The Legality of Binary Options Trading in South Africa
May 26, 2016
All over the wold binary options trading is popular. Most people are cash-strapped and are looking at various ways to supplement their meagre salaries. Because binary options trading is a way to make profits, people are searching on the Internet for tips on how to trade. With binary options trading you can be profitable and achieve success. However this is only achieved when you trade with legitimate binary options brokers. Legality binary options trading is essential.
Make the Effort to Understand Binary Options
Binary options trading is where you predict the price fluctuations of commodities such as gold and silver. There is dissent amongst people about binary options trading – some say it is easy while others say it is complex.
Everyone agrees however, that you can make money with it, but it requires some effort in understanding it, analyzing the markets and reading the charts. It’s not the same as gambling at the casino where you spin and hope luck is on your side. Binary options trading is a bit different – part luck, part skill and part-knowledge.
Just like gambling in a casino in South Africa is not permitted for people below the age of 18, people want to know about the legality of binary options trading in this country. Research on the Internet will reveal to them that trading any type of Binary Options online is legal.
Legality Binary Options Trading – Keep Everything above Board
There are many different Binary Options trading sites. The crux of the matter is to only stick with those sites which are fully licensed and regulated. These sites keep everything above board and adhere to the codes of ethics and standards. But what about South Africa? Can one legally trade binary options in this country? Binary options trading is also popular in South Africa and legal too. However, binary options trading isn’t regulated.
Legality Binary Options Trading – There’s No Authority Regulating Brokers
Because of lack of regulation, in South Africa there aren’t binary brokers who offer trading services to traders in South Africa. South African companies cannot become binary options brokers.
Although South African brokerages can’t offer trading services, there are alternatives. There are a number of brokers who have access to South African markets. Brokers such as GOptions and Finpari aren’t regulated but they are still reliable.
Legality Binary Options Trading – Find a secure Trading Platform
Other brokers such as 24Option and Banc de Binary are regulated. These are the best binary options brokers for South Africa. They have licenses such as CySEC and FCA which is the Financial Conduct Authority in the UK. CySEC stands for Cyprus Securities and Exchange Commission. These are regulatory bodies which are in accordance with European laws. Brokers comply with codes of conduct and guidelines and offer South African traders a secure trading platform.
There are different kinds of binary options brokers as well as a variety of trading services. Some of these are –
- Robot trading. This is where traders allow the robot to make their trades for them. This is software which identifies entry and exit points automatically. The trader then doesn’t have to spend too much time analyzing the markets and making investment decisions.
- Classic binary options trading which is controlled by the traders.
- Trading signals. Known as entry and exit signals, these are indicators that let traders know when it’s a good time to buy or sell an asset. They give details about goings on in the markets. These signals can be e-mailed or texted or you can visit the broker’s website to get the signal as well.
Make Sure Your Broker is a Good Choice
Do research and find brokers who are recognized as reliable brokers because of their years of financial experience. Some are regulated and they provide quality trading services. In order to make a worthwhile selection, South Africans looking to invest must understand the differences between brokers before opening an account. You want a broker who –
- Doesn’t turn out to be a scam, who offers you trading tools to know more about learning binary options trading.
- Offers you the chance to practice with a demo account.
- Offers different payouts percentages. Verify the payout and withdrawal details of your broker and select the one that offers high payout percentages with low withdrawal fees.
- Will encourage you to go on to make larger profits from a range of other trading options. There are a variety of trades and you want to be sure your broker is up to date with them and that they are available to you.
- Is available to you 24/7. If the broker isn’t available to you, other staff should be ably conducting business from the different time zones in the world.. You want to know that your licensed broker offers a 24-hour helpline which includes live chat services to deal with all your concerns.
Binary options trading in South Africa is not only legal, but its a tool for cash-strapped South Africans to increase monthly income. There are binary options trading experts who have made it their business to offer interested traders a list of recommended brokers to deal with.
There’s Someone Watching Out for You
The Financial Services Board (FSB) is responsible for overseeing investing and general financial queries. They regulate the Johannesburg Stock Exchange and their goal is to ensure that trading binary options in South Africa remains on the right track.
They have a dedicated department protecting the rights of investors and dealing with complaints from customers. The FSB’s primary goal is to promote and maintain a safe and credible investment environment within the country. The FSB already supervises capital markets, credit agents and more. They watch for legality binary options trading included.
The Pot of Gold could be SO much more Alluring
People are showing great interest in binary options traders in South Africa. Wouldn’t it be the cherry on the top if the FSB would just regulate online financial betting? It seem inevitable that it must come fairly soon because of the importance of protecting consumers against fraudulent activities. Add to that the additional benefit for the FSB, who could tax binary options brokers.
The Rainbow Nation is waiting for regulation which would make the pot of gold that binary options trading can offer so much more alluring than ever. Legality binary options trading discussed. Please choose a platform from this site for safe and legal trading.
All info was correct at time of publishing