What is Introducing Broker (IB)?

The Definition of Introducing Broker

If you're a newcomer to the world of forex trading, you may have come across the terms "Introducing Broker" or "IB." But what precisely does the term "Introducing Broker (IB)" entail? In this chapter, we'll provide you with a concise overview of the role of Introducing Brokers in the forex ecosystem, as well as how you can potentially become one yourself!

An Introducing Broker (IB) functions as an intermediary bridging the gap between individual traders and forex brokers. These IBs, whether they are individuals or entities, introduce new clients to a specific broker and, in return, receive commissions from the broker.​

In addition to connecting traders with brokers, IBs can provide added value to the traders they work with by offering trading education, support, and access to the financial markets. This enhances their relationship with clients, ensuring their specific needs are met while setting them apart from other IBs. It's important to note that while IBs play a vital role in assisting traders, they are not directly involved in the onboarding process between individual traders and forex brokers.