An Introducing Broker (IB) in the context of FX trading is a person or entity that refers clients to FX broker in exchange for a commission or fee. Introducing Brokers do not execute trades or handleclient funds directly; instead, they focus on marketing and client acquisition. Their main role is tointroduce potential traders to a FX broker and assist in expanding the broker's customer base

Client Referral: Introducing Brokers attract potential traders to a FX broker through various marketing and promotional efforts. This can involve online advertising, social media, email marketing, or even in-person referrals.

Partnership with FX Brokers: Introducing Brokers typically establish formal partnerships or agreements with FX brokers. These agreements outline the terms of the relationship, including commission structures, payment schedules, and any support provided by the broker. Rebate & Commission Earnings: Introducing Brokers earn rebate or commissions or fees for each referred client who opens an account and begins trading with the FX broker. The amount and structure of these commissions can vary from broker to broker.

Client Support: While Introducing Brokers do not execute trades, they may offer some level of support and guidance to their referred clients. This can include assistance with account setup, trading strategies, or addressing general inquiries.Introducing Brokers play a vital role in the FX industry by acting as intermediaries between traders and FX brokers, facilitating client acquisition and helping brokers expand their market reach. They can be individuals, businesses, or even financial institutions that have an interest in referring traders to FX brokers and earning a commission for doing so.