan for getting new clients will play a large role later on as you start to expand. You should always consider marketing yourself first as a person and expert in the field, build your personal brand, become a well-known voice in the industry, and clients will come to you.
Just as important, take your clients’ needs into account in all of your marketing but particularly when making a website. Sure a pretty site might attract a lot of attention.
but what use is it to potential clients if they aren’t getting the information they need from it?
Having a responsive website that is easy to navigate and takes people where they want to go is a very important tool in this business.
The quality of leads
If you do things right, there will come a time that you are getting a lot of leads. As good as this news sounds, you will have to learn to prioritize some leads over others, there are people ready to convert to clients while others just want to receive some information.
As you learn to distinguish these two types of people you will eventually develop a system where you focus most of your energy and attention on leads that are ready to convert to clients and learn to provide information to those who are looking for it as you develop them into warmer leads ready to convert into clients.
You need to remember that someone who is asking for more information is in a different position within the buyer journey and it is worth your time and energy to help them along in their journey to becoming a client.
Attracting Clients
As mentioned earlier on in this article, clients are the foundation to any business. As an introducing broker, you have the ability to get creative in your client development process. Remember that the main goal is to provide value and connect to the niche of clients that you are pursuing. There are a large number of techniques and we will name a couple just to get the ball rolling:
- Webinars/Seminars/Online Events
Introducing Brokers that can provide valuable educational content or training sessions to their clients have a much better chance at succeeding than those who don’t. People take into consideration the fact that more than 80% of traders lose money in the market, so any instruction is highly valued. Once people gain the trust of their educators naturally they’re going to be more than likely to trust their recommendations, including brokerages with whom they do business with. - Groups
Social Media has opened a whole new world of possibilities for marketing and sales efforts, Facebook groups is one of those examples. People with shared interests gather under one page and share like-minded content with others. For trading, this is a perfect community where people can share valuable information about classes, news that move the markets, and also their personal success stories. An Introducing Broker that uses one of these groups to their advantage has the ability to convert clients and establish their personal brand before a huge group of people.
Why You Should Choose Tradeview as your IB Partner
We are one of the only brokers in the world to offer these four FX trading platforms; MT4, MT5, cTrader, and Currenex. Once you provide your potential clients with your custom IB application link they will have the choice to choose between one of these four amazing FX trading platforms. The main focus at Tradeview is customer support and developing long-term relationships with our IB’s and clients.
We go above and beyond to offer clients the ultimate trading experience. So, you will be the first level of support for your clients but then you and you clients have access to online live chat service 24 hours per day via our website and each and every one of your clients will be assigned a personal customer service representative here at Tradeview that they can contact for all of their trading needs.
Frequently Asked Questions regarding our IB program
Do I need to be certified or obtain a license to become an IB?
Not necessarily, this will depend on the jurisdiction you live and operate in. You may not need to register with the local regulatory jurisdiction or apply for a license in some countries but you may in others…
How much can I make?
Our standard package for our Innovative Liquidity Connector type accounts is that we will split the commission with you. We charge the client $5 per lot round turn and split this with you as the IB.*
Do I need to have a website?
No. You do not need to have your own website, however, it will be extremely beneficial for you if you do have a website. We also have a marketing and website design company where we can assist you in creating a website of your own!
How long will it take to be approved?
Once you fill out the IB application we will look to approve your account within 24-48 business hours
Can I negotiate higher commissions?
Yes,you may. We will assign you a personal account manager here at Tradeview who can work with you to negotiate a deal that will best suit the needs of you and your clients!
Can I have access to my clients’ accounts and see all trading activity?
Yes. We will provide you a unique login and password for you to access our IB Portal on our homepage. You will be able to view all of your clients and their trading activity there. Also, we will provide you with a manager account where you will see your commissions building in real-time as your clients trade!
Conclusion
Trading is great, you can learn a lot and if you’re good you can make some money. But if you’re looking for more benefits and possibilities, making a career out of being an Introducing Broker is a great opportunity. It will take hard work as you are going down the road of becoming an entrepreneur, but if you’re passionate, hardworking, and have a way with people, Tradeview’s IB program has many benefits for you.
Whether you’re looking to take charge of your earnings, or try a career change, you can expect the challenges of being an IB to make you grow as a person. If you’d like to learn more about becoming an IB, please start by contacting us and requesting more information.
Michael Turck
Global Head of Liquidity & Sales
