You need a broker to invest in the binary options market. The broker will hold your investment and provide a secure trading platform for you. Since the whole process is done online, you need to choose a reliable broker. I have collected the 6 most useful tips for choosing the best binary options broker. Let’s see which they are.
1. Country of Registration
Your investigation should start with this question – where is the broker registered?
While you are advised to choose a broker registered in the USA, UK, you can also consider a broker which is registered in an EU country. A lot of brokers claim to be registered in Cyprus, owing to the country’s weak regulatory system. However, Cyprus has recently started providing a special binary options license. Make sure that you are choosing a broker like BDSwiss which has this new license.
2. Available Assets
Depending on their location and business policy, brokers offer different types of instruments for the investors. Some common examples include commodities, stocks, currency pairs, indices etc. Having access to different types of instruments allow you to minimize the risk and take advantage of a volatile economy. Therefore, before you decide on a binary options broker, make sure that the company offers all the assets you require.
3. Expiry Times
Expiry times are the time duration for which you are making the investments. Most binary options brokers offer the common expiry times like the 15 mins, 30 mins, 1 hour, 24 hours and more lengthy options. Some modern brokers also offer the 60 seconds option. Which option you choose depends on your experience level. If you are a beginner, you should start with a longer option first. Check out the expiry times offered by your chosen broker and then take the decision.
4. Return on Investment (ROI)
The whole point of trading binary options is to make money. And therefore, it is very important to know what types of profits and returns are offered by your chosen broker. Finding the ideal broker will help you to make more profit within the same time. Various brokers offer ROI of 60% to 80%. If a broker offers a higher rate higher, you should be cautious about that broker. On the other hand, you shouldn’t accept a lower rate too.
5. Financial Tools
The ideal binary options broker should also provide you with all the necessary tools for managing your investments smoothly. They should have a demo or trial offer to test all the features they are offering. Before choosing a broker, sign up for its trial offer and use the features as you will be doing in the live account. Check out all the available features and make sure that you have the necessary tools in your hand.
6. Trading Software
There are different types of trading software available. Almost all of them are web-based.A simple and user-friendly trading tool will helpful in your everyday trading. The software should also be fully supported by mobile and tablet devices. You should also have easy access to history for at least a week. The ideal trading software should be able to carry out your orders instantly.Check all these features before you choose a broker finally.
These are some of the most common things that you should consider before choosing a new binary options broker. As you are going to invest real money in the broker, take the time to find out a reliable broker. This will increase the chances of your becoming a successful binary options trader.