White labelling is where the licensee acquires permission to use the licensors product as if it were their own. The product is entirely brandable and will appear unique to the customer and white labelling is fast becoming a widespread practice.
When talking about the Forex market, white labelling can be applied to trading software, CRM’s, payment gateways and back-office solutions, and some providers offer many other services.
White label trading platform
For the founder of a forex brokerage, the most significant contributions will be made in time and money.
While it is attractive to rush into developing bespoke systems, it might not be the wisest decision. Proprietary software can be massively expensive to develop and will require ongoing management. Investment in infrastructure and key personnel will have to be made to help operate and maintain the servers and software.
Most traders currently use the longstanding MT4 platform and it has proven very successful. Therefore, it will not need to be tested and will have far fewer glitches from the outset. Currently, MT4 incorporates the following: –
- Real-time access to news feeds.
- Connection to tier one liquidity providers which means lightning-fast executions.
- Multi-currency support.
- Data protection and compliance.
- 30 indicators and 24 graphical objects for technical analysis.
- 9 timeframes, from one minute to one month.
- Real-time quotes via the market watch window.
- Full history and transaction data.
Bespoke software is fantastic, but if your new bespoke software fails to provide the basic tools and functionality of MT4 your new traders will fail to adopt it. It could potentially be a massive waste of money. MT4 has a fantastic reputation, and it would be hard to beat.
Adopting proven software has many additional benefits
There are other indirect benefits to using a best white label trading platform.
It takes much less effort to onboard potential customers to your business when your brokerage adopts the tool they currently use. Therefore, marketing becomes much simpler and cheaper.
Partnering with a white label provider means you can access a larger support network. For example, take Popcorn Technology a London based white label provider who have a dedicated start-up support team. Their specialists can help you to run the white-label platform and deal with any issues quickly and confidently as opposed to bespoke software where you are alone and literally writing the manual all by yourself.
As mentioned earlier, CRM’s, traders rooms, and affiliate systems can all be white labelled. When building a brokerage from scratch, these additional services can really help you to maintain control and effective communication with your clients.
They work together correctly, incorporate all the tools that are needed and can be uniquely branded to help you forge your own identity.
Branding is paramount when the competition is fierce and none more so than in the forex industry. The importance of being able to brand a working, fully functional machine can not be overstated. From day one your brokerage will be operating efficiently and correctly instilling confidence in your customer base.
Additionally, most providers have beneficial relationships with financial institutions, payment and liquidity providers which are not easily accessed by the majority of start-ups.
Using a white label trading platform can be a great way to get started. It is relatively cheaper, you remain in control, you have access to support, and it looks entirely proprietary. It’s a win-win.