Brokers
Liquidity providers by Regions:
1. Exchange-linked liquidity providers: These providers are connected to one or more exchanges and provide liquidity to traders on those exchanges.
2. Tier 1 foreign liquidity providers: These providers are regulated by the government and provide liquidity to domestic and foreign broker-dealers.
3. Regional liquidity providers: These providers provide liquidity to traders in specific geographic regions.
4. Central liquidity providers: These providers are regulated by the government and provide liquidity to the entire forex market.
Corporate segment corporate brokers provide liquidity for their own account and for the accounts of their clients. Retail segment Most forex brokers are classified as retail forex brokers, meaning they are not affiliated with an institutional investor or financial institution. They are usually small businesses that provide services to individual traders. These brokers typically charge a commission to open and trade an account, and some may also offer bonuses and other special offers. Brokers who provide liquidity to the forex market are usually regulated by the government. There are three types of liquidity providers: corporate, retail, and market.
Corporate liquidity providers are regulated by the government and provide liquidity to the entire forex market.
Retail liquidity providers are usually small businesses that provide services to individual traders. They usually charge a commission to open and trade an account, and some may also offer bonuses and other special offers.
Market liquidity providers are unregulated and provide liquidity to the market for a fee.
Brokers that are regulated by the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC) offer more security for investors. They must adhere to strict rules and regulations to ensure the reliability and safety of their products. Liquidity providers are typically smaller, less-known brokers.