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Would it be better for a fx broker to access more liquidity providers?

Tony Zhang

New Member
I'm a newbie in forex investment. When learning forex knowledge, I got confused by the concept of "liquidity" and the connection between liquidity providers (LPs) and brokers.
Would it be better for a broker if it can access more LPs? I mean, if so, the broker can provide more choices for customers, so that orders can be executed more efficiently. Am I right (Maybe more LPs indicate more expenditures for a broker. I don't take this into consideration)? How many LPs would a broker choose? What are the factors that should be taken into account?
 

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