Is MetaTrader 4 (MT4) a Forex Broker?

Those who are new to the world of online forex & CFD trading often come to us with the following question: is MT4 a forex broker? Even if you have only traded forex & CFDs for a short period of time, most likely you’ve come across the term MT4 before. With so many acronyms and jargon in the online forex trading industry, it’s normal to be overwhelmed with new terminology like MT4, MT5, or Expert Advisor.

The short answer to this question is no, MetaTrader 4 is not a forex broker. Often abbreviated as MT4, MetaTrader 4 is a software platform that is used by investors to trade forex & CFDs. To help new traders understand why MT4 is not a forex broker, we’ll explain how forex brokers use technology like MT4 to run their brokerages.

Why Is MT4 (MetaTrader 4) Not a Forex Broker?

MT4 is the trading technology that forex brokers offer to their clients for the purposes of trading. The ability to launch a forex broker cost effectively using what is referred to as a white label technology is the main reason MT4 grew in popularity.

Since we are on the subject of new terminology, you may ask, what is a white label? In simple terms, it’s a fully customized and branded version of the MT4 software. The key difference between technology like MT4 and a brokerage is that forex brokers use MT4 in order to launch their FX businesses. It’s worth repeating that MT4 is not a broker, rather a tool used by brokers to offer forex trading to their base of clients.

The MT4 White Label Process

How do new forex brokers take advantage of MT4’s white label technology? In order to use MT4, a new broker must first apply for a white label, a service that our team can also provide assistance with. Upon approval, the broker then provides MetaQuotes with their logo and company details. The end result is a fully branded version of MT4 software that reflects the broker’s logo and company name. This is what is known as a white label. If you’ve ever traded on an MT4 live or demo account, then you’ve already used a forex broker’s white label technology.

Forex Trading Technology is Not Limited to MT4 or MT5

It’s important to emphasize that MT4 and its counterpart MT5 are not the only trading technologies available in the marketplace. There are several alternatives to MT4/MT5 that are more cost effective yet offer the same advantages as MetaTrader. Furthermore, many of the alternatives to MetaTrader are easier to operate from a technical standpoint and offer more flexibility. If you are currently looking for a white label provider, our team of consultants can help you to explore some of these alternatives in more detail.

Forex Consulting – Forex Trading Technology Consultation & Expertise

Our many years of experience in the realm of online forex & CFD trading make the Forex Consulting team an ideal partner to assist your new broker in selecting a forex white label provider. Whether you wish to explore MT4/MT5 or consider an alternative trading platform, we are happy able to guide you along each step of the way.

How Can Forex Brokers Generate New Leads, Traffic, and Increase Marketing Presence? – An Analysis of Forex Broker Marketing Challenges

We are often approached by new forex brokers seeking guidance as it relates to marketing and client acquisition. This happens to be a common problem that newly established forex brokers face: once the broker has successfully activated an MT4/MT5 white label, built their website, and made all the necessary preparations required to launch the business, the broker finds itself struggling to gain the attention of new traders.

Forex Broker Marketing Consulting 101: There is More Than Adwords

Marketing for new brokers and white labels can be intimidating at first glance. As an example, consider Google Adwords. This space is dominated by some of the largest players in the industry, where the costs of forex related terms can approach astronomical levels that simply aren’t realistic for a new brokerage. In fact, new FX brokers can easily see marketing dollars vanish with little or nothing to show for, especially when a click (known as an impression in marketing lingo) only guarantees a quick glance at the broker’s website.

The takeaway is that there are other approaches to marketing in the FX space besides relying on Google Adwords. Although this fact may appear obvious, many new forex brokers simply don’t realize the variety of marketing tools they have at their disposal. Furthermore, those who may be aware of their options may not understand how best to utilize them.

How Can Forex Brokers Best Take Advantage of Social Media Marketing?

Facebook and Instagram are two alternatives to consider that don’t have the high barriers to entry that Adwords presents. Due its massive user base and targeting capabilities, it’s safe to say that most forex traders have either a Facebook or Instagram account, and in some cases both.

The beauty of Facebook when compared to Google Adwords is that it’s much easier to target and market to very specific niches, forex trading being one of them. There is one catch worth considering, namely that Facebook has become stricter about the types of services approved for marketing, meaning that expertise is required to ensure that an ad account is not only approved but maintained over time.

There are also other social media platforms that brokers can experiment with. LinkedIn, for example, is an excellent way to target institutional traders and businesses. FX brokers shouldn’t ignore YouTube either. It will require more effort to build a YouTube channel but can also be a successful tool with the proper investment of time and resources. Finally, a positive Twitter following may also be useful if the broker intends on promoting services like education and trading tips.

Introducing Broker (IB) Relationships are an Excellent Complement to a Forex Broker’s Marketing Programme

New forex brokers often fail to consider the fact that marketing doesn’t have to be limited to an organic, in house campaign. Nearly all successful FX brokers have a very strong referral agent / Introducing Broker network. If your broker doesn’t offer an affiliate / IB program then you are missing out on untapped revenue potential.

Similar to an organic marketing campaign, it requires time to build a network of IBs and affiliates, so don’t expect to see results overnight. Nevertheless, it’s a goal that brokers can work towards as a referral network is an excellent complement to a forex broker’s in house marketing campaign.

Forex Lead Generation & Marketing Consulting

If your new FX broker doesn’t wish to invest the time and resources into an organic marketing campaign, or if you are open to exploring a service that can fill in the gap while you develop your own custom branding, we remain at your disposal. Our Forex Consulting team offers lead generation, traffic, and general marketing consultation services to forex brokers of all shapes and sizes.

We have extensive industry experience and can accommodate nearly all regions and language needs.

To explore our services in more detail, don’t hesitate to contact us today!