Introduction -Why Becoming a Forex Affiliate?
The Foreign Exchange market is a huge financial market with 5 trillion USD daily volumes and millions of active traders. The great advantage of trading currencies is the tiny transaction cost that is measured even less than 1.0 pip (where 1.0 pip equals 0.0001 of the price). The ability to trade heavily by paying a tiny cost explains the opportunistic behavior of most Forex traders. There are tens of millions of active Forex traders worldwide, and that number keeps growing. In such a dynamic environment, competition among Forex brokers is very intense, and that leads to generous marketing programs.
Making Money without Risk
Forex traders can make a lot of money, but based on statistics, most of them are losing. That means that in order to make money as a trader you must accept a great number of risks such as market risks, liquidity risks, etc. On the other hand, Forex affiliates can make money without risking their funds.
What are Forex Affiliate Programs?
In general, an affiliate program refers to a marketing program that rewards individuals for referring clients to certain businesses. These rewards involve three (3) major categories of financial incentives:
(i) Cost Per Action {CPA →One-time payment that requires a client registration and usually the first deposit}
(ii) Revenue Share {Paying commissions based on referred clients trading volumes, commissions measured in pips or in lots}
(iii) Hybrid Method {Combines (i) and (ii) methods}
There are additional affiliate methods on the internet, such as the PPC (pay-per-click) or the PPL (pay-per-lead), but Forex brokers do not offer these methods. Forex brokers offer CPA, Revenue Share, and Hybrid programs.
CPA vs Forex Revenue-Share -Which is the Best Choice for Forex Affiliates?
