A brokerage business provides an excellent opportunity to earn profits by connecting traders with the markets. You can assist them by offering essential tools and a robust trading infrastructure that enables access to market insights and the execution of buy and sell trades while charging a fee or commission. However, a foundational step in opting for this lucrative business model is choosing the right trading software for your business.
When starting your own trading brokerage business or scaling one, you may find yourself uncertain about which approach to take:
- Pick a white-label trading software.
- Or, go for a custom-built Broker Trading platform?
Well, this article can help you make a decision. Keep reading to know what you can expect when opting for these options and what you should choose.
Understanding White-label Broker Trading Software
White-label trading platform is a fully built software that can just be rebranded with minor tweaks to make it your own. A fintech solution provider company like Shark Technologies can provide you with a pre-developed trading system. You can purchase the platform and make the changes like color scheme, logos, domain, theme, and features, and provide trading services as your trading platform.
Without any need to develop the solution from scratch and carrying extensive in-house development, you can access the complete trading infrastructure, encompassing CRM systems, back-office components, and more. Moreover, the third-party solution provider even handles the backend infrastructure and audits the platform for technicalities and security vulnerabilities, provides necessary upgrades, and everything else.
Understanding Custom Broker Trading Software
Custom Trading Software is custom-built from nothing to create a completely distinctive platform. Every element of the infrastructure is designed and developed according to the brokerage’s needs and specifications. Thus, the broker has complete control over the interface design, system functionality, integrations, features, and platform user experience.
When starting with the trading software development, everything from the business goals, target user profiles, regulatory obligations, and market positioning is considered. Once having that, a team consisting of designers, developers, testers, and industry experts works collectively to build the trading infrastructure to meet the brokerage’s strategic vision.
It is mostly chosen by brokers who need highly innovative trading systems for niche-specific markets like Algorithmic arbitrage trading, crypto CFD trading, or otherwise.
Which Is Better For Your Brokerage: White-Label Or Custom-Built Trading Platforms?
Check out the various factors that would help you choose the right one for your company:
Why Opt for a White-Label Trading Platform?
Faster Time to Market
If you can’t wait months or even several weeks to get your brokerage operational, a white-label trading platform is a good option. Also, if you want to start the brokerage business for a short period or during a seasonal window, why wait through a lengthy development process? A white-label solution can meet your needs.
Lower Capital Requirement
Not just in regard to trading platforms, every white-label software would cost you much less than in-house custom development. Thus, the white-label trading software is right if you have a low budget and wish to redirect resources to client acquisition and marketing purposes. Not just this, the licensing fees are also cheaper to manage these platforms.
Access to Proven Infrastructure
White-label trading solution providers offer their services after years of expertise in trading software development and addressing the needs of brokers. Consequently, their trading systems feature proven, reliable architecture equipped with advanced features like charting tools and built-in risk management.
Additionally, these fintech companies have established a market presence, such as with MetaTrader 5, for example. They have already built trust among customers through their premium-quality trading platforms and allow you to benefit from their brand recognition with their white-label solutions.
Compliance and Support Included
Compliance is the most difficult aspect of starting a brokerage, as the regulations are quite unclear, yet the chances of legal penalties are there. White-label providers understand these compliance features, such as KYC verification, audit trails, tax reporting modules, AML (Anti-Money Laundering) checks, and more. They also provide maintenance services to address problems quickly and keep the trading software up to date.
Why Opt for a Custom-Built Trading Platform?
Control over customisation
When opting for custom development, you get complete control over the features to add them as per business goals and target audience. For example, if you wish to serve professional traders, you can opt for features like API access, algorithmic trading support, complex charting tools, and more. Moreover, if you want to cater to new traders, consider adding demo accounts, trading resources, simple interfaces, etc.
Stand Out in the market
As a custom development lead in creating a completely unique trading platform, it won’t match the other trading software available in the market, particularly white-label options that often have similar features and design.
From user experience to tools and functionality, you can even market your platform by highlighting its distinctive features. It would draw in your target audience searching for a platform similar to yours and help your brand stand out in the marketplace.
Full Integration Capabilities
The scope of integration with custom-built trading platforms is just on the next level. You can connect your platform with multiple liquidity providers, payment processors, and more. Thus, while custom development takes time, you are not limited to a set of rules and features, a roadmap, or other restrictions.
Scalability
A custom software architecture can grow alongside your business, as the solution is designed with scalability in mind. This way, the platform can function efficiently for years to come without system failures or the need for data migration.
Additionally, you can opt for new features as the industry evolves and new trends emerge, such as the introduction of copy trading and algorithmic trading in recent years.
Long-term cost-efficiency
Custom development can be a hefty investment, but it can save you in the long run. You don’t have to pay licensing or subscription fees every month, and you get an enterprise-grade system that can handle a large number of users easily.
Final Thoughts
So what is right? White-Label or Custom Broker Trading Software
It is quite evident that both are right, depending on your budget, time you have, your business goals, and available technical and human resources.
If you are a well-funded company and budget isn’t an issue for you, and neither is the waiting time to build a highly customized enterprise-grade trading platform, then opting for custom development is the way to go. However, if you are a first-time broker and want to enter the market quickly with a reliable trading brokerage, a white-label trading platform is a better choice. Many brokerages begin by testing their business model on a white-label platform before investing in a custom solution once they reach a certain scale or profitability.
No matter what approach you choose, Shark Technologies can assist you with that! You can purchase our white-label trading software, Shark Traders, and start your brokerage within a couple of days just by making a few tweaks. If you prefer to custom-build your trading software from the ground up, our industry experts are ready to assist you. Contact us today to access strong trading software for your brokerage business
Also Read : Benefits of White Label Forex Software for Brokers in 2025
