The Value of Partnership at the Most Opportune Time

BDSwiss is offering market participants two distinct partnership programs, at the most opportune time.

BDSwiss offers two distinct methods of partnership to both individuals and businesses. Partnership can involve becoming an affiliate – someone who refers clients to BDSwiss via online campaigns and channels, or, becoming an introducing broker (IB) – a company that introduces new clients to BDSwiss with a view of supporting the client themselves.

The BDSwiss IB partnership program is a means for partners to earn competitive remuneration while partnering with one of the most trusted brands in the FX industry. We currently service IBs from various regions by empowering them to support their clients including state-of-the-art trading tools and effective educational content.

Meanwhile, BDSwiss’ Affiliate program enables anyone with a strong online presence in the financial services field to benefit from our competitive remuneration plans by introducing our products and services to their audience. Affiliates can take advantage of professional marketing materials and tracking tools to help them monetise their marketing activity.

To date, we have worked with over 17,000 of affiliates and IBs, providing the necessary support for them to engage with their target audience.

What’s the difference between an IB and an Affiliate?

The main difference between IBs and affiliates is the nature and scope of their operations.  Affiliates tend to target and refer audiences largely via online activity, while IBs will often hold offline events and maintain a network which involves in person communication, as well as sometimes even operate on a whitelabel brokerage level. 

Who can become an IB?

Every broker will have slightly different criteria that determine who they will accept as IBs. For BDSwiss, this is no different. Our IB program specifies precise conditions that we expect these individuals or companies to meet, in order to be welcomed into the BDSwiss family as an IB.

Moreover, regulators specify IB criteria and then the brokers are obligated to align their operations and partners agreements accordingly.  

The BDSwiss advantage

Partnering with BDSwiss provides IB with multiple advantages and benefits:

•       Industry-leading commission rates 
•       Remuneration on sub-IB earnings
•       Customised IB links and expert support
•       Dedicated IB portal with advanced performance tracking and reporting tools
•       Customised promotional banners available directly through a centralised online hub
•       Specialised IB events including coordination and sponsorship initiatives

Latin American and Asian IBs

For partners operating in Latin American and Asia, BDSwiss provides a full Partners Support Kit including localised marketing materials, 24/5 dedicated support, local events and seminars, and innovative products and promotions to increase conversion and client engagement.

High growth areas

Territories that are currently very attractive for new IB partners and affiliates are Asia and Latin America. Whereas US and European markets have become highly saturated over the past decade – Asian and Latin American operators are experiencing a trading boom.

Relatively slower to develop countries with less capitalised financial markets has left Latin America and Asia trailing other territories, but this gap is rapidly closing as new FX companies break new ground in developing countries.

Potential affiliates and IBs can take advantage of these regions by applying to become an IB or an affiliate. If their application is successful, individuals and businesses can monetise the surge in trading activity worldwide.

Demographic catalyst

Latin America is gradually increasing the size of its middle class, which, when combined with stronger regulation, is encouraging greater numbers of people to try trading for the first time.

Meanwhile, with a population of almost 650 million people, Southeast Asia is possibly the world’s largest retail trading market given the surging levels of population growth, combined with greater disposable incomes in all parts of society. Asia is proving its long-held promise of being a sleeping giant in a region that is one of the last to offer online services. The rapid economic expansion of different nations in Southeast Asia has brought about an increasing interest in online investments and trading Forex and CFD products.

Linguistic allure

Much like Asia, Latin America also has a superb demographic background. The continent’s population is estimated to be 630 million and if non-Spanish speakers are excluded, that still leaves over 400 million potential clients. Latin America has historically been let down by low levels of internet connectivity – as an example, in Mexico, only 45% of the population has internet access. However, the rate of internet adoption is growing exponentially year-on-year which makes Latin America one of the most opportune regions for marketing FX/CFD services in the world.

On the issue of regulation

Market regulation is a key issue. It is quite common to see unregulated FX brokers setting up operations in Southeast Asia, or other regions with lower regulatory standards, to avoid costly capital adequacy requirements but still take on clients.

The result has been an overly competitive market with dozens of brokers using questionable sales practises to win new business. 

For IBs, it is therefore essential to operate under the wing of a broker that is fully regulated in non-EU jurisdictions while offering multilingual 24-hour support to all clients.

COVID-19 impact

This year’s COVID pandemic has been a hammer blow to the world economy, reducing incomes, spending and economic activity in every country. However, coronavirus has also served to boost market volatility and trading volumes in the financial markets.

Short-term traders crave volatility which has meant an explosion in the number of people trying trading for the first time, and trading volumes amongst existing traders. For IBs and affiliates, COVID-19 has been an opportunity in disguise: an opportunity to introduce FX trading to new audiences and encourage higher trading activity by marketing engaging market research content.

In the medium-long term, we are likely to see a greater focus on online productivity tools such as Zoom – yet another opportunity for IBs and affiliates to launch collaborative online initiatives to educate traders. At BDSwiss, we intend to harness online productivity tools to build rapport and to work more closely with our clients, IBs and affiliates. We encourage our partners to do the same!

Higher trading activity leads to higher remuneration for IBs, while higher volatility continues to be interpreted by novice traders as an avenue to higher returns and always spurs more volume – it is essential for IBs to educate their clients that volatility is a double-edged sword, even though most clients continue to see volatility as a vehicle to riches.

Final Word

Despite being undeveloped for generations, Latin America and Asia are two regions that are rapidly catching up to their Western counterparts. Greater internet connectivity, higher disposable incomes and a greater sense of entrepreneurship are all factors contributing to the growth of trading in Latin America and Asia.

For IBs and affiliates, these two regions offer the most spare capacity and most long-term potential compared to any other region globally.

However, several challenges must be overcome. Firstly, partners should understand that working with Latin American and Asian clients can be difficult because of cultural or economic factors – which is why partnering with an appropriate broker that has an already established market presence and a true understanding of the local culture as well as the market, is key.

Check out BDSwiss’ IB and Affiliate programs to see how they can help you to become an IB or an affiliate.