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Tuesday 28 June 2011

Forex Brokerage under regulated structure and MT4 platform


The forex market is probably the most fascinating market in the world characterized with satisfactory daily swings, high volume and very few trading restrictions. No wonder then that many entrepreneurs wish to enter the business in an attempt to tap the growing forex market. 

One way to start a forex brokerage is to put up substantial capital, hire professional managers, traders and have a well organized back-office in order to become a forex brokerage, licensed and regulated by an authority in your home country or an offshore jurisdiction.

This process however, could take many months and involves a substantial investment, which for many may be too much.

An alternative quick way to start up a forex brokerage under a regulated structure is to team up with Eurivex, a Cyprus based investment firm, regulated by the Cyprus Securities & Exchange Commission (CySEC, 114/10), licensed to trade in forex, offer portfolio management and hold client funds.

The Eurivex solution is very simple. We set up a public company for you, with the beneficial owner and related parties (up to 8 shareholders) holding 100% of the capital of the company. We then list the company on a reputable exchange, which means you are now free to solicit for money from your clients and more importantly keep the identity of your clients confidential.

At the same time, we sub-White Label for you the MT4 platform under your brand. The whole process for both (listing on stock exchange and getting the MT4 platform under your brand) takes about 2-3 weeks or at most one month to complete depending on how fast the other parties work and how ready you are with your documentation.

Once everything is in place, you are now ready to commence to operate as a forex brokerage through a regulated structure and with all support functions including live prices, leverage with complete functions with respect to manning your brokerage performed by Eurivex.

The good thing is that your clients will never know that Eurivex is offering support, since in the MT4 platform, they operate under your brand. The fact that you control the MT4 back-office means that you will open the client accounts in the MT4 for your individual clients, set the spread, assign the leverage, margin and other details and commence business.

It is important to note that as the MT4 operator, you can assign your clients into different groups with respect to the spread. So the ones that you believe will generate higher volume will obviously need to be in a tight spread group while the passive clients may be placed in a wider margin group. Since you are operating under your brand, there will be no restrictions on how much you widen the spread.

Your arrangement with Eurivex will be through an omnibus account, which means you open one account with Eurivex and we assign you the trading limit based on the margin you place with us.

Also very important to note is that Eurivex is a not a market maker, and all price feed in our MT4 and your MT4 will be beamed directly from our principal brokers in Europe without manipulation. This is particularly important since it means that we don’t tamper with prices, we don’t hit your client stops or shift prices so that a particular profit order is not given.

And since Eurivex is a family run business, we are long term players, not interested in short term quick gain strategies. We develop our growth through good partners who are also interested in serving their clients. The strategy is that happy clients are the best ingredient for future prosperity.

1 comment:

  1. You must have effective tools and easy to use, for a clearer analysis of the Forex market. Getting beneficial results.

    ReplyDelete