Broker commission models explained: CPA, revenue share, per-lot rebate and hybrid

Every partner programme advertises a headline number: 'up to $1,200 CPA', '50% revenue share', '$12 per lot'. The right comparison is what one typical client is worth to you over their trading life. A big CPA is excellent for traders who deposit once and leave; revenue share and rebates win when clients stay active for months. Work the examples below with your own expected client behaviour before you choose.

A fixed amount paid once per client who meets the broker's qualifying conditions. The conditions matter more than the amount: a typical rule is 'first deposit of at least $200 and at least 2 standard lots traded within 30 days'. Many programmes tier the CPA by the client's country, so a European or Gulf client pays several times more than one from a low-tier country, and 'up to' always refers to the top tier.

CPA suits paid-media affiliates and comparison sites that need cash flow quickly. The risk is clawback: brokers usually reverse a CPA if the client withdraws within a set window or is flagged for fraud.

A percentage of the net revenue the broker earns from your clients, usually the spread mark-up plus commission, sometimes less swaps and bonuses. Shares of 20% to 50% are common, often rising as your active client count grows. Because it tracks the broker's own revenue, it is the model most exposed to how the broker defines 'net revenue', so read that clause carefully.

Revenue share suits publishers with loyal audiences who refer traders that keep trading. Pay-outs start small and compound.

A fixed amount for every standard lot your client trades, regardless of whether the broker made money on the trade. Typical ranges run from a few dollars on major forex pairs to more on indices and commodities, and the rebate is often lower on zero-spread or raw accounts where the broker's margin is thinner. This is the default IB model and the basis of cashback schemes.

A smaller CPA plus a reduced revenue share or rebate on the same client. Hybrids smooth cash flow while keeping an upside on active traders. Expect the CPA to be roughly a third to a half of the pure CPA offer and the ongoing share to be a few points lower.

A percentage of what partners you recruited earn, commonly 5% to 10% of their commission, or a fixed smaller per-lot amount on their clients' volume. This is paid by the broker, not deducted from your sub-partner, in most programmes. Check whether it is paid for the life of the sub-partner or for a fixed period.

Indian stock brokers pay Authorised Persons a share of the brokerage their clients generate, with splits from about 30% to 80% depending on who brings the clients and who services them. Discount brokers with flat per-order charges instead pay referral programmes a fixed amount per funded account, or a share of brokerage for a set number of months. Because regulated Indian brokerage is small per order, volume of clients matters far more than any single account.