Binary options is a popular method of trading, both because of its simplicity and the fact that the earnings and the losses are precisely defined and predetermined for each trade, which is not the case with other methods of trading. If you want to know more about method that makes this kind of trading easier read binary option robot review. With binary options, you know exactly which amount of money you can win or lose with each trade, and there are no unexpected surprises. The payout you get with winning trades is usually around 80% of the initial investment (but it can range from 70% to 91%). In addition to the payout, there are also bonuses, which are offered by almost every broker there is.
The bonuses which are most commonly rewarded are those which the broker gives to every new user upon creating an account and placing the initial deposit. This welcome bonus usually ranges from 25% to 50% of the initial deposit, which means that, if you deposit $200, you will have $300 on your account if the bonus is 50%. Some brokers even offer a 100% welcome bonus, which means that the funds on your account will double after the first deposit. The reason for the broker to give bonuses is to increase the trader’s capacity to trade in the market. If the trader has more money to invest, he is likely to trade more and longer, and therefore create a richer trading portfolio, but also provide the broker with more commission, which is sort of a win-win situation for both the broker and the trader.
Every broker should have the types and the amounts of bonuses they give stated on the website, since it is one of the ways to attract new traders. Also, any review you read about a particular broker will mention the bonuses among other features, so it is easy to find the broker with the highest bonus amount.
However, what some reviews will not mention is that the bonuses awarded by most of the brokers usually require you to commit to trading for a certain period of time, in case you accept the bonus. This is why you need to read the Terms and Conditions carefully and not to rush in with accepting a tempting bonus offered to you by the broker. The good thing is that you can actually choose whether you want to use the bonus or not. If you do not feel like trading with the particular broker just yet, but you only want to try the demo account or test the platform, it is probably a better option not to take the bonus. On the other hand, there are some brokers which offer a great feature of dividing the account of your deposit with the one intended for the bonus, such as Stockpair. This is a very useful feature, because this way you can take the bonus and it will not be added up with your deposit, but on a separate account. This means that you can trade as much as you want, and if you want to cancel the account, you can do so at any time – you withdraw your deposit, and the broker takes their bonus back.