Binary options in Australia – Is it safe to trade?
If you’re an Internet user, you have probably heard about Trading, Investments, Cash, Money, Forex, auto-piloting, Binary Options brokers etc. All of these terminologies can be associated to one common term, which is – binary options.
For you to understand what binary options represent, in this article, you will be provided with all the needed information. You have maybe heard this term while trying to do research on making easy money online, or searching for jobs that don’t require you to leave your comfortable sofa, or just heard other people on the street mention it.
What are digital options?
Don’t be worried if you don’t know what the term “binary options” is, it’s still a very new and recent way of making revenue online. It works through binary options brokers who are operating binary option platforms. More brokers such as BDSwiss can operate a single platform, and through these platforms clients cane make trades and investments with many different assets and stocks.
This may be confusing at the start, but the simplicity of the process makes binary options more popular by the minute. After reading this article, you will practically know everything about binary options, their effectiveness, why should you use them, and, of course, what good it does to you.
The digital option, which is often used as a synonym for binary option, is the easiest option to take into account while looking at the trading industry. These days, products that grow in popularity are subject to loss in quality. With digital options, or “all or nothing options, as they are also called, this is not the case. The quality of the products takes no victims in its growing popularity. The outcome of the whole process is a huge profit for the clients, who end up on a lap of luxury.
How to find the right broker for you
The binary broker is just as important as the whole platform, they work as one, function as a whole, depend on one another. You will have a variety of choice when looking for a renowned B.O. broker. One of the most important things is choosing the right broker for you. The quality of your trading may never be compromised in any way, especially not by the broker, which directly affects the quality of your transactions.
Firstly, you need to find a fitting binary option platform. Same as with brokers, there’s a lot to choose from, but try to be careful to pick the platform that you need. In the first place, you should get to know the platform that you have in mind. One reputable platform comes from the popular broker Anyoption, a company that has been in the market since the early days.
They all might look very similar to one another, but be very careful; every platform is special and has unique features which differ them from other platforms. Special bonus, different options of a binary options broker, minimum deposit required, and etc. are some of the better-known features.
After getting familiar with your trading platform, you should start looking for the best broker to operate it. By researching about the platform and its components you can easily find the right broker for it, since, as we mentioned, they work as a whole, as if they are connected.
You should also take into consideration if the binary options broker is regulated by law. These days, making your profile look professional is very easy, but you should always try to find a legally guaranteed, regulated broker, no matter how appealing other brokers look.
A lot of factors and concepts regarding binary options exist, but the most important ones which you should keep in mind when going into online trading are:
- Does law regulate the broker or not?
- With what platform do we associate the broker?
- Which broker is available?
- With which platform components, like assets, indices, stocks, is it possible to make the trade?
- What type of support and customer service does the broker offer? How to contact the broker and what is their response time?
- Is the auto-pilot feature provided?
- Is it possible for someone without any experience or skills in binary options to use the platform with ease, or by someone who is familiar with the technology, but is just a beginner in it?
No broker can answer all your needs. It is important to assess the weight of every factor and to see the whole picture.
The regulation of digital options brokers in Australia
It is highly recommended for clients to check if the binary options broker is regulated or not. The most people who are in business with online trading, the most important thing to them is exactly what we are talking about now; the regulation of binary options brokers. After all, people invest money, so clients have the need to feel as safe as possible.
Another thing you should check before starting searching for the right binary option broker is if your own market is regulated by law. This is something that depends on the country you are in. If your country has no market which is regulated by law, perhaps, the best thing to do is to search for a non-regulated binary options broker. If you find yourself in a similar situation, the best thing to do is some thorough research.
Read reviews from other users online with the same problems. Sometimes, the circumstances can be even worse. Always be ready and do your homework on the market! Well, lucky for you, you were born in the right place in the right time. Just use the Internet! Everything about this topic can be found just by googling it.
How a binary options broker is regulated differs from country to country. One of the central factors when it comes to regulating a binary options broker is the place where the broker is registered and the place that acts as the base of the operations. In the case of Australia, there exists a commission called Australian Securities and Investment Commission that what is trying to do is regulate the brokers that are not regulated yet in Australia, of course if these deserve and have to be regulated.
But there also exists the rumor that nowadays the Australian Securities and Investment Commission are planning to make agreements with the current binary options brokers that operate in Australia to stop them operating in Australian territory. So far ASIC considers the practice of Binary Options completely unacceptable, but they cannot dent the noted increase in the binary options brokers that are regulated in other countries currently operating in Australia.
Some of the binary options brokers have started to choose to avoid having any further problems, reason why some of the binary options brokers who used to accept Australian residents, have started to forbid the enrolling and registration of Australian residents to their binary options broker’s platforms.
At the same time, some of them are trying to change some of their features and specifications in order to make an agreement with ASIC and end up being regulated by them in Australian territory. This way not only would they be keeping their Australian users, but also this would open a new regulated market with the Australian citizens and would provide them with all the security and confidence they need to trade online feeling safe and secure.
You are encouraged also to enter the ASIC’s website, as they regularly publish a list of the regulated and not regulated brokers in Australia, and in this way you will definitely know what is 100% allowed and what is not.
All of this movement has no other objective than to stop the dramatic and significant increase in unlicensed conduct from many binary options brokers around the world, being the offer so big that can end up being uncontrollable. In case you would like to make your own verification, please do not hesitate to visit this site: http://asic.gov.au/
When talking about regulated binary options brokers, normally the term used is regulated, but actually you can call it any way you want it: licensed, registered etc. as long as you get the concept and what it actually means for the client. When talking about brokers, the most recognized entity is the Cyprus Securities and Exchange Commission (CySEC), which holds more than 20 registered binary options brokers.
But as you might have thought, trading of digital options is popular on the whole world. In this regard the organization Canadian Securities Administrators (CSA) has to be mentioned as well. This organisation streamlines the market operation in that country and therefore has to be mentioned in the context of digital options trading in Canada. You’re almost done after you’ve found your broker with a license, but as said before, you should find the right broker that suits your needs.
Offers in the digital options world
There’s always a risk when working with brokers, stocks and investments. There are always only two possible outcomes: you either win or you lose. Binary options operate in almost the same way, but they offer a new, revolutionary way of trading with automatized robots, or “auto-pilots” which help you with trading without taking any money from you.
Sounds too good to be true, doesn’t it? Binary options are made what they are today by being influenced by different factors, stocks and assets. Foreign currencies, products, assets and indices should be remembered as the most important ones.
This website offers not only lots of binary options platforms, but also gives you some key information that will interest you in a great deal! You have probably already concluded that one of the most important things in the trade business is finding the right binary options broker who will help you increase and maximize your profits which can completely change your life in the best way possible, and help you collect lots of bonuses and offers, depending on your trade.
The same factor should be taken into consideration when searching for the right binary options platform, as these bonuses maximize your profit, and make you a happy customer, bringing many benefits to your life and helping you fulfill your dreams. The bonuses that you can get are divided according to the binary options platform and the broker.
Some give discounts on the minimum deposit, while others allow updating and upgrading your accounts. These bonuses make trading much more interesting. Clients love bonuses; it’s extra money after all. Bonuses can, in fact, get bigger and bigger as you progress up the ranks from an amateur to a complete professional. Simply imagine something extra, something added to the package, a promotion, a gift, a special offer. That’s how you should look at bonuses.
What are the risks when trading with digital options?
Every online job comes with its fair share of risks, so, binary options has them as well. For example, there’s always a risk you’ll lose an investment, but also, there’s an even better chance of getting more than the investment is worth from it. Can you do anything to avoid the risks? You can try risk management, as it’s known, which means that you should always choose binary options brokers and platforms which give you a feeling of confidence and safety. Researching them is one of the best things you can do, and you can never do it enough. Also, consider risk management which is briefly explained in the following infographic.
Risk management makes it sure that the chance of risks is smaller, and the chance of winning bigger. The less the risk, the more the profit! Of course, there are many different strategies that you can find helpful. A lot of binary options platforms offer the auto-pilot feature, which is a perfect option for people who have absolutely no idea what binary options are and how to manage them. Before making a decision, you should always study and analyze what to do with assets, indices and platforms, even if you’re an expert.
There will always be some risks if we take the fluctuation of the market into consideration. Are you are going to invest all of your earned money or would you rather go for smart decisions and invest just a part of the money in order to generate more profit. In the latter case, if you lost, the lost amount wouldn’t be as high as if you had invested all of the money, which would result in running out of all profit. You wouldn’t be able to continue trading and investing, and no profit could be made.
How much money you have, and how much you can afford to lose is of significant importance of you and a reliable broker such as AnyOption knows that and communicates the risk on their website. A good way to avoid the problems is limiting your exposition and making only online trades with money that wouldn’t greatly impact your profit. Many professionals follow the golden rule that you shouldn’t risk more than 2% of your profits. It might seem as a small amount, but when dealing with large sums of money 2% is not that small. Naturally, you aim to lower the risk of losing money, so, a small percentage is the best.
More and more people who start trading with binary options are looking for a demo account. They are accounts that are offered by many platforms, and they offer a simulation of the market, trades etc. The only difference is that if you selected right investments or trades, the winnings wouldn’t be in real money which is transferred to your bank account, but fake, virtual money which doesn’t have any value. Still, this is a great way to learn and get ready to actually win big.
Pay close attention whenever making decisions about the platform. Always check if they offer a demo account since it will greatly help your career in online trading in the binary options industry, but it will also allow you to find out how the interface actually works, what does the platform offer, and maybe some special options you never heard about. With that info, you’ll be able to find the right options broker who stands out!
The platform should be seen as a whole!
Sometimes, while using a demo account, you can find out that the binary options platform doesn’t really suit your preferences; maybe it has some errors, maybe it’s not complete. In any case, the demo account will help you in distinguishing any problems and avoiding future ones when signing up. By the way such a demo account is offered at the digital broker 24Option. You won’t waste precious time and you won’t risk any profit. And, of course, the search for the right binary options broker is too easy when you have a demo account.
On the other side, reputable brands such as BDSwiss do not offer a demo account but can convince prospective traders with other benefits, such as the broad portfolio of assets and the sophisticated trading platform and that is also available for mobile devices.
Even though there are lots and lots of information here, the instructions are simple as they can be. You have probably figured it out by now; the most important thing is to pay attention and to be careful. Every time you do research, take this as a manual, and you’ll know what to look out for, what to avoid, and what to check in advance.
Don’t let yourself be subject to any scams or get fooled by something nice you see. Remember; see the platform as a whole. Every device has its pros and cons, e.g. a platform may offer some bonuses, but it lacks some features that you need.
Remember; analyze everything, think about your broker, about the benefits, about the regulations, and you’re off to a great start. These are some very important decisions that will determine the outcome of your trading, and of course, help you lower the risk of losing your money.