What does IB mean?

IB has many meanings. Do you want to know the following one?

An introducing broker (IB) can be either an institution or an individual, but it generally exists in the form of an institution. . It can develop customers or accept futures option instructions, but it cannot accept customer funds and must settle through an FCM (futures commission merchant, similar to a futures brokerage company). IB is divided into independent IB (IIB) and IB guaranteed by FCM (GIB). IIBs must maintain minimum capital requirements and keep books and transaction records. GIB signed a guarantee agreement with FCM to waive statutory requirements on IB's capital and records. The branches and business outlets of futures brokerage companies in other places are quite similar to GIB. In FCM's business structure, the customer volume and trading volume of many IBs are much larger than those directly developed by FCM. The introduction of IBs has greatly promoted the development of the U.S. futures industry.

Brokerage IB (Introducing Broker) system: refers to a brokerage acting as an introducing broker or futures trading assistant for a futures company. The futures trading auxiliary business includes soliciting customers, acting as an agent for futures merchants to accept customer account openings, and accepting orders from customers. And delivered to futures merchants for execution, etc. Generally speaking, the IB system of securities companies is a model in which securities companies introduce customers to futures companies, and the futures companies pay a certain commission to the securities companies.