Why Do I Need A Mediator ?
The emergence of the private binary trading led to the emergence of companies that offer brokerage services in this regard. Many market participants are asking themselves is quite natural question – and what needed is a mediator and who is a binary options broker ? Our today’s article is about all this. We will try to define the need for use a broker and provide some guidance helping to choose a right company.
So, who is a broker, and what caused the actual need for his presence in the market?
Broker – is a company (legal entity), whose mission is to give to a trader a legal access to finance market. This process is being done by the broker with the help of special programs, so-called trading terminals, located on the websites of companies, which run an independent binary options trading.
Of course, the broker’s services are not limited to the trading terminal. Usually, the website of binary options broker has a big choice of specialized information: training analysis, various additional services.
But still, what caused the need of mediation on the binary market? Everything is quite simple ! A private trader, for legal reasons and the conditions governing the financial market authorities, simply can not independently execute the contracts on the stock exchange. Only a legal entity that has a proper license to operate and is accredited to the exchange trading platform can execute those trading positions in the financial market. For this reason, the private trading is impossible without the mediation of a binary options broker. If just to explain briefly the trade processes that occur when you make a deal on binary options, it looks like this – a trader gives the order for registration of the contract at a specified price of an asset to the broker, the company, in turn, displays your trading position on the market on your behalf, either on its own . As a result of the transaction, the profit is credited to the broker account, after which, the company transfers the funds to the trading account of the trader’s, minus certain commission. All terms and conditions of trade and cooperation are stipulated in the partnership agreement, which is issued upon the opening of a trading account with a broker.
Broker -trader. What does the efficiency of this symbiosis depend on?
No doubt this figure to the maximum extent depends on the quality of services that the broker offers to a single trader. There are a lot of problems arise, especially when it comes to safety of the customers’ investment. Like any other activities associated with major finances, the binary market is saturated with scams and dishonest dealers. Therefore, the choice of broker for trading on the binary market is causing some difficulties. As a guideline, we offer you a list of the features that distinguish a reliable, safe and efficient broker:
- The presence of the license governing the financial market of your country
- Professional trading platform with a big set of trading tools for analysis and stable performance in the implementation of trading
- Free high quality training
- High-performance analytics
- Minimum conditions for access to trading
- Instant withdrawal of the client’s profit and the absence of additional conditions for the implementation of this operation
- Reputation on the binary market
If the choice for a binary trading platform fully meets such parameters, the trader can be confident in the security of investments and is able to consistently and very effectively trade on binary market.
As an example of efficient and safe binary options is the Binomo broker, with a trading platform that provides the trader with following:
- A financial market regulator license
- Trading terminal with a full list of tools for market analysis and trade, which has the highest efficiency on the market
- A high quality, free, systematic trading training
- High-quality professional analyst
- Trading conditions with minimum rates – the amount of the initial investment of $10, the initial amount of the trading position of $1
- Withdrawals within 24 hours, with no complicated conditions and verifications
- Crystal clear reputation in the market, confirmed by a lot of positive reviews
Summarize. As we would not want to eliminate the intermediary in the implementation of binary trading, it is simply impossible ! The Binary Options Broker – is an important element in the system of financial market that has all the necessary legal basis for its work. In addition, as we have said, a high level of regulation of the market of the finance and the binary market in particular, does not allow private traders to carry out transactions on the market. Thus, the broker – it is not just a mediator, it is rather a forced necessity. The main thing is that the company with which you wish to start trading is effective and safe !