[Gorncapt]

I've been encouraging my friends who are newer traders to use a real legit IB for their first brokers. There are a few ..VERY few who take their business and client satisfaction seriously enough to provide real help in the face of dirty broker tricks. IBs now are getting more sophisticated with marketing too. It's no longer just enough to offer the protections and improved spreads by being part of the IBs group. Offering a client part of the rebate given to them is a now a standard practice. A new on-line friend is very involved in finding an EA that will be consistent.and she has located an IB for one broker we are both considering who offers free use of a well known EA with an account. This EA is available separately, for about $259 plus $59 US to use monthly. So my Spidey sense goes off right away.....makes me wonder how is all this intertwined??

It's been surmised (under good authority) that since the marketing firm behind Forex Killer and MANY other new-forex-software-of-the-month programs seems to always recommend a particular broker..that this broker is owned or at least in business somehow this marketing group. That means many of the newbies jumping into forex automatically set up with this firm...which is simply a white -label for FXDD. Pretty smart work by the marketers...First you pay them for the software. Second, you open an account with the "recommended" broker and they get a payment for that as well as the rebates on all the trades made by you. NOW add to that the fact that they charge an extra pip at this broker over the spreads at the parent broker--(something new traders may be totally unaware of)-KA_CHING!!

So...when I see this IB offering access to this seemingly successful, expensive EA as an incentive....just makes me wonder.. Does the EA make frequent trades which means frequent rebates for the broker?? Are the EA maker and the broker that same person/entity..?

I'm not saying any of this is necessarily wrong on their part..(its pretty clever maneuvering and marketing)...and, if it works out and you are profitable..OK. I'm just saying.....beware and be a smart consumer. You might be be overpaying for things or getting stuck in a situation padding someone's wallet with money you could easily be keeping.

If you are thinking of using an IB --call them --see the kind of response you get and find all the conditions you need to meet (account size..monthly trade requirements etc.) their criteria for receiving the benefits they advertise. Also --don't be shy to ask for more..if they have something else to give..they might----

just my 2 pips------

Gorncapt