Forex Market News & Analysis

WORKING TOGETHER

WORKING TOGETHER WE ACCOMPLISH MORE

I know some of you may have some questions as to
why/how I am able to get such great rebates and
sign on bonuses for our traders opening trading
accounts.

So I thought I would explain how the forex world
goes around real quickly here. 

INTRODUCING… THE REFERRING AGENT

First, I have registered with the NFA  which
allows me to form relationships with several
different firms. 

Before I go further let me explain what a referring
agent does.

When you make a trade there is a difference between
the bid and the ask price. This difference is called
the spread and is essentially your cost for entering
the trade. 

The spread is how brokers make their money and cover
their costs, one of which is advertising. One of the
ways they advertise is by giving up a portion of the
spread to an introducing party.

This introducing party is the referring agent. 

These agents use their resources to bring clients to
the Brokerage Firm.

******SIDE NOTE****************

It is important to note that the spread is the same,
whether you were introduced through an agent or simply
found them on the Web. Having a referring agent can
be very beneficial to a trader, and since having
an agent typically doesn’t change your cost of trading,
the benefits come at no cost to you.

*********************************

When you have an agent, it opens the doors for volume
discounts as well as a multitude of other free and
discounted products which come as by-products of
being in the group. 

An example of this is the discount that was offered
for the Bank Flow subscription.
�
This was a $1200.00 a year value that was essentially
paid as a result of trade volume. 

Another way we are rewarded is by the sign-on bonuses.
You may wonder how a broker can afford to pay you
$15000.00 just to open an account. Typically there
is a certain number of lots that you are required to
trade before you can withdraw the money they give you. 

They expect to make the money back through the spread.
Essentially it is another form of a rebate, but it
is in advance so you get the benefit of trading the
money before it is actually yours.

Not only that, the volume you trade is being created
in part from the money they give you and many times we
can get a rebate on the spread that goes back to the
trader. It really is a great situation.

So being part of a group can get you a portion of the
spread back, initial sign on bonuses as well as discounts
on miscellaneous products.  We have set up a group that
deals with several different firms all of which are
well established.

Before opening an account directly with a broker visit
our group site and see what incentives are currently
available. The site address is

www.fxdealerselect.com

Remember, together we accomplish more!!!

Dustin Pass

Filed under Forex Market News & Analysis By Dustin

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