Liquidity


Why pay for liquidity

The problem

Classic Institutional liquidity that you can sign up for on the market is quite an expensive service for the quality of pricing and execution. With STP venues you will receive a raw stream that often turn to show it’s negative sides after you complete Due Diligence and API integration. Most of STP venues collect and transmit their feeds from 6-8+ venues which on the other end gives a Retail Broker unfiltered spikes, and hard spread widenings.

At EOD (End of day) while rollover is executed almost every STP will wide spreads up to 10 times than you can see on regular market. And all this comes directly to your Clients. If EOD widenings are filtered on your demand your Clients will receive no quotes and won’t be able to trade as STPs are not allowed to market make.

Frequent spikes, spread widenings are not only problems a Broker faces with STPs. The other down side of STPs is it’s cost and revenue structure. A Retail Broker usually pays minimum 2-5K USD in commission with a minimum commitment on volume. Additionally, a Broker will be required to hold a minimum account holding at around 50K USD and will be not allowed to go under that number. So, you will have deposit more collateral to use the liquidity. Above that a Broker should know that to get more revenue an STP is allowed to mark-up.

Solution

6 years ago, we came up to an idea that we should develop our own execution venue that will eliminate significant spread widenings, spikes, high transaction costs, high costs of entry. After 3 years, we delivered our technology. We tested it on our own funds with different Liquidity Providers for more than 3 years before we offered it to the market. The result in the revenue, execution quality, narrow Client spreads were beyond our expectations.

We not only removed all the problems above. We invented something that is changing the industry.

FX-M Prime can provide with premium Institutional liquidity and pay a Broker for each trade*. All this with state-of-the-art execution, unmatched levels of technology and incredibly low latency.

The more you trade through FX-M Prime the more you earn.

FX-M Prime technology system has been in continuous production and development at the firm since 2011. In live operations at the world’s leading brokers, the firm’s systems have run for years without a moment of downtime.

Put us on test

*Terms apply