To be a successful broker means juggling numerous tasks simultaneously. A significant one is exposure.
At TFB, we offer a range of solutions for exposure management, and we thought it was time to bring them all together and tell you more about each of the tools.
Volume Consolidation
Volume consolidation helps reduce your exposure across multiple liquidity providers by addressing the limitations of Best Price Aggregation.
The feature automatically consolidates all open positions across all liquidity providers at the end of each trading day. As a result, brokers:
- Manage out-of-control swap costs and risks more effectively.
- Save hours of manual work every week and prevent human errors.
Volume Transfer
Leading brokers rely on Volume Transfer to balance exposure across multiple liquidity providers and manage their clients and open positions more effectively.
If you’re still logging into each of the LP coverage accounts or web portals individually to adjust open positions and control your exposure, the Volume Transfer tool can save you a lot of time and minimise the risks associated with human factors.
Volume Converter
Last but not least, the feature that is very popular among market leaders, especially in the MENA region, Volume Converter, is designed for brokers who want to extend their offer with fractional instruments and hedge them with liquidity providers even if they don’t typically support such lot sizes.
Example: Your liquidity provider offers gold with a minimum lot size of 1.00 (100 ounces), while using the Volume Converter feature by TFB, you can offer mini and micro lot instruments:
• mini lot – 0.1 lots (10 ounces)
• micro lot – 0.01 lots (1 ounce)
• XAUUSD in grams (0.035274 ounces)
In the same way, you can convert any standard instrument into a fractional one measured in cents, grams, etc.
Final thoughts on exposure management
Dealing with volumes and managing exposure is a crucial component of a broker’s success puzzle.
There are universal principles and rules to avoid the most common risks and maximise profits. Still, each brokerage needs to create a tailored plan of action and a system in place that’s both solid and flexible to overcome all the daily issues and unforeseen challenges that the industry is notorious for.
More often than not, having small tools in place and targeting particular tasks and risks puts the broker at the top of their game. Whether it’s Volume Consolidation that streamlines exposure control, Volume Transfer that saves time and reduces manual errors, or Volume Converter that empowers brokers to offer new formats of instruments—their fractional alternatives—to expand the product range, each solution helps brokers operate more confidently and stay resilient, even when market conditions and user preferences change.
If you’re curious to learn more about the solutions we discussed today, or have any other questions, please email us at sales@t4b.com.
