Did you know that trading isn’t the only way to make money off Forex? That’s right, there are several channels of benefit from foreign exchange, and many of them are not even in the financial field. Keep reading if you want to find out more, because today we discuss Forex partnership programs and all the ways to benefit from them.
What Are Forex Partnership Programs
The partnership between a trader and their broker is the foundation of trading. However, what we barely consider is how does the trader find the right service provider? There are several solutions.
Some traders take the first choice on the least after googling ‘online Forex broker’ or ‘the best online Forex broker’. Others dig a little deeper, ask around, and compose comparison charts to make the correct selection. While another category of traders come across trading related advertising and info services and only then consider entering the currency exchange scene.
The majority of currency trading promotion is the work of various Forex affiliate networks. Just as traders need to find someone who will guide them through the chaotic world of currency trading, Forex brokers are looking to build strong, reliable client bases. And the so-called partners in Forex trading are the ones who help them connect.
There are several ways to engage in some type of a Forex partnership program, which we will discuss in a moment. But first, let’s establish how do the Forex partnership programs work and why exactly do they exist.
How Does a Forex Partnership Program Work
Imagine visiting Istanbul’s Grand Bazaar, one of the largest and oldest markets in the world, for the first time. There are thousands of merchants trying to sell you anything from apples to diamond jewelry. But you came with a task in mind: to get an authentic Turkish coffee pot from the store owned by a man named Omer.
Now you may look for the right shop for days and never find it. Or you can be approached by several people offering to take you to different stores, and one of them suggests to guide you to Omer’s spot. Much easier, right? That’s pretty much exactly what the partners in Forex trading are for.
The brokers hire various partners to expand their client network and to simplify the selection process for the potential traders. And the partners who engage in these Forex affiliate networks get a commission for every new client they bring. On paper it’s more than win-win, it’s a win-win-win since the broker gets a new client, the trader finds a reliable service provider, and the promoting partner accesses the earnings on an affiliate program for Forex.
This way, a Forex partnership program is a great solution for anyone who would like to make money off Forex without actually trading, But just as with the broker selection, there are multiple things to consider before you settle to become one of the partners in Forex trading. You can start the research by discovering the different types of partnership programs currently available across the market.
Different Kinds of Forex Partnership Programs
Fairly speaking, there are unlimited ways to earn from Forex without trading. This includes all the service providers who cater to Forex brokers, such as designers, web-developers, software engineers, and even real estate owners who rent out offices to the brokerage firms. But today we are discussing the more specific way: earnings on an affiliate program for Forex.
In the modern broker system, there are two major types of Forex partnership programs: referrals and affiliates. Below you’ll find the brief summaries of each approach as well as some tips on how to make a profit from them.
Forex referral is the least effort-consuming and the most straightforward approach among the Forex affiliate networks. As partially clear from the name, the referring partners earn a commission from introducing the new clients to a broker or a platform by simply inviting them. Usually, the referral is processed through a unique-link which lets the brokers know where each new lead comes from.
The referring partners in Forex trading make a profit based on the number of registrations and sometimes are also entitled to a certain percentage of the new trader’s first deposit. Now, in order to refer someone to the service or a broker, you will most likely have to be an active or former client yourself. So, while referring is technically a way to earn off Forex without trading, the people entitled to it are usually traders.
On top of that, the referrals within your personal network won’t always generate a great number of leads. As a general rule of thumb, to benefit from referring new users in full strengths, the partner has to build up some sort of audience from people who trust his judgment and expertise.
In a lot of cases, the experienced traders who chose to share their insights on social media or via a blog will also partake in referral Forex partnership programs. To maintain the company’s image and help the referring partners through the process, a lot of reputable brokers provide convenient marketing tool sets that include logos, banners, fonts, and even content. This way, the job of the referring partner is to persuade and forward the clients to the broker.
Although the affiliate Forex partnership program operates in a very similar way to the referring, it benefits another category of Forex experts. For example, the third-party companies that already have a stable source of income through the currency trading community, such as analysts, signal providers, educational platforms, trading influencers, and so on.
Same as the referring partners, affiliates get the necessary tools and support to make the promotion nearly effortless. However, depending on the broker, the compensation of the affiliates will be different. Instead of the commission percentage, they are compensated through flat rates and bonuses.
Once again, you can take full advantage of the affiliate Forex partnership programs only if you already have a strong presence as a currency trading expert. However, if you don’t, you can always start your own platform through a website, a podcast, or a YouTube channel. This way you can be a sort of a reporting trader at first, and then expand your team and become an affiliate.
How to Choose the Best Forex Partnership Program
Thinking that you have all that it takes to make money from Forex partnership programs? You are probably right. Just keep in mind that any additional work requires at least a minimum effort to be profitable. Of course, a partnership with a broker most likely won’t turn into a full job, but be prepared to invest an hour or two every day to keep the income sources streaming.
The good news is that you can often combine trading and promoting. For example, you can develop your own trading strategy and showcase it in action by either live trading or in the demo mode. As your followers learn from you, they might ask which broker you are dealing with and that’s a perfect opportunity to use your referral link. Or you can directly talk about your service provider without waiting for the question.
So, how do you find the best Forex partnership program that will work for you? Here are three helpful choice criteria:
Expertise requirement. A reputation of an expert is nearly a must for most Forex partnership programs. Even with the simple referral, people will most likely follow in your steps after they made sure you know what you are talking about. Simple as that: if your teeth hurt you go to a dentist, and if you want to trade you seek the advice of a trading pro.
Technicalities. Online trading is highly technical, and so is its promotion. You might need to have at least a basic understanding of marketing practices to effectively spread out the word. Because in order to make a profit, you want to make sure that you are reaching the right people, the ones that will take Forex seriously.
Time and effort consumption. As previously mentioned, any Forex partnership program isn’t a full-time job, but it will require a solid portion of your time and energy. Make sure you correctly evaluate the amount of time you have on your hands and choose a partnership based on it.
Compensation. For the most part, the earnings on an affiliate program for Forex are worth the effort. But you should definitely read through the size and conditions of your compensation very carefully. The common practice for the majority of brokers is a fixed fee for every qualified client and in some cases a percentage of their first deposit.
Broker’s support. Last but not least, the broker you choose to work with has to be both trustworthy and involved. In the best-case scenario, you should be able to get a hold of the broker’s representative at any point during market hours. The constant support from the broker will come in handy both in assisting your potential referrals and getting the money you rightfully earned through the Forex partnership program.
Finding the Right Partners in Forex Trading
The success of your work in the Forex affiliate networks greatly depends on the quality of the broker you choose to represent. So, it makes perfect sense to pay an extra bit of attention to the company you are planning to partner with.
In many cases, the traders who are looking to engage in any of the Forex partnership programs already have a broker they are dealing with. In this scenario, all you need to do is to reach out to your account manager or to anyone on the broker’s partnership department team to find out more about the affiliate opportunities.
But if you are only starting your Forex journey and haven’t started trading yet, finding the right broker will be a little more challenging. Due to the number of factors to consider in the process, the selection can take a notable portion of your time. However, as long as you know what you are looking for and don’t disregard the small details along the way, you’ll have a better chance of getting to your destination sooner.
When you consider the partners in Forex trading, a large contributing factor is the amount of information the broker is willing to provide to their clients, as well as to their affiliates. Currency trading requires visible levels of knowledge and expertise, and the brokers who have been around for a while understand that well. As a result, they will make sure that everyone within their network is always getting the top tools and the most recent data.
Then, the broker should also offer a wide range of services in order to meet the needs of all types of traders. Starting from a variety of account options to tailored support services, a modern broker has to be well-equipped. The resourcefulness also matters to the partners, since they know that the broker they work so hard to introduce is delivering the top-notch service.
Finally, there is the technological side of the trading process, also known as the trading terminal. Luckily, the market of Forex platforms has several highly distinctive leaders, which means your search in this area will be simple.
MT4 for Forex Partnership Programs
Metatrader 4 is a big helper to many partners in Forex trading because it’s a great sell point. MT4 is both technologically advanced and simple to use. Even without any previous experience, you can easily navigate inside the terminal after just a few minutes of getting-used-to.
Plus, a lot of established brokers happily cover the license charges for the platform and provide access to it for free. This means you and the traders you invite through the Forex partnership programs will have the full benefit capacity of the most sophisticated trading platform out there.
Get your copy of the MT4 user manual to see just how effortless you can trade with the right tools on your hands. And once you are ready, go ahead and download the platform for free to start trading yourself and promoting trading to others.
Potential Earnings on an Affiliate Program for Forex
Just before we wrap up, it would be fair to quickly discuss the possible earnings on an affiliate program for Forex. And there is some good news for you here because the amount you make on currency trading is never limited. In other words, you can make as much as you want, provided you invest appropriate time and effort into the process.
Forex trading itself is a great source of income, but becoming one of the partners in Forex trading can take it to a whole other level. There are just a few things to keep in mind as you consider participating in one of the partnership programs:
Choose a suitable payment method. In general, most current payment methods offered by popular brokers are fast and secure. However, some withdrawing channels, for example, debit and credit cards, are slightly more challenging to deal with. So, make sure to become familiar with the specifics of each trading method before settling on one.
Read the fine print. This cannot be stressed enough — always make sure you fully understand and accept the terms and conditions suggested by the broker. While a lot of brokerage companies out there genuinely appreciate the support of their Forex affiliate networks, others are always looking for new ways to scam their users. That’s why it will never hurt to keep asking questions to get your every question answered.
Don’t bite off more than you can chew. If you are combining trading with any Forex partnership program, your main task is to prioritize effective time management. Yes, the income from affiliate programs is more than pleasant, but in order to remain predictive and make the right trading decision, you should do everything in your power to reduce stress and get enough rest.