How does a broker earn? - Trading - CryptoTalk.Org Jump to content
Cris694

How does a broker earn?

Recommended Posts

How does a broker earn with your operations?
Many will ask this and often for many reasons such as if I enter a buy position expecting the price to go up but actually go down and I end up losing all my money, what happens to the broker? Where do you get your commission from? Well, answering these questions, I can say that they already have the profits or losses of their users foreseen, so their commissions are charged before regardless of whether the operation is won or lost and well, how is it that they charge before. What is the way to charge?
The brokers put a commission on the operation, or they can charge you through the spread, that is, the buy or sell prices that the broker manages are different from those of the market and this difference is what ends up being the broker's profit, so They generally use one of these two options, however don't be surprised if you see someone charging both.
Thanks

  • Useful or interesting 2
  • +2 5
  • +3 1
  • +4 2
  • +5 1

Share this post


Link to post
Share on other sites

In return for executing buy or sell orders, the forex brokers will charge a commission per trade or a spread, that is how forex brokers make their money.

 

A spread is a difference between the bid price and the ask price for the trade.

  • +1 3
  • +3 2

Share this post


Link to post
Share on other sites

A stockbroker has many different jobs, but the one that is best known is his activity of buying and selling financial assets, seeing different indicators of the economy, in this way entering the market and making a profit.
 

  • +1 2
  • +5 1

Share this post


Link to post
Share on other sites

Stock brokers fulfill many functions, but it is clear that many of these profits pass through the spread of their operations. It should also be noted that not all brokers have a spread rate the same as others, that is why it is always good to investigate various options to choose as more economical commissions when operating.

  • +1 1
  • +3 1
  • +4 1

Share this post


Link to post
Share on other sites

Brokers generally make money through the commissions that they charge to the clients for the trades. ... If the broker is registered and working for a company, the average salary is maintained throughout their service. Also, companies pay bonuses and other perks to their brokers.

  • +1 1
  • +2 3
  • +3 1
  • +4 1

Share this post


Link to post
Share on other sites
On 02.10.2020 at 18:09, Cris694 said:

How does a broker earn with your operations?
Many will ask this and often for many reasons such as if I enter a buy position expecting the price to go up but actually go down and I end up losing all my money, what happens to the broker? Where do you get your commission from? Well, answering these questions, I can say that they already have the profits or losses of their users foreseen, so their commissions are charged before regardless of whether the operation is won or lost and well, how is it that they charge before. What is the way to charge?
The brokers put a commission on the operation, or they can charge you through the spread, that is, the buy or sell prices that the broker manages are different from those of the market and this difference is what ends up being the broker's profit, so They generally use one of these two options, however don't be surprised if you see someone charging both.
Thanks

Understanding how brokers make their money can help you choose the right broker. Most brokers have a number of fees that they use to profit from their clients. Familiarizing yourself with these options will help you know where your money is going.

  • +2 1

Share this post


Link to post
Share on other sites

It is not too easy. Before I was thinking it will be good and easy to earn but I saw it is not like in my brain. so because of that I lost my mind. I lost too much money. maybe I'm not a good brooker.

  • +1 1
  • +2 1

Share this post


Link to post
Share on other sites

We all know that a broker is a person or a platform that buys and sells people assets, so obviously the profits come from doing those operations buying and selling with agreed commission so the more you do operations through the more profits earned.

  • +1 2

"We grow by lifting others"

Share this post


Link to post
Share on other sites
On 2/10/2020 at 19:09, Cris694 said:

¿Cómo gana un corredor con sus operaciones?
Muchos preguntarán esto y, a menudo, por muchas razones, como si entro en una posición de compra esperando que el precio suba pero en realidad baje y termino perdiendo todo mi dinero, ¿qué sucede con el corredor? ¿De dónde sacas tu comisión? Bueno, respondiendo a estas preguntas, puedo decir que ya tienen previstas las ganancias o pérdidas de sus usuarios, por lo que sus comisiones se cobran antes sin importar si la operación se gana o se pierde y bueno, cómo es que cobran antes. ¿Cuál es la forma de cobrar?
Los brokers ponen una comisión sobre la operación, o te pueden cobrar a través del spread, es decir, los precios de compra o venta que maneja el broker son diferentes a los del mercado y esta diferencia es lo que termina siendo la ganancia del broker, entonces Generalmente usan una de estas dos opciones, sin embargo, no se sorprenda si ve a alguien cobrando ambas.
Gracias

Brokers have different percentages of profits and losses, the losses and profits are measured in PIP and a PIP is the last 2 decimal places of the value of the currencies, this means that the more PIP the price of the currencies rises or falls, these will be the losses and gains. All brokers show the percentage of profit and loss before entering your buy or sell operation and it does not matter if you are trading with a currency pair or a stock, everything is measured in PIP.

  • +2 1
  • +3 1

Share this post


Link to post
Share on other sites
1 hour ago, Abdalrazig said:

We all know that a broker is a person or a platform that buys and sells people assets, so obviously the profits come from doing those operations buying and selling with agreed commission so the more you do operations through the more profits earned.

Sure basically in my point of view I think brokers makes a lot of profits through commissions they collect from traders when they carry out some operations of trading and I assume they also do carry out some heavy trades to collect more dollars from traders by manipulating the market causing many to make losses it's for this reason we must avoid using brokers that seems to manipulate trades often.

@Guru2050 @Dorjoy12

  • +1 2
  • +3 1

Share this post


Link to post
Share on other sites

Brokers profit on the bid and ask prices of currency pairs. Also, brokers often ask a fee for each transaction, and before trading, the broker will ask clients to deposit funds into their accounts to start trading with real money.

  • Useful or interesting 1
  • +2 1

Share this post


Link to post
Share on other sites

Brokers can make money in a number of ways.
The main one is on the spread or the transaction fees sometimes both.
The second is on the introduction of new assets.
The third is with the money in their homes that they try to make grow.
And the last is sometimes on deposits and often on withdrawals.
These are the main sources of income for brokers.

  • +1 1

Share this post


Link to post
Share on other sites

Well explained! Brokers are earning money by collecting trading fees from their users, they also have differences in currencies so that they can make profit as well. Some brokers can also attract you by higher payouts in different methods of trading which they know it's hard to win! They'll just get your money easily, so everyone should be careful in choosing a broker. 

  • +1 1
  • +3 1

Time is the ultimate weapon!

Share this post


Link to post
Share on other sites
16 hours ago, George10 said:

Sure basically in my point of view I think brokers makes a lot of profits through commissions they collect from traders when they carry out some operations of trading and I assume they also do carry out some heavy trades to collect more dollars from traders by manipulating the market causing many to make losses it's for this reason we must avoid using brokers that seems to manipulate trades often.

@Guru2050 @Dorjoy12

@George10 yah you are right that broker is a person who make a discussion Between buyer and seller while he set up his Commission too.. So whenever broker set up a transaction Between buyer and seller he get enough profit..  If he can do much transaction Between buyer and seller then he will get much Commission.. Again ofcourse we need to choice real broker to do safe transaction..                    

  • +3 1

Share this post


Link to post
Share on other sites

All brokers buy and sell at prices that differ from the market prices in order to be able to profit from the buying and selling process, in addition to that they take a percentage on each exchange they perform.

  • +2 2
  • +5 1

Share this post


Link to post
Share on other sites

A broker is one that provides a platform for a trader to trade and make money,

The broker makes money for every trade the dealer makes.

The trader earns / loses money based on his skills while the broker earns on every trade that the trader makes regardless of his / her gains / losses.

Just as the player gets rewards based on his / her wins / losses in matches, while the referee gets paid for every match regardless of the loss or wins by the players.
I thank you

  • +3 1

Share this post


Link to post
Share on other sites

The broker on our behalf wins through the fees for filling out your account on the platform, for example, or by withdrawing an amount from a platform or from a specific site, he also profits from this work as rent for his work, and also by securing a Visa card, WebMoney, or Skrill, all of this has prices for him.

Share this post


Link to post
Share on other sites

Well, the brokers of this time are the banks, and with the advent of blockchain technology and bitcoin, the broker has become the node for which you pay a low fee without the node having your money as banks or human intermediaries do, so we will see a promising future for Crypto in the coming years.

  • +1 1
  • +3 2
  • +4 1

Share this post


Link to post
Share on other sites

A broker is someone who executes clients' orders and acts as a middleman, and clients pay the broker for his services in the form of commission.
 The broker is a link between you and the market in order to find a buyer or seller of currencies, you can go to one of the trading brokers to coordinate between you and one of the concerned sellers or buyers.  From here, the broker gets his profits, regardless of whether you are a winner or a loser

  • +1 2

Share this post


Link to post
Share on other sites

There is a way brokers earn their money and make their gain, different brokers have their different ways at which they earn profitably eithed through leverage or spread , they make their percentage share either through profits or losses of traders. The more the trader takes profits, the  higher the earnings brokers gain.

  • +3 1

Share this post


Link to post
Share on other sites

What I noticed that the broker collects his commission before completing the purchase or sale process is that he gets a percentage of the value of the transaction and it does not matter if you win or lose in any case, the mediator will win

Share this post


Link to post
Share on other sites
On 10/3/2020 at 5:09 AM, Cris694 said:

How does a broker earn with your operations?
Many will ask this and often for many reasons such as if I enter a buy position expecting the price to go up but actually go down and I end up losing all my money, what happens to the broker? Where do you get your commission from? Well, answering these questions, I can say that they already have the profits or losses of their users foreseen, so their commissions are charged before regardless of whether the operation is won or lost and well, how is it that they charge before. What is the way to charge?
The brokers put a commission on the operation, or they can charge you through the spread, that is, the buy or sell prices that the broker manages are different from those of the market and this difference is what ends up being the broker's profit, so They generally use one of these two options, however don't be surprised if you see someone charging both.
Thanks

Basically brokers earn from Commission.  They make their percentage from traders.  Sometimes they buy products and sell to others. From the difference  of buying and  selling price, he earn money. 

Share this post


Link to post
Share on other sites

Yes, the broker makes its profits from the spread and from the commissions it imposes on transactions.
And sometimes swap trades on Overnight.
The spread is in points, but imagine a person entering a deal with $ 100,000, so each pip is $ 10, if the spread is 2-3 points, the broker wins $ 20-30, now imagine a $ 10 million deal.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Recently Browsing   0 members

    No registered users viewing this page.

  • Topics

  • Сообщения

    • Nvidia показывает колоссальный рост Nvidia обогнала Apple, достигнув капитализации в $3 трлн и став первой микрочиповой компанией таких масштабов. Ценные бумаги Nvidia поднялись на 147% с января этого года. Коины AI на фоне общего роста также выросли, и их суммарная стоимость пересекла отметку в $40 млрд долларов США, что говорит об интересе инвесторов к технологиям AI. Рост Nvidia связан с высоким спросом на ИИ-технологии. В первом квартале 2024 года доход компании составил $26,04 млрд, а чистая прибыль выросла до $14,88 млрд. Успехи Nvidia также способствуют росту ИИ-токенов, таких как Injective, Bittensor и Render, несмотря на коррекцию цен.
    • Друзья, наши курс на данный момент: USDT – RUB – 85.8 (Не забывайте, что курсы нестабильны, точные данные можете узнать в моменте у поддержки)
    • Добрый день всем нынешним и будущим клиентам 😊 Курс по направлению: BTC – RUB – 5 987 035 Обменник работает в ручном режиме, 24/7. Подробности уточняйте у операторов.
    • ♦️Аналитики криптобиржи Bitfinex прогнозируют, что текущий цикл бычьего рынка биткоина может достичь своего пика в IV квартале 2024 года. Со ссылкой на исторические данные они отметили, что BTC обновляет исторический максимум спустя несколько месяцев после халвинга. Четвертый халвинг в сети Bitcoin состоялся 20 апреля. Событие, происходящее раз в четыре года, урезало награду за добычу блоков вдвое: до 3,125 монет. 🔺По словам экспертов, пика стоимости актив достигает в условиях, когда показатель отношения рыночной стоимости к реализованной стоимости (MVRV) превышает отметку 3,2. В настоящий момент показатель находится на отметке 2,56, что указывает на значительную нереализованную прибыль. источник:https://ru.investing.com/news/cryptocurrency-news/article-2431810 ——————————————————— ОБМЕНЯТЬ  / ПОМОЩЬ  / БОНУСЫ  / ОТЗЫВЫ
    • FOXbtc - это надежный и удобный обменник криптовалют, который предлагает широкий спектр услуг для обмена криптовалют и наличных. У нас вы можете быстро и безопасно обменивать Bitcoin, Ethereum, Litecoin и другие популярные криптовалюты. Мы гарантируем высокий уровень безопасности и конфиденциальности ваших сделок. Кроме того, наш обменник работает круглосуточно, что позволяет вам обменивать криптовалюты в любое удобное для вас время. Присоединяйтесь к Foxbtc.pro уже сегодня и начните обменивать криптовалюты легко и удобно!" Контакты: E-mail - FOXbtc_pro@protonmail.com TG - @FOXbtc_pro
    • 🚀 Get ready! An exciting Nexade Airdrop is here! 🎉  With our $10,000 Airdrop campaign here's your chance to grab a share of $10,000 worth of tokens!  🌐 https://t.me/Nexade_AirdropBot   Airdrop Tasks: 1️⃣ Join our Telegram group 2️⃣ Follow Nexade on X, Like + RT + tag 3 friends in the pinned tweet 3️⃣ Submit your ARB wallet address to claim your tokens   🤖 Airdrop bot link: https://t.me/Nexade_AirdropBot ✍️ Airdrop rules:     🗓 End Date: June 18, 2024   💰Rewards: 💵 Reward per participant: $10 worth of $NEXD tokens (750 lucky winners) 👥 Referral Reward: $20 worth of $NEXD tokens (125 top referrals)   Turn those notifications on to stay updated 😉
    • Кто превзошел биткоин?         Всего 23 токена из топ-100 превзошли биткоин по годовому росту, — отмечает команда WuBlockchain. Как видим, основное количество токенов, превзошедших BTC, относятся к отрасли Memecoins или AI-tokens. Данная таблица в который раз подтверждает, что наиболее прибыльными сейчас являются именно эти два направления    
    • Биткойн-активы американских Bitcoin ETF Обменять биткоин, а так же другие криптовалюты Вы можете в нашем обменнике cryptonet.pro
    • ТОП-7 разлоков предстоящей недели.CryptoRank поделился крупнейшими разлоками токенов предстоящей недели        APT — $92.88 млн;ARB — $90.01 млн;UNI — $83.29 млн;STRK — $72.4 млн;SEI — $62.63 млн;IMX — $51.28 млн;ICP — $35.65 млн.   Довольно много весомых разлоков топовых монет, поэтому рекомендую следить за ценой APT, ARB и STRK в отмеченные дни.
    • Premier.Cash - это: выгодные курсы обмена круглосуточная работа сервиса никаких скрытых комиссий профессиональная поддержка в онлайн - чате,что дает быстрое решение Вашего вопроса. гибкие условия для постоянных клиентов постоянное пополнение резерва обмен в ручном режиме для Вашей безопасности   Направления обмена: Более 30 направлений, включая: BTC, ETH, USDT, USDC, BNB, XRP, DOGE, SOL, TON, ETC и другие Боее 20 вариантов выплат, включая: Сбер RUB, СБП RUB, T - Bank RUB, WeChat , AliPay , Наличные RUB USD GEL   Будьте внимательны! Все обмену проводятся только на нашем сайте. Наши операторы проконсультируют и помогут Вам в круглосуточном режиме.   С актуальными направлениями и курсами Вы можете ознакомится на сайте. Premier.Cash - только выгодный обмен!   Контакты: Сайт: Premier.Cash Telegram: @PremierCash (https://t.me/PremierCash) Почта: info@premier.cash
×
×
  • Create New...