Every business is very shaky at its first stages. In addition to the constant expenditure, there may be additional spending on advertising and finding new customers. In brokerage, thus situation is even more difficult. After all, it is necessary to “beat off” customers in this niche, offering traders more favorable trading conditions. However, not every broker goes for this and more and more companies appear, which purpose is to attract capital to the trading account and close (or re-open by re-branding) the company. If you want to create a reliable company and are just starting your brokerage business, we bring to your attention an innovative tool called fix api splitter (http://4fxbrokers.com/fix-api-splitter/).
Fix api splitter is the best technical and software solution for a broker, which consists in implementing trading operations directly on the prime broker’s side in real market conditions. This software allows you to save your money at the expense of a one-time fee for using an account that is connected to the prime broker. Client fix api accounts connect to the splitter and you do not have to pay for them, because all the transactions will have a logical chain of the following kind: client fix api -> splitter -> prime broker. You can connect as many trading accounts to the splitter as you like, which will allow you to avoid additional fees and moreover, you have the opportunity to establish a commission and additionally earn due to the clients’ activity on the market.
Technical feature of the fix api splitter
Fix api splitter can function both with our software MT4 bridge, and it can be used separately as independent software. The peculiarity of fix api splitter lies in the fact that your dealing has the opportunity to overlap the high-risk transactions in the prime broker, and to offer a similar execution to those customers who actually provoke the appearance of these risks.
To connect the software to the trading account, you must first create an account in the fix api splitter system. It is easy to create an account: for this, you need to set a login, a password and unique IDs, after which you associate this account to the account trading. An important point is the fact that the account must be implemented on the MT4 platform, and also executed through the b-book methodology. This will give you the opportunity to set commissions and trading conditions for the entire group of traders who trade through the financial protocol, and in the context of a specific trading account.
First of all, the program was created to help your brokerage company to have an opportunity to provide access to the financial FIX. However, this is not the only advantage of the fix api splitter. Our experience in developing software for the brokerage companies has allowed us create a product that can also increase the profitability of your business.
Advantages of fix api splitter for a beginning company:
- Ability to provide highly technological functionality for your customers. Few brokerage companies allow their traders to trade directly in the market. And those who give such an opportunity, as a rule, request additional funds to the trading account. Using our software, you will definitely be able to stand out among the gray mass of brokerage companies without additional financial losses.
- Optimizing the expenditure side: if you already provide access to the financial protocol, you will surely pay for each trading customer. Clearing centers will take an additional commission for the processing of the market transactions and you need to withdraw it from your customers. If it is large, then it will be difficult to get interested in such a product. In our software, you pay only for the fix api splitter “central account”, and the other trading accounts are connected to it. Thus, you can set a minimum commission and generate an additional source of profitability for your business.
- Controlling the brokerage risks: using fix api splitter, you can track all the trading transactions and analyze your active trading base. You can also give this opportunity to the high-risk customers.
Controlling brokerage risks via fix api splitter
Continuing the topic of advantages of our software, we would like to consider separately those risks in your business, which you can initially avoid with the fix api splitter.
- Overlapping of large volumes directly on the market: if customers conduct their trading with increased volumes and it is difficult for you to block such operations with the transactions that are traded on your server, you can provide the client with the opportunity to trade through a financial protocol. This will reduce all your risks of paying profits at your expense. Nevertheless, you will save a large client and give him even more comfortable conditions, because fix api splitter gives the opportunity of instant execution of trading operations of any volume.
- Trade with high-frequency algorithms: if your trader trades using automated trading strategies, such as scalping or arbitrage, you can also provide an opportunity to exit operations on the market. Fix api is ideally suited for the operation of high-frequency algorithms. Moreover, a large number of robots in the US stock market work precisely through a financial protocol. Here the important role is played by the terms of trading, namely the minimum spreads and the absence of slippage, which are critically important for such algorithms.
- Trading in exotic financial assets: as a rule, such transactions are also difficult to overlap with internal transactions due to the limited number of opened positions. Taking into account the trading volumes of the market, these transactions can be realized without any difficulties.
Given all the subtleties and features of our software for brokerage companies, we are confident that your business will be able to demonstrate impressive innovative and financial results with our software.