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STP Broker

Straight Through Processing (“STP”) is a unique process that enhances the speed of executing clients’ orders by bypassing the intervention of a dealing desk. Clients’ orders are automatically transmitted to liquidity providers or execution venues, ensuring efficient and timely execution. An STP Broker acts as a facilitator, not a counterparty to clients’ transactions, and earns revenue from trading volume, typically through mark-ups on spreads and/or commission charges. This approach reduces conflicts of interest, as the broker’s earnings are not directly affected by clients’ profits or losses.

Trading with an STP Broker offers full transparency and imposes no strategy restrictions. Whether clients win or lose on trades, the broker’s earnings remain consistent. However, successful trading by clients can lead to increased trading volume over time, benefiting both parties financially while maintaining transparency throughout the process.