The B Trader Utility Instrument As can be seen above a surprising loss of USD occurred among all clients in one trading day. The BBook broker would transform these virtual client trades where a market trade never occurs in the first place into the brokers utility itself. used to pay for more advertising selling the concept of easy money to unsuspecting investors. This is precisely why investors have such high visibility on the Internet due to extensive advertising use of BBook models while professional ECN brokers have a relatively small Internet presence and advertise their offers with reasonable budgets. The high competition in advertising spaces caused brokers marketing costs to skyrocket and generally.
It is the case that only BBook brokers market makers who essentially use the clients money to pay for advertising can the luxury of paying ATB Directory such a high cost. Scary Consequences of BBook Business Models The most common and gray techniques used by BBook brokers are presented within the same platform they use. Brokers have the technical means to force execution delays messing up clients accounts when traders might need to exit the market on large price swings. They can and often do ignore stoploss.
Requests execute orders at lower prices take clients money from positive slippages artificially inflate spreads and use other complex tools to ensure the brokers profitability. These systems are not designed to provide honest broker services and do not aim for longterm consumer satisfaction. All they aim to do is maximize the clients loss to maximize the brokers profit or profit. Worst of All This Could Be Legal Even for Regulated Brokers Funny enough most of the manipulative techniques under discussion weve seen could be perfectly legal even for regulated brokers registered and operating in formal jurisdictions.