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Is Binary Options trading A Scam

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Is Binary Options trading A Scam

 Is Binary Options trading A Scam the short answer to this question is: No, Binary options are not a scam. They are financial instruments that are regulated by the financial legislation. Most brokers are registered in Cyprus and trade then controlled by the Cypriot control. However, there are also other EU countries such as Malta, which has developed regulations for trading binary options. The little longer answered is: Binary options are often accused of being a fake, a fraud. This is not true, at least not anymore. Binary options are a type of financial instruments that are associated with high risk so we can understand that some investors who have traded with them without understanding the risks might want to convince themselves that they are a scam. Truth is that you can always lose money when investing. If you want to trade binary options, it is important that you first understand binary options and how they work. If you do not understand how they work before you start shopping it is very sounded to feel that you were deceived about losing money. It is important that you understand that you risk losing your entire bet every time you buy a binary option. Either you earn a good return on your money, or you lose the whole bet. No other outputs is possible. Different types of binary options work in different ways and produce different returns. In some cases it is sufficient to target price is reached once during the life of the option, in other cases, the target price is reached when the option expires for that option will make the money. Make sure that you understand how an option function before you shop in the option. The rules of the option and what it takes for you to make money has been set before you purchase the option. It is therefore up to you to understand what you are buying and what it takes for you to make money A binary option usually can not be sold. After you purchase it, you can not liquidate the position until it has expired. The higher yields a binary option gives the greater the risk that you will lose your bet. If you buy a binary option with 500% return, chances are high that you will lose your bet. You should only trade with this type of of options if you have reason to expect large movements in the underlying instrument. Binary options shall be considered as high risk investments. Binary options should represent only a small portion of your investment portfolio. Never do business with binary options with money you can not afford to lose. Some investors argue that binary options is a scam because they make use of spreads. Ie you can lose all his effort but usually only earn about 90% of the returns. There is in other words a 10% or greater spread between what you can lose and what you can earn. Spread Betting is not something that is unique to binary options. They are found in many other types of financial instruments. When you trade currencies, there is also a spread between the buy and sell price. A spread is simply brokers ways to finance the services they offer you. palitligtDet is also said sometimes to trade binary options are not regulated and therefore not legal. This is not true. It is true that Binary options when they first came on the market were not regulated as financial instruments but instead usually sold by the company with gaming license. However, this has changed as binary options have been developed and binary options today is to ensure that proper financial instruments. The Cypriot FSA CySEC was the first European FSA to regulate trade binary options. This has led to the most broker are based on Cyprus. As Cyprus is part of the EU dates broker who is licensed by CySEC offer trading of binary options to invest across Europe. Binary options are now regulated financial instruments and all brokers must have a license to offer trading binary options. This license can be for example come from CySEC in Cyprus or Malta Financial Services Authority.

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Top Brener
Top Brener
  • Member since: 19/03/2015
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  • Latest post: 12/07/2015

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