Metatrader 5: Key Advantages and Distinctions for Brokers

By: Jav Zeb Iqbal.
Last Updated: January 1, 2023.

The basic functionality of the Metatrader5 platform does not support many options that a broker could use to manage risks and automate the work with his clients.

 Software from specialized companies is designed to fill these gaps and make the brokers’ work maximally efficient.

Metatrader 5 tools are server plugins, applications and add-ons that expand the platform’s functionality and add new features for the broker.

Overview of the main types of MT5 instruments

MT5 instruments can be roughly divided into three main groups: liquidity management, customer acquisition and risk management.

Liquidity management

The MT5 bridge plugin connects the Metatrader terminal with liquidity providers. In the process of aggregation, the quote flow moves from the liquidity provider (LP) to the client’s terminal, and the clients’ orders are transferred directly to the LP.

In the B-book model, a broker acts as a liquidity provider. Transactions can be redirected between A-book and B-book without restarting the server.

Risk management

Risk management is the backbone of every broker’s profitable strategy. Metatrader tools allow maximum flexibility in controlling a company’s risk management.

Risk management tools:

Leverage – increases margin management opportunities depending on changes in market conditions.

Stopout plugins – automatically closes positions when equity or balance drops to a critical level.

Working with spreads – allows to change the spread size when it matters, i.e., during the night session.

Dealers – automate the execution of customer transactions in the B-book model.

Swap management – allows to set the size of the swap.

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The use of these tools helps the broker to strengthen its competitive advantages and increase the volume of attracted funds.

Customer acquisition solutions:

Bonus plugins – a variety of solutions for organizing bonus-related promotions and campaigns.

Money management solutions – allow beginners to transfer control of their trades and funds to experienced traders.

The tools that complement Metatrader give the broker undeniable advantages:

● the ability to set up flexible trading conditions for different groups;

● reduced risk of accidental losses due to volatility spikes;

● because client transactions are withdrawn to the interbank market, there is no conflict of interest;

● customer loyalty and an increase in the average deposit size.

Risk control and liquidity management are conducive to increasing a company’s profitability.

Acquisition tools enhance a company’s image and help to take a winning position in relation to competitors.

Different approaches to tool selection

When selecting tools, it is useful to analyze the company’s development strategy. The first factor is the markets of presence.

Risk management is a fundamental element that directly affects profits.

By complementing Metatrader’s functionality, the broker invests in the most valuable thing – customer loyalty and company growth prospects.


Author’s Bio

Jav Zeb is a young and spirited British author with expertise in tutorial writing and product reviewing. She has completed AAT from the London School of Business and Finance, Birmingham. Interests: Drawing, Painting, Blog Writing, Interior Decor, and Reading. Living in: Erdington, Birmingham, West Midlands, UK. You may reach her at [email protected].



Last Updated By on October 30th, 2022 in Reviews

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