According to recent research and analysis, the Forex market trading volumes are exponentially growing every day. This is understandable if we bear in mind its great potential for making profits even if your starting funds are limited. To make a profit and reach success as a Forex market trader, your choice of forex broker is decisive. So here are some important facts to know about the forex brokers that will help you in making a good choice.
There are so many Forex providers at this moment that you will certainly be spoiled for choice. But be careful! Not all of them can be trusted. There are a lot of reasons for precaution. Here is what you need to pay attention to be sure you are dealing with an excellent broker that works in your best interest.
Data privacy protection is essential for obvious reasons. When you open the account on the broker’s platform, you are going to be asked to give them your personal details such as passport number, utility bills’ copies, some bank account information etc. You must perform due diligence to be sure that the broker you trust your money to as well as your sensitive information has high-security standards.
Fast Trade Execution
There is no place for the lagging of the brokers’ platform you trade on. This is especially important with daily trading where you need to enter and exit the trade at a fast pace to make a profit on pips. That’s why the platform must be of the highest technological standards.
A Range of Products
Formerly, the Forex offered traders just the possibility to trade currencies. Today, you can find other financial instruments to trade with such as bonds, commodities, ETFs and many more. This is important because as you grow in your trading career and you accumulate your capital, you will need more wiggle room for your investments.
Transaction Costs And Trading Fees
The lowest the better for you as a trader, they say. The lowest cost the better broker, they say. Of course, the lower costs are in general better. But never go for lower fees and costs if the other criteria such as transparency and reputation of the broker are questionable.
Excellent Customer Support
Every good Forex broker has efficient, educated, available customer support available in your native language. It must be at your disposal all around the clock, on multiple channels such as telephone, email, direct chat. Indeed, most brokers don’t have a direct phone line to the large customer base. The best way to check out their customer support is by calling them or contacting them directly via chat. A good source of information is broker reviews, where you will see what previous clients think about the efficiency of the broker’s customer support.
Type of Educational Resources the Broker Offers
The serious broker will always go for a win-win situation, meaning they will teach you to trade before you start trading for real money and serious amounts. Look at the tools the broker offers to the rookie traders as well as the demo account options. This is a must for every beginner. Jumping straight into real money trading without any basics is a no-no.
No Deposit Bonus
To attract more people to trading on their platforms, the brokers will offer different kinds of rewards and bonuses. The no deposit bonus is good when you are starting to trade since it’s a kind of a gift from the broker just for signing up—however, different brokers, different terms and conditions regarding bonuses. Be sure to read them.