1 post • Page 1 of 1
Today I want to discuss common brokers’ models in order to help start-up brokers to understand the main advantages and disadvantages of each model and to choose an appropriate way of starting their business. There are three main types to choose from: ECN / STP, Market Marker (MM) and a Hybrid model.
The concept of ECN means Electronic Communication Network, it is used to show that the broker is connected to electronic trading system, where competing bids and offers are sent to one pool. Under STP we understand Straight-Through-Processing model, which is used to show that the broker does not intervene ... (read more)