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Why Binary Options are the Next Generation of Investments
Advertorial, Education | 08 June 2015
By:

We live in a world where everything runs on a fast track. Accordingly, people are interested in generating maximum profits in minimum time and risk. To be able to do that, they are looking for simple investment channels that do not require a lengthy training process and prior financial experience.

Simplicity And Fast Profits
Binary options trading combines these three crucial elements of simplicity, fast profits and low risk. It is simple because all the trader has to do is to predict correctly the general direction in which an asset (a stock, a foreign currency, an index or a commodity) will move by the time the option expires.

He has to choose between two alternatives only: whether the price will go up, or down. If his prediction turns out to be correct, the option ‘expires in the money’ and he will be entitled to a lucrative profit of up to 90 percent return on his initial investment.

If his prediction is incorrect, the option expires out of the money and he may lose all or some of his investment (Some trading companies, such as FMTrader, offers investors a special insurance policy that includes a partial refund in cases the option has not generated any profit).

Although there are options with an extended expiry time of one month and even longer, most options expire within the same day, so investors can expect to see profits quite fast.

What is more, investors who seek even faster profits may choose to trade in 60 second options. As their name suggests, these options expire within 60 – 120 seconds and allow traders to almost double their earning in literally minutes.

On the aspect of low risk, what distinguishes binary trades from other types of financial trading is that each trader knows in advance (based on the amount of money invested and the type of option purchased) exactly how much he may win or lose.

This gives him a strong sense of control over his investment. In other words, there is no room for unexpected surprises.

In addition, the fact that a trader is only required to broadly forecast whether the value of an asset will rise or fall, with the exact price bearing no significance, he is less susceptible to market fluctuations.

Trading Binary Options Wia The Internet
One of the most important advantages of binary trade is that it is conducted directly on the Internet while using specially designed trading platforms.

Consequently, a trader does not have to pay fat commissions to brokers or open a special bank account.

One of these platforms is operated by FMTrader. This highly advanced platform offers traders a rich index of more than 200 assets available for trading.

These assets are divided into 4 main categories: currency pairs (e.g. EUR/USD, USD/JPY), leading stocks (e.g. Coca Cola, IBM) indices (e.g. DAX, Nikkei) and commodities (e.g. oil, gold).

In addition, traders can benefit from a variety of investment strategies and hedging opportunities which allow them to take full advantage of market conditions to maximize profit and minimize loses.

The platform is 100 percent web based and enables traders to trade anywhere and anytime. The interface is user-friendly and does not require any financial or technical expertise to interact with.

Inexperienced traders will enjoy extensive training tools, such as an online academy, video tutorials, e-books and personal one on one training sessions with a professional broker to allow them smooth entrance to the financial markets.

In conclusion, binary options mark a new era in the investment world in which anyone, expert or layman, can engage in a highly profitable financial trade from virtually anywhere. The capital market has never been more accessible to the wide public.

This is a sponsored post written by FMTrader. You can find out more about FMTrader here.


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The Shares Investment editorial team welcomes constructive feedback on our coverage and content. We would also be delighted to answer any questions on the above article. Leave us a comment below, and we'll get back to you shortly!

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