The number of online platforms for binary options grows continuously so that only a consolidated broker can give comparison information about the optimal choice. The qualitative differences are quite big and some important points should help with the orientation.
Binary brokers: Locations and regulations
Since most online brokers have their headquarters abroad, the regulation by the respective financial authority is a quality feature. It is thus also ensured, that the customers’ money is managed to be held in fiduciary accounts and is thus protected from an insolvency of the broker. You can refer for the regulation status as well as further important criteria to a consolidated broker comparison. The intensive regulation procedures of the CySEC, the membership in the EU and the deposit guarantee, for instance, militate for Cyprus’ location. Since the corporate taxes in Cyprus are still cheap, most online brokers have settled there in the last few years.
Important comparison criteria of binary brokers
The results of extensive option trading broker tests underlie a serious broker comparison. In this way, you can quickly oversee which provider, types of trading, how many base values and more additional functions, offer a variety of options. In this way, one touch, no touch or boundary options are not found with all providers. On the other hand, other binary brokers create new possibilities and binary options to trade in the high yield class. With intelligent additional functions, such as those for premature closing, the lengthening or spiking running options, you can run an active risk management.
The number of base values to be traded determines the range of its trading possibilities and the bigger the selection is, the better the chances – and the broker’s professionalism. A free demo account, which enables trading with play money, is not provided by all brokers. As an alternative, you can also choose a provider who works with extremely low investments.
The broker’s direction
In addition, the minimum stakes as well as minimum sums shall be presented for the opening of a trading account and the payment possibilities. If some providers have specialised on beginners and so, enable trading with extremely small sums, other binary brokers gear to those professionals who can move larger amounts of money. In this respect, the possibilities of the payment process play a role such that they should function fast, safely and without additional charges. The online brokers reward different customer groups with different bonus programs.
However, the conditions must be read carefully. As a general rule, the bonuses are to be implemented in a prescribed handling in trading before a genuine credit note is carried out to the trading account. Excluding the VIP programmes, which include better profit margins for traders with higher deposits, a bonus programme should not be a decision criterion – though in this field, the biggest misunderstandings can be found here.
Choosing the best online broker
Depending on your own demand, your financial possibilities and your progress, you can choose an appropriate broker or brokers in an option trading broker comparison. As a beginner, you should place value on a free demo account which gives you an understanding of dry runs. Furthermore, you should first operate with small investments in order to keep the inevitable occurring losses low. With this selection, also monitor the offer of training material, information and additional functions such as an English-speaking support. As an additional guidance, you can use the assessments in the serious tests but are your own experiences are the most important.