Global Broker Regulation Inquiry App

About WikiFX

Broker Search

English

简体中文

繁體中文

English

Pусский

日本語

ภาษาไทย

Tiếng Việt

Bahasa Indonesia

Español

हिन्दी

Filippiiniläinen

Français

Deutsch

Português

Türkçe

한국어

العربية

اردو

Download

WikiFX Express

When Should You Buy or Sell In The Forex Market?

A-book Forex Brokers vs B-book Forex Brokers

WikiFX

| 2022-11-03

Abstract： In the forex world, you may see some brokers called "A-book" and others called "B-book" brokers. In this article, we will analyze what these two types of brokers are and what the differences look like.

About A-book and B-book

To understand what A-book and B-book brokers are, we must first understand A-book and B-book. A-book and B-book refer to the way that brokers distinguish and separate their clients based on the degree of risk associated with each clients order. There is no exclusive A-book forex brokerage or B-book forex brokerage.

About A-book forex brokers and B-book forex brokers

These are the forex brokers that routinely pass on their clients‘ orders for fulfillment in the interbank market or other external execution venues. They could sum up the traditional definition of a brokerage: they source the liquidity for their clients’ orders and pass these orders on for other entities to fulfill. They act like facilitators of these transactions. The closest brokerage model to the A-book forex brokerage model is the STP brokers. However, this is not to say that market makers do not routinely carry out A-book order fulfilments.

Now, what about the B-book forex brokers？ As you may have guessed, the market makers always have the B-book system in operation. Remember the 95% of traders who are not usually profitable as forex traders？ Well, these are the traders lumped into the B-book liquidity bucket for in-house order fulfillment by the brokers dealing desk. The B-book forex brokers routinely use their in-house dealing desks to fulfill such orders, usually by taking a counterparty position to the trades of these clients.

Difference between the two

The difference between the A-book and B-book forex brokerage model is pretty simple. The A-book utilizes interbank market executions for clients orders, while the B-book process leads to internal order fulfillment without the usage of the interbank market.

A-book: You are trading with the banks and you have various options at transparent pricing. The broker provides the software and access to the interbank market.

B-book: You are trading with the supposed facilitator.

Disclaimer:

The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.

Forex Analysis knowledge

When Should You Buy or Sell In The Forex Market?

UK Retail Sales July 2026 Fall 0.5%: What the Result Means for GBP

UK retail sales fell 0.5% in July 2026, while the three-month measure rose 1.1%. See the ONS details and what the mixed result may mean for GBP.

Original In a week

Pakistan Forex Reserves Reach $22.5 Billion: Why a Stable USD/PKR Snapshot is Not Yet a Trend

Pakistan forex reserves stood at $22.506 billion on 13 August 2026, while the SBP dashboard showed a USD/PKR mark to market rate of 277.5713 on 20 August. This article separates the SBP forex reserves facts from predictions about the Pakistan rupee and the forex market Pakistan.

Original In a week

Multi-Asset Liquidity Solution in 2026: Expand Instruments Without Fragmenting Execution

A multi-asset liquidity solution can help a broker support FX, CFDs, commodities, and indices through a more unified operating model. But adding asset classes can also create fragmented symbols, pricing, routing, margin rules, records, and client messages if controls are not designed first. This 2026 guide explains how a multi asset liquidity provider, forex CFD liquidity setup, commodity liquidity provider, and indices liquidity provider fit into a broker-owned execution service. It outlines the due-diligence questions, shared-control model, cost drivers, and 90-day implementation plan that help teams expand without making the execution chain harder to explain. The aim is not to promise deeper liquidity or better trading outcomes. It is to create evidence that a broker can supervise market access, trace order events, reconcile costs, and communicate consistently to the relevant clients when conditions are difficult.

Original In a week

XAU/USD Hits $4,500: Washington Bought Bonds—and Gold Exploded

Gold surged above $4,500 after the US Treasury expanded its purchases of longer-dated government bonds, pushing yields and the dollar lower. But this was not debt forgiveness or Federal Reserve money printing—it was a liquidity operation that exposed a much bigger fear: America may be finding it increasingly difficult to live with market-driven interest rates.

Original 08-21