There are many issues to consider and address, such as setting up the trading platform, connecting payment systems, developing retail investor accounts, determining to price, and many more. At the same time, as your client base grows bigger, you will have to pay more and more for the WL service and at some point you will have to buy your own trading platform. Interestingly, both consumer product executives and retail executives tend to believe that co-branding between retailers and traditional national brands is a win-win situation. In summary, choosing the right White Label provider is essential for the success of any brokerage.
Overall, IBs are crucial to the trading sector and provide traders and firms with valuable services. To put it simply, when it comes to a full white labeling Forex solution partnership, you get the platform and you can brand it any way you see fit. In addition, you are also able to accept deposits from your traders, white partial white labeling mostly means that the deposits from the traders are mostly handled by the primary broker.
What Is a White Label Product?
This includes providing the latest technology, legal aspects, even building a website as well as different types of marketing programs. In the Forex trading market, White Label Forex company is a corporation that is able to market another broker’s platform as if it was their own. A company can become White Label on grounds of a special agreement made with a broker. This is a great option for those who want to set up their own Forex broker and establish their brand in the market without the need to actually create a new Forex broker. A White Label is in most cases provided with the whole solution which includes trading platform, back-office support, and even allows the company to have its own brand.
anti-money laundering (AML) and know-your-customer (KYC) regulations. However, this problem can be partly solved by using technological solutions that don’t require installation on the server and only need managerial access to the platform. The concept of white labeling comes with numerous considerations, both positive and negative. Quadcode’s mobile client features a modern and elegant design, highlighted by a multi-chart layout, an extensive selection of alerts and widgets, and over a hundred free technical indicators. This makes it an ideal platform for conducting trading activities on the move.
What is the main idea of White Labeling?
All of these necessities cost thousands of pounds, meaning the price of starting a brokerage firm could be £100,000 or more. Leverate is a leading white-label Forex provider, delivering innovative solutions to Forex brokers and financial institutions. Its flagship product, LXSuite, offers a range of trading
tools, including web and mobile platforms, CRM systems, etc., for effective business management. Some banks, for example, use white label services like credit card processing when they do not have these services in house. Furthermore, businesses that have no banking operations often extend branded credit cards to their customers, which is also a form of white labeling. Bean Inc. offers its consumers a branded credit card, though the card is actually provided by Barclays Bank (BCS).
To enter the partnership program, an IB needs to fulfil specific brokerage requirements, create an account, and get access to a variety of promotion, ad, and support tools. A White Label model differs considerably from Introducing Brokers as this type of service refers to businesses that are ready to pave their independent https://www.xcritical.com/ steps in the Forex market. IBs monitor clients’ feedback based on completed trades to understand which aspects demand improvement. Professional brokers know the game rules and understand how to win on the market. Depending on your bridge selection, these features might already be included in your current solution.
Introducing Broker vs White Label. The Best Way to Maximise Your Revenue
There is no guarantee that the platform will really turn out to be interesting for the broker’s clients. The developer will charge a commission from the broker (for example, 50% of the profit from the platform), which will reduce the small income of the broker. This will depend on the startup broker’s own needs ecn broker and objectives as both white labelling and co-branding have their advantages and disadvantages that start-ups must consider. Gain Capital is a well-established firm that has more than 18 years of experience in enabling businesses that have complementary product portfolios to expand and grow their offering.
- In this case, taking a ready-made or White Label solution and focusing on promoting it is easier and more profitable.
- Quadcode’s trading platform boasts an impressive 99.5% uptime and is designed as a comprehensive white-label package, simplifying the process of launching a fully customizable brokerage platform from scratch.
- This high degree of automation and customization extends to the back-end configurations where brokers can set up limits, rebates, margins, spreads, and client execution on instruments, group, or individual client levels.
- The TickTrader platform caters to efficient Forex and digital asset transactions with flexible setup
schemes, various trading accounts, and multi-language client terminals.
- Many brokers start with offshore jurisdictions as these are typically easier and cheaper to operate in.
To get an accurate quote for the white branding fee, you need to contact IBKR directly and discuss your specific requirements with them. The application review generally takes 2-3 weeks, and we noted that they require $10,000 to be funded into your account, which will be applied towards your first five months of commissions. Advisors can easily access white branding through the Advisor portal and configure the settings to fit their needs. Interactive Brokers offers comprehensive instructions on how to set up white branding on their website, as well as a dedicated team available for further information about the program.
Introducing Broker and White Label: What’s the Difference?
B2Broker has in-depth experience of the industry and is able to ensure the successful operation of your business, while offering your clients the widest range of financial instruments and trading. In White Label partnerships, the core component is a trading platform, which costs between $100,000 and $200,000. With a broker based on the White Label model, newer players can reduce costs since they only pay for the use and maintenance of the product. It is not uncommon for beginners to save up to $100, ,000 as a result of using these services. As for trading platforms, MT4 and MT5 are the two most popular solutions implemented by more than 70% of Forex brokers. Therefore, you should select those products that will empower your clients with the latest tools and instruments.
On the subject of CRM solutions or investment platforms, these technologies are designed by primary brokers themselves. Companies develop high-end innovative solutions ready to boost FX brokerage businesses and enable their partners to access such components through the White Label model. Ultimately, the decision of which brokerage model to select lies in factors such as initial capital investment, risk management, and vision.