With the rapid spread of the domestic foreign exchange market and the chaotic market environment in the previous period, many investors have been gone,but they have not returned. At present, the foreign exchange market is still in a hot period. This statement is nothing wrong, because the domestic foreign exchange market has just opened. There is still huge potential for development, but it has slowly entered the stage of strength competition.
Professional matters still need professional people.
How to make a stable profit in foreign exchange investment? It doesn’t depend on the luck, it involves all aspects, including technology, strategy, risk control, and mentality. However, most investors are up for a while, and their investment is accidental. At last, there is a huge loss and there is no return. Instead of concentrating on spending money on the trading market to buy lessons and knowledge, it is better to rely on solid funds to manage the funds, then you will have a stable income and cleanliness. Therefore, professional matters still need to be handed by professional people, such as professional investment institutions or companies, asset management companies, private equity funds, etc. Although domestic institutions or companies are still relatively poor, with the development of foreign exchange investment Demand, similar investment model will be one of the important directions for the development of the follow-up market, let us wait and see!
The broker (IB) can be known as a twist belt and bridge in the foreign exchange market. He is a twist band and bridge between the platform and the customer. If there is no the broker (IB) in the platform, there will be no direct Contact and relationship between the customers and the platform. The current status of brokers (IB) and how to be a good broker (IB) is really important. With the development of the market and investors’ perception of the foreign exchange market, the requirements for brokers (IB) are getting higher and higher, what needs to be done becomes more and more, attracting customers in a single way can no longer meet market requirements.
Whatever the broker (IB) is, the following core competencies need to be done.
- Expertise: He can transfer professional knowledge to investors and let them learn continuously so that they can get more profits in the market.
- Service: As long as the service is done well, the investors can get more information from it, there will be more customers.
- Profit: Investors invest in profit-oriented. If investors can get more income with the help of Forex Broker (IB), this is the most attractive place for customers.
- Other added value, etc.: Only utilizing these aspects comprehensively, the broker (IB) can obtain high salary in the foreign exchange market.
- Let customers know about financial products through the form of network, and provide investment and financial consulting for customers.
- Develop new markets, develop new customers, and increase customer understanding of financial products
- Responsible for providing customers reasonable financial advice, and formulating corresponding investment strategies.
- Maintain customer relationships, communicate with customers, and conduct financial services to customers.
- Complete the tasks and goals set by the company and the team according to the marketing plan
CCTV Securities Information Channel on IB Mode of Foreign Exchange Market
IB refer to the broker model: IB can be understood as a bond and bridge in the foreign exchange market. He is the link and bridge between the platform vendor and the customer. Without the IB, the platform vendor and the customer will lack in direct contact and relationship.
Mainstream business model of foreign IB market
In China, the IB market business model is mainly divided into three modes, including service agents, analysts agents and trade agents. The above three are also covered in foreign countries. In addition, foreign countries also have different business models.
First of all, taking analysts agents as an example, it has been developed to send signals with APP on abroad. Operating in one mode of APP does not require customer service to attract customers. Everyone can automatically search for APP and then get the trading signals to make a trade.
Secondly, it is also possible to find a better trade agent in foreign countries, because the trade records of foreign traders usually look for accountants to verify some transaction records in the past. Some domestic transactions may be fake.
Lastly, there is the big difference between the mainstream business models in the IB market at home and abroad. One model that is better in foreign countries is what we call a system. These agents are actually not in contact with customers. However, many agents in foreign countries may be at the knowledge level, then doing a relatively deep establishment and forming a customer base, forming a flow, guiding these traffic to the platform, charging a proxy fee, this way is not linked to the transaction .
According to this model, there are very few in China. The main domestic service agents are three types of agent models, analysts agents and trade-off agents. The possibility of guiding traffic is more in some media, it is rarely said to introduce traffic in a proxy mode, then let customers automatically convert on the platform. One-time account opening fee, which is relatively small.
Learn business model or thinking
The development of the domestic foreign exchange market is slightly behind for a few years compared to foreign countries, but the domestic foreign exchange market has developed rapidly. Perhaps the most important thing to learn from the foreign IB market is the risk control. At this stage, the domestic agent is too fancy for immediate benefits, such as how much commission the customer can give to the transaction. In foreign countries, it may be more focused on education, it is not linked to customer transactions, so there will be no conflict of interest. The volume of transactions is greater than before ,the greater the profit point of the customer agent. But the transaction process is very painful and very difficult.
In summary, it may be difficult in the short term. However, we must develop in this direction, and the foreign exchange market will be healthier.
What should be paid attention to by the forex broker during the transaction?
- Private transactions without the authorization of the customer.
Brokers are on the front line of trading and often find some better trading opportunities. Some brokers worried missing opportunities to place orders without asking for customers. Although their subjective wishes are good and they want to make money for customers, this is not unwise and illegal. First of all, the broker must clarify that the funds are customers, and that they have no right to control. Even if the relationship between the two is close, they have no right to arrange the role of investors.
- Misleading customers, frequent market entry
The main income of the broker is derived from the commission paid by the customer after entering the market. The transaction is more active, the commission is higher, so the broker’s nature is to encourage customers to trade as much as possible. But frequent transactions can easily damage the interests of customers. Because every time you enter and leave the market, customers need to pay a handling fee. Even if there is no loss, the handling fee will use the customer’s funds. And the frequent entry into the market actually means that the broker does not have a clear market view.
- Fear of risk, market analysis is ambiguous
The job of the broker is to analyze and forecast market trend for the client. The client decides the investment direction based on these suggestions, so the broker’s forecast largely determines the profit and loss of the client’s investment. Some brokers are afraid to take risks and not dare to make clear decisions when predicting the market. He simply list the market’s news, fundamentals and technical aspects, and the reasons for bullish bearishness , which caused confusion for customers and could not enter the market.
- Unstable emotions affect customer mentality
In the investment, “to win without pride lose with grace” is the principle that every trader and broker must follow. Controlling emotions is really important for the broker and it will directly affect the customer’s mentality. Some brokers have increased their self-confidence after helping their clients to make profits. They are arrogant, they are not able to listen to customers’ opinions, and even obstruct customer decisions. When they lose money, they are afraid of placing orders and missed opportunities. In fact, there is no long-term victory in the transaction. As long as you are in foreign exchange, you should not think that you must be a winner. Most of the losses often occur on those who think they are successful traders and brokers.