The question of binary options broker choose is probably the second most important question you should answer for yourself, after realization of the fact whether you want to be a trader or not. Therefore, we offer a few items that will allow you to choose a reliable broker for binary options.
We recommend you to read the advices and the criteria in this article carefully, so you will not be bitterly disappointed in the whole industry from the very beginning of your trader’s career.
Our studies in recent years have shown that your approach while choosing a broker should be more responsible now, because a new numerous brands and platforms enter the market every day. Their number is growing at an impressive pace due to the huge interest to this business from the traders, and the cost of new brand is not a very big deal – it is a matter of a few tens of thousands. And the new “brokers” don’t think about the quality of customer service, improvement of platform and tools or maintaining a sufficient level of liquidity. They begin to clip coupons with enthusiasm. And after you jump at the bait of such “broker”, you will not only have a bad feeling, but you may have a hole in your purse of a few hundreds, or even thousands of dollars.
Which one to choose?
The actuality of this issue is only increasing. We propose to consider a broker choice exactly as you do with a commercial bank and remote banking – you need a reliable partner, trustworthy, with satisfactory liquidity reserves, ready to meet your needs and with impeccable customer service.
Below we list the criteria that will help you to find the right broker.
We agree that it is very difficult to estimate this criterion. Broker’s financial statements or the auditor’s revisions are unavailable for you. You do not know the owners of the business and can’t say anything about their cleanliness. Thus, the question of “whether or not to trust” is based on the belief in the broker. And it is quite thoughtlessly.
We propose to consider this criterion by the time spent by this broker in binary options trading (there are companies that work for 5 years or more) Also, look at the regions where this broker provides his services. Accordingly, the more confident broker is the one who is presented on the market for a longer time and have bigger regional coverage.
Reputation and licenses
Perhaps we do not extend a hand to a man with a bad reputation, why do we have to trade with him?! In the Internet there is a lot of information about brokers … BUT! Be careful, the possibilities of the Internet to create a bad reputation for a broker and to whitewash him are limitless. Use tested and approved sources.
The binary options trading in some countries do not fall under the need to obtain a license for this type of business now. However, many of the brokers have received as a European license (e.g. 24Option, IQ Option and some others that are presented in our site) and have been certified in some particular countries. We will try to mention these facts in our reviews.
Functionality and tools
There are not many platform providers who offer their services to brokers. Therefore, products and tools from many brokers are similar, with slight variations. Almost all brokers we saw are offering:
- Classic binary option, with a fixed expiry time: 15, 30, 45 minutes, the end of the day and longer expiry dates.
- Constructed options, where you can choose the expiry time and profit from the investment (you can choose what percentage of the investment you get back at the wrong prediction).
- Option One-Touch – super profitable option for week-end.
- Optional scalping – risky, but a quick and profitable option with expiry time 1, 2 and 5 minutes.
- Variations of options, such as “Inside the corridor” and “Out in the corridor.”
With tools we mean possibilities to minimize your losses in the event that prior to the expiry time you can see that the result will be not successful. Many of our partners offer tools like “Buy Me Out” (early sale of an option to the broker).
Everything is clear here. You choose a broker, register and open an account. The account can be opened in a specific currency, so decide in advance which one it will be – USD, EUR, or GBP (or it could be another from your broker list). Almost all brokers are offering to make a deposit with a payment card VISA or MasterCard. Please note – not all of them accept VISA Electron and / or Maestro.
Bank transfer is also accepted, but you should pay a commission to the bank.
Sometimes deposit using e-wallets are offered. Among the most popular e-wallets is WebMoney. Such e-wallets like QIWI and Yandex.Money are not proposed by everyone.
Withdrawals: the safest and fastest way – to the e-wallet, and many brokers will offer this to you.
Check, which side covers the fees for deposit and withdrawal. Usually it is on the side of brokers, but there may be exceptions.
DEMO accounts and bonuses
These offers we are proposing to use. Demo account show you how the trade platform works, allow you to explore the navigation features, and so on. IQ Option, for instance, recommends to use a demo account each to test a customer’s strategy and get knowledge about the trading platform.
At the same time, a bonus is money that will increase your chances to get profit.
As a rule, the size of the bonus depends on deposit. The higher you’ve made a deposit, the higher bonus level you may claim. Indeed, make extra $ 100 to your account and get additional 20-40% extra bonus! All information about brokers’ bonus politics is available in the article “Bonuses from binary options brokers – new opportunity or bondage?“.
And as always, read the terms of bonus, so it will not be misunderstandings and disagreements with the broker in the future.
Typically a client (that is you) shouldn’t pay. “Only trade” – is the motto of any broker. If, However, if you want to know is it free, it is better to ask experienced traders or independent experts who will help you to understand all conditions.
If you are a beginner, training is extremely necessary for you. If you are a professional, you can skip them, but new and additional knowledge are never superfluous.
Take advantage of training materials from brokers – literature, webinars, and video. They will help you to acquire knowledge and competence.
In this description it is the last paragraph. Actually it is the last (in this description) but not the least. Cause, should you have a question – you call or write to the helpdesk. After registration you will immediately receive a call from the service, and specialist will explain basic conceptions of binary options trading and specific proposals you can get from the broker. During your trading, you interact with the trading specialist who gives you information about the markets and assets, helps to analyze the news, informs about trading strategies and tactics.
From broker’s specialists quality of work depends very much. Will you trade at this platform three, six months, or put your money to withdrawal…
Many of the brokers have a service at a high level. Usually it is 24×7, and of course, in your language.
If you have questions, we will help to find the answers. You can write to us, or left your message below the article.