Does anyone out there have any experience in becoming a referring party to a Forex Broker, and what it entails. Obviously, the Series 3 is the first step, but is there anything that can be done before that is taken? What else is necesary? I am intrigued by the notion in so much as I can refer accounts to a broker, take over in the customer service area, (which seems to lack for the most part), and not be tied exclusively to the one broker. If I am missing anything, please fill me in, along with any hurdles or goals.
I think one of the key issues is how much business you can reffer as this would be an important factor in determining what firm you reffering business to. Are they small accounts 5-10 K? Large account more suited for the Currenex platform? You wouldn't want to be reffering large accounts to a firm without an institutional platform such as Currenex. Nor would you want to deal with a firm that has Currenex but noting suited for samller accounts. To be honest if your only dealing in Forex I don't think you even need the series 3.
Thanks, Lucky Irish. I come from day trading background, at one point ran a trading desk. Licensed w/ NASD. I never made the big money attracting millions, letting them blow up, then moving onto next guy. But I was making money, enough, & the licenses were clean. Just started looking into forex, more recently looking into using that experience & running something small. Definitely not ready for Currenex, didn't even know that was an institutional platform. Have seen the ECN's like COES, in which case I charge a mark-up, & the market makers, like FXCM, in which case it's figured in the spread/market making. That's why I think being a referring party is best-suited, as I can change to bigger & better should the need arise. As for Series 3, how can I find out if it is necessary to get paid on a trade referred to a forex currency broker? If that were the case, I could obviously get started now. Would need the 3 to open my own office, similar to an OSJ in trading, no?