Binary Options is growing at a very fast pace and within a short span of time, it has attracted a lot of traders. Since it is quite difficult to trade in the money market on an individual basis, so the need for a broker arises who act as an intermediary between you and the market. There are hundreds of thousands of brokers available in the market and sometimes it becomes quite difficult to choose the best one. So this blog is dedicated for those merchants who want to start their trading career and looking for. Here at OBF, you will be guided through a step by step process regarding selecting the best available broker for binary options trading.
7 Parameters to Consider while Choosing Binary Options Broker
In order to start the trading career in binary options trading, one needs the assistance of a broker. Unlike Forex, there are no issues like slippage, pricing, re-quotes regarding the Binary Options brokers and selecting a good broker is not at all difficult for binary options trading. All you need is to get online and start searching for the broker. As a matter of fact, there are numerous factors that determine the overall quality of a broker and you should pay attention to one of the following parameters listed below:
- Regulation: If the broker is regulated by some authority like CySec, then it would be following sharp trading practices. At the same time, regulated brokers mean they are legitimate and your funds are in safe hands and you will be paid profits on your investments accordingly.
- Customer Service: The broker should have a good responsive feature based on its customer service. There are numerous brokers who although have a good reputation in the market but are notorious for poor customer support. You should select a broker that has a dedicated staff attending the queries of the customers.
- Trade Types: Make sure that your broker has transparent trading conditions and offers the widest range of trade available to you. Some brokers will place certain demarcations on a trade that only skilled merchants are able to point you. So you need to keep this factor in mind once you are choosing the broker.
- Trading Software: The trading platform so offered plays a very important role in boosting the overall trade. If you are not comfortable with the trading platform no matter how good the broker is, there is no point continuing with the broker concerned because it would not take you anywhere. So select a broker whose trading platform makes you comfortable and enables you to trade easily.
- Payouts: The payout on the investments varies from one broker to another. More payout means more profits but sometimes there are some strings attached to it that one overlooks initially. You need to select the brokers that offer favorable payouts depending upon your comfort zone.
- Payments: The broker should be able to provide the best available deposit and withdrawal process. If the transactions do not hassle-free, then it can cause unwanted troubles. Select a broker that offers a wide variety of payment options and does not charge a lot of commission for withdrawals.
- Assets Coverage: Assets play a very pivotal role in the overall trading of binary options. If the broker does not have a comprehensive list of underlying assets, then there is no point in choosing that broker. A broker with a wide variety of trading assets will bring flexibility and diversity for your overall trading.
Best Binary Options Brokers
Choose Broker Depending Upon Your Personal Needs
The market is flooded with tonnes of broker and your search should be reduced to 5 brokers for your options trading. At this point in time, you will need to ask the right question to yourself in order to arrive at the best available broker. If you are not financially sound at the moment and don’t have a lot of capital, then it is advised to search for a broker with minimum deposit with the tantalizing bonus that can give a boost to your trading account. If you have sufficient capital and the minimum deposit is not a constraint for you, then it is advised to search for a broker that offers the highest payout in the industry. Finally, if you are looking for a broker that can really boost your trading career by offering minimal risks, then it is time to search for a broker that offers the maximum bonus on first deposit amount.
Questions to Ask Broker Before Starting Trade
Before you join hands with the broker for your binary options trading, it is important that you ask them the following questions:
- How well are you established in the market?
- Who looks after the back end trade?
- Is the trade secured and confidential to what extent?
- How to deposit and withdraw money?
- Whether the broker is regulated by some authority or not?
- Do you charge commission on the withdrawals and how long does it take?
- What are the different bonus/promotions and payouts so offered?
You must ask the aforementioned questions before you start a business with the broker. Having an answer to these questions would help you in getting a clear picture about the overall authenticity of the broker and you will be able to arrive at a final assessment. If you are not satisfied with the answers, you are always free to leave the broker and search for a better one that can adhere to your needs.
From time to time, there are numerous traders that complain that they have a mistake in choosing the rightful broker for themselves. Scams do happen and you can only stay aloof from it by moving slowly. Do not be in a haste in choosing the broker and take as much time as possible. You are advised to start depositing small amounts initially and test the withdrawal process and find out if you are satisfied or not. If so, then there is no harm continuing with the broker else it is time to move on and grab some other in the market. Just like risk management and trading strategies, choosing the best broker for your options trading should be a part of this process. In the end, you should remember that a successful trader is the one who is able to do careful trading. So choose wisely!
I am living in London. I am an e-entrepreneur. I have been working in the financial trading industry as a professional since 2003. I am a fan of Chelsea team. I am married. I like cycling.