Business Model

True ECN Model

All accounts at FXOpen UK are ECN or STP accounts and use the ECN model. The ECN model gives traders access to the Interbank market where the counterparty to your trade is a liquidity provider such as a bank or fund, or another trader. There is no intervention from FXOpen, no dealing desk and no requotes.

The FXOpen ECN is built using unique technology specifically developed for Forex margin trading. Participants using the ECN include banks, centralized exchanges, large companies offering their services in the OTC FOREX Market and private investors. FXOpen gives its clients access to institutional liquidity and instantaneous error-free order execution.

ECN trading is suitable for all types of trading due to its fast execution and deep liquidity and is especially useful for scalping, high frequency and automated trading. The ECN Model uses Market Execution, which means that your order will be filled in the interbank market but the execution price may differ from the price you requested upon placing the order.

All participants of the ECN have equal rights when it comes to order execution and regardless of their capital, may act as both liquidity providers and liquidity receivers. This ensures that all transactions take place in a completely fair and transparent environment.

This business model, combined with the unique technology behind the FXOpen ECN, provides our clients with aggregated liquidity from multiple participants in the FOREX market. This allows FXOpen’s clients to easily and instantaneously execute large volume orders in a very tight spread and highly liquid environment.

 

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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.