If the broker gives high bonuses, its a bad broker?

daytrader-pro

Trader
Feb 2, 2012
7
0
12
hi guys.

talked to some friends, and we were wondering: Only bad brokers need to give high bonuses, because the know ways to get the money back?? Whats your opinion?

im also by the way very spectical to high bonuses (no one gives things for free without reasons....)
 

Easy Trader

Master Trader
Sep 17, 2011
240
4
59
If a trader is looking for a broker and taking this buisness seriously, bonuses are the last thing he/she is worried about. From my own experience when I 'hired' my broker they matched me 1:1 on my deposit up to $5,000 for 4 months. Which to a newbie would seem great. But I couldn't withdraw that money it was only there as buying power, so in away I looked at it as a ploy to get me to use higer leverege than I would with my original deposit.
 

Fxpipper

Master Trader
Oct 26, 2011
1,132
1
49
Nope, not really. Most newbies do not bother to review the terms regarding the bonus [on how you cannot withdraw it right away or how it will be credited to your account only after X trades].
And yes, some shady brokers do use "high bonus" feature as a marketing strategy but to be fair, most of the brokers do not fall under this category. Do the research, check out the broker in question before joining up.
 

hag.fx

Trader
Jan 11, 2012
5
0
17
It's not necessarily a bad thing, just advertising, marketing...
Sometimes that seems to be necessary to pick up begginers in the market.
If bonus or sales were bad things, big corporations wouldn't still doing that.
 

Fxpipper

Master Trader
Oct 26, 2011
1,132
1
49
Er..you may want to check out the broker and the "bonus" before opening an account. Check online for reviews on the broker and make sure you review the "bonus" terms carefully before setting up a live account..
 

Weizfx

Trader
Dec 4, 2011
12
0
17
I don't think that just bad brokers give bonus. I mean, what is the different between a bonus and any other kind of advertisement. Traders have to understand that brokers have to do marketing and you use for this purpose the tools that we are all aware of. Anyways, don't expect to get rich from these bonuses. There are good brokers that publish bonus promotions and are good brokers, but also there are brokers that do not promote any kind of bonuses such as sunbirdfx and it is a good broker too, so I don't think that you can generalize all broker with this argument.
 

Fxpipper

Master Trader
Oct 26, 2011
1,132
1
49
Sure, you really cannot tar all brokers with the same brush just 'cause they hand out bonuses. For example, I got bonus with both Trader's Way and FXCM and they delivered on the offer and happy about it. I'm sure there are other brokers who do the same, bonus paid and happy customers.
But the irritating thing is that not all brokers state the terms of the bonus upfront [you have to really dig around to get some valid info] and as a result, the client is left feeling like he or she has been scammed.
And then, there's the other variety, where the "black hat" brokers use the bonus feature like a "bait and switch" option and run away with your money [bonus included]..
So yes, when it comes to opting for brokers with bonus offers, it pays to do the research..
 

reed

Banned
Jun 5, 2013
51
0
0
hi guys.

talked to some friends, and we were wondering: Only bad brokers need to give high bonuses, because the know ways to get the money back?? Whats your opinion?

im also by the way very spectical to high bonuses (no one gives things for free without reasons....)
It mustn't be a bad thing for a broker to give high bonuses, though it may sound too good to be true. But it doesn't means they are playing pranks on us. Like my broker Profiforex offered 10% Welcome Bonus to a trading account. I think we should try and read the agreement terms to see if there are any other charges somewhere.
 

Fxpipper

Master Trader
Oct 26, 2011
1,132
1
49
Of course, when Trader's way and FXCM offered the same bonus, the terms were more or less the same - however, with Alpari it looked the same until I reviewed the small print..
So yeah, when it comes to bonus, read the terms governing it carefully.
 

Emibluz

Banned
Aug 22, 2013
165
0
27
Basically I don't think big bonus giving traders have some sharp dagger under their sleeves.Different fishermen with different baits. Bonuses could be financial cosmetics with which brokers look better to clients. The market is overflowing with brokers, and each would want these guest clients quickly at their table so brokers must wear very appealing FX perfumes such as handsome bonuses and would leave clients trailing them. Avafx offers traders a large Forex bonus on their initial deposit. Avafx for example, offers new traders bonuses amounting to a $1,200 deposit bonus. Though, not everyone who opens an account with AvaFX receives $1200 free Forex bonus, but only those that deposit $10,000. If you deposit a smaller amount, you could get juicy bonuses depending on your initial deposit.Those that mean the honorable AvaFX has some smelling skeletons in their forex cupboards?
 

fxprimusM

Trader
Sep 9, 2013
2
0
12
Bonuses are not necessarily a bad thing. My broker FX Primus offered a 100% bonus but of course with strings attached. As long you fulfill the requirements then the money is yours. I got my bonus and im sure fx primus gained as well. Win Win solution
 

Emibluz

Banned
Aug 22, 2013
165
0
27
I don't see brokers who offer high bonuses as very dangerous. Brokers have different ways to advertise themselves in a very competitive market like the forex. Once offered bonuses, review them seriously before accepting them. It is all about diligence not bias. This is the same fear-propagated-ill-perception that has bemoaned the market such that clients see brokers not under regulatory bodies as very dangerous when they could be innocent. IT IS ALL ABOUT DILIGENCE.
 

Aby123

Active Trader
Mar 17, 2014
113
0
27
Not really. Doesn't necessarily mean they're a bad broker. It's in our choice and knowledge to be cautious furthermore to always read the terms and conditions of the broker.
 

Bill Korneus

Trader
Apr 8, 2014
44
0
17
I know, that brokers who gives you high bonuses and who says that this bonuses you can withdraw from the account without trading are exactly bad brokers!!! ))))
Just for laugh)))
 

Rockefeller

Master Trader
Jul 12, 2013
101
1
57
London
Broker who offers you 50% or 100% bonus is usually a market maker. It means that there is a conflict of interest and it's in brokers interest to get this money back. Then you will start getting requotes, delays etc.
 

Kate

Trader
Apr 10, 2014
27
0
22
Ukraine
There are two types of bonuses: Withdrawable and non-withdrawable. What type are u talking about?
 

Bill Korneus

Trader
Apr 8, 2014
44
0
17
U saw 100% withdrawable bonus? Uniquely not scam)))) hahahah LOL.
Of course, non withdrawable.
And maybe both.
IMO if broker propose you withdrawable bonus more then 10% of depo then it is a scam broker