A-Book vs B-Book Explained

The difference between A-booking and B-booking —
and why it matters less than you think.

Have you ever wondered what your broker actually does with your trades?
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Are they hedging it in the open market?
Or quietly taking the other side?

A BOOK vs B BOOK

This morning I recorded a podcast breaking down the difference between A-booking and B-booking, and why I think most traders have the wrong idea about how it all works…. (I also share a couple stories from the old days…when brokers weren’t always so transparent.)🤔

Here’s the short version:

✅ A-book = your trade is hedged externally
✅ B-book = broker takes the other side
✅ Most brokers use a hybrid model, based on crowd flow
✅ Prop firms? Pure B-book.

Ok, so what does that mean for you?

Simple:

It doesn’t change your job one bit!

Focus on execution.
Maintain discipline.

Let the broker manage their risk… You manage yours. 😎

🎧 Listen to the episode here