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Retail Brokers
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Profit Potential For A Mainstream Retail Broker :

Example: Broker 'X' (a Retail Broker) serves over 150,000 active trading clients. These clients are increasingly demanding access to the highly liquid 24 hour spot FX market. This could provide more profitable broking business than either futures or equities where decimalization and online trading competition continues to depress profit margins. Virtually no retail broker makes a profit from the pure exchange traded futures or shares.

Active retail FX clients trade an average of 800 times their account equity each month. Deep liquidity, low transaction costs and a 24 hour market all support this level of trading, creating the opportunity for a broker to earn several percent or more each month on active trader account balances. Ten percent of 150,000 Broker 'X' $20,000 accounts would equate to $300M in customer equity (10% x 150,000 accounts x $20,000/account = $300M). This equity would be greater than the average of the five leading specialist margined FX brokers such as FXCM, Gain Capital and GFT.

Trading only 400 times this $300 million in equity, total monthly customer trading volume would equal $120 billion. With a commission or spread markup of only $50 per million this would generate monthly revenue of $6 million. Our new market mechanism, for which patents have been applied, should generate another $10+ million per month average of gross revenue. In practice in less than six months these active traders would typically leave 70% of that $300 million, or $210 million on the table, in commissions, trading spread and trading losses. Our new market mechanism can capture much of this additional revenue.

Broker 'X' does not have the trading bank arrangements or the back office systems to support this business. The Custodian does not have a suitable online platform nor the risk management systems to support high performance active retail traders, without passing them to another white label broker. The Custodian agrees to work with GREENEYE to serve Broker 'X'. With a fully hosted and operational platform, supported by outstanding multi-bank liquidity and the Custodian's back office, GREENEYE/Custodian are in a position to provide Broker 'X' with an on demand solution in retail margined FX. The Custodian agrees to accommodate a third party capital partner to improve the profitability of this business with GREENEYE's new market mechanism.

Finally, at any point Broker 'X' can take over any of the functions of the Custodian and become completely independent of the Custodian whilst retaining the same competitive trading platform.

Retail Brokers
are encouraged to contact Brad Georges on Mobile: 0423 886 692 to discuss the benefits of the GREENEYE VISUAL TRADING platform.
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