Market Makers rather than brokers
In Binary betting the term 'brokers' is wrong as those
providing binary prices are market makers and the relationship with
their clients is very different from those trading futures,
forex and CFD's.
Ultimately if the client wins a binary bet the market maker
loses and vice versa, therefore it is similar to the relationship a
bookmaker may have with a sports betting client. Losing clients are
profitable for the market maker, winning clients are not!
Fewer players but easy to open an account
There are far fewer binary market makers than there is to be
found in other areas of the financial markets. The technology
required for binary trading platforms is reasonably advanced and
has proved to be prohibitive to new entrants.
Nevertheless there is a choice of provider, whether it is a
spread betting or a traditional fixed odds company who has decided
to extend their product range to include this type of bet. All
of these providers have an online application process which means
you can usually open the account and begin trading within
minutes of completing your application form.
Much of the decision about who to trade with will lie with the
products on offer as well as the trading platform used. Many market
makers now offer bets on a very short term basis with traders able
to take views on how the market will move in the next 2, 5, 20
and 60 minutes as well as being offered daily, weekly and
monthly bets.
If you have a question about binary or
financial fixed odds products or would like us to research a
particular provider please get in touch and we will be delighted to
help you.