Forex introducing broker in the Philippines: what the rules say

What an introducing broker does

An introducing broker (IB) refers clients to a broker and is paid a commission, without holding client money or executing trades. In forex and CFDs, an IB usually shares a referral link and earns rebates, revenue share or CPA. The model is legal in many countries, but whether you may do it depends on where you and your clients live.

The key Philippine rules

• Securities Regulation Code: brokers, dealers and salesmen who deal in securities with the public must be registered with the SEC, and investment products offered to the public generally must be registered too.
• Liability of promoters: SEC advisories warn that those who act as salesmen, brokers, dealers or agents, or who solicit or recruit investors for unregistered entities, may face penalties.
• Financial consumer protection: the Financial Products and Services Consumer Protection Act strengthened regulators' powers against unfair and misleading financial marketing.
• Banking side: the Bangko Sentral ng Pilipinas (BSP) supervises banks and foreign exchange dealers in the Philippines, a separate regime from online leveraged trading.

Rules and enforcement priorities change, so check the SEC's website and current advisories, and speak to a Philippine lawyer before acting as an introducer for any trading platform.

Why "just sharing a link" can still be risky

Many people assume that posting a referral link is harmless because the client signs up directly with the broker. But if the platform isn't authorised to serve Philippine residents, recruiting people for it, especially for a commission, can fall within what the SEC treats as soliciting for an unregistered entity. Group chats, "signal" communities and recruitment-style posts are common targets of SEC warnings.

Safer ways to work in the IB world

1. Serve clients where your broker is licensed. If you have an international audience, refer only clients in countries where the broker is authorised, and follow those countries' rules.
2. Verify every broker. Use the regulator's own register, not the broker's website. See how to check forex broker regulation.
3. Focus on education. Teaching risk management, platform basics and scam awareness is valuable and lower-risk than recruitment-style promotion.
4. Follow marketing rules everywhere you promote. Risk warnings, no profit promises, no fake screenshots. Read forex IB marketing rules.

Red flags to avoid

• "Guaranteed" daily or monthly returns, or account-management schemes.
• Recruitment bonuses that pay you for signing up other promoters (a pyramid-style structure).
• Requests to collect deposits from clients yourself, or to use personal e-wallets.
• Platforms you cannot find on any regulator's register.

This guide is general information, not legal advice. Trading leveraged products carries a high risk of loss.

Frequently asked questions

Is forex trading legal in the Philippines?

Trading foreign currencies through authorised banks and dealers is legal. Online leveraged forex and CFD platforms are a different matter: the SEC has warned against many that are not registered or licensed in the Philippines. Check the SEC's advisories and get legal advice.

Can I be an IB for a foreign broker if I live in the Philippines?

It depends on the broker's licences and who your clients are. Promoting or recruiting Philippine residents for platforms not authorised in the Philippines can expose you to liability. Take legal advice first.

How do I check if a broker is registered?

Search the regulator's official register, such as the SEC Philippines for local entities, or the FCA, ASIC or CySEC registers for overseas licences, and make sure the website and contact details match the register.