Forex affiliates receive compensation (commission fee) from Forex brokers by referring potential traders to them. This compensation comes in different models or the so-called "commission plans". Below you can read about each type of Forex affiliate programs:
Forex Rebate
It is a type of partnership in which you will receive an ongoing commission for your referred clients’ trading activities. In affiliate rebate program, commissions are based on the trading volume, for as long as your clients continue to trade, you will receive a commission for every single trade they make. Rebate program is by far the most popular type of affiliate partnership with Forex Brokers.
In the Rebate program, commissions are usually paid in different structures:
X amount commission - for example, 10$ per each traded lot (Most popular)
X number of pips - for example, 1 pip per each standard lot
A percentage of spreads - for example, 45% of spreads
Forex CPA
Forex CPA program is designed for affiliates who wish to earn a flat commission fee for every active client they refer. CPA stands for Cost Per Action, as the name suggests, a referred cline needs to become qualified (Do necessary actions) before the CPA commission is paid to the affiliate. Generally, an active client should complete necessary amount of trading volume (For example trade 5 lots) and once it is accomplished, the Affiliate will receive its commission to his account.
The CPA amount generally differs from country to country, industry standard is an amount between 100$ up to 500$ per each qualified client.
Sub-Affiliate Commission
This type of affiliate partnership is specially designed for those who know or have a big network of other Forex affiliate marketers and invite them to join a particular Forex broker. When a referred affiliate (Sub-affiliate) starts attracting new clients and earning commissions, a percentage of his earnings will be paid to the Master affiliate (You). Let's put it this way, you have a large number of Affiliates under you in a sub-affiliate program, soon you will start receiving compensations for their activities and efforts in bringing new clients to the Broker.
Revenue Share
Less offered among Forex brokers, Revenue share is based on the overall profitability of the referred clients. An amount between 5%-20% is usually paid on a monthly basis.
Forex CPL
In CPL model which stands for Cost Per Lead, Forex affiliates receive a compensation (generally a small fee) for every referred client who registers an account on the broker's official website. That is to say, you will receive a commission for just referring potential clients (Not necessarily an active client), as long as they register an account on the website by filling the special form on the landing page. CPL might be suitable for those affiliates who can bring a large traffic (also quality traffic) to the broker, hence, there will be a lot of account registrants.
