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

Discussion in 'Forex Brokers' started by daytrader-pro, Feb 2, 2012.

  1. Aby123

    Aby123 Active Trader

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    Even bonuses cannot be withdrawed thus this bonuses are useful when trading. aren't they?
     
  2. Exness Support

    Exness Support Active Trader

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    Its Not Necessary. Some Brokers like Exness and Hotforex are giving big bonuses even you can use that bonus as extra margin and gives you power of opening bigger positions. Those Brokers are regulated and absolutely fine
     
  3. FTT59

    FTT59 Trader

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    Hello

    It does not mean anything about the broker's profesionalism, IMHO. There are so many brokers out there and they try to attract newbies; They won't attract experienced traders because those ones won't look at the bonus but other specs from the broker (regulation, separate fund, no dealing desk, spread, slippage, etc...) Bonus will be quickly gone if any so you need to be sure that you trade under decent conditions

    I blog about fx trading, analysis, strategy and also share my experience of brokers:



    Cheers
     
    Last edited: Apr 23, 2014
  4. Kate

    Kate Trader

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    Well, let's talk about bonuses. Every bonus program has some note. For example, my broker propose me to get forty five percents from deposit funds as bonus. It's like deposit in bank. I have 10K and my friend gave me 4500 for a few time. I deposit it to bank, after some time I withdrawal all funds and give 4500 to my friend back. Suppose the deposit rate is 10%. So with the help of my friend I earned $450 more. And he got back his money and my thanks:D.
    So of course this bonuses are useful.
     
  5. trojan

    trojan Trader

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    I can't agree with someone here...( who offers you something "for free" is a "bad guy"). Don't be such a pessimist. As I can see lot of brokers who are giving some kind of bonuses, they also require a lot of conditions that you have to fulfill first, so after you can withdrawal your bonus, ex...number of transaction during some period of time. But let's be honest: these conditions are very difficult to fulfill. But even then, it's not the same thing if you are trading with 1000, or if the bonus is 100%, to trade with 2000 eur or usd.
    So even for a full time traders bonuses can help a lot....
    That is my opinion, and Kate I totally agree with you, that's my point.
     
  6. bablogfx

    bablogfx Confirmed HotForex Representative

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    yeah, and bonuses do not nessessarily mean double your money, they come with certain conditions and can be used for extra margine or a certain type of trading. always read the terms so it wont be confusing
     
  7. Bill Korneus

    Bill Korneus Trader

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    True! Even if your bonus is non-withdrawable. You can earn more money with bonus like this. If your broker is regulated then you have another degree of protection.
    And finally, What is "high" bonuses? I mean as a percentage to the deposit.
     
  8. garena

    garena Active Trader

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    I totally agree with you. Some brokers offer big bonus from 50-100% but that doesn't mean they are bad broker. It's just a way they want to attract new trader, or to earn more loyal client in this competitive industry.
     
  9. Aby123

    Aby123 Active Trader

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    Very well said..
     
  10. inggo

    inggo Master Trader

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    in short actually, marketing has a big role in any company's success, bonuses is not a bad thing! and hoestly some bonuses can't be provided by weaker brokers or new ones, but the problem is some traders think of bonuses as an EXTRA MONEY which is not the case here, usually a lot of traders neglect reading the ToS before agreeing to it. I im not much of a bonus guy anyway :)
     
  11. Aby123

    Aby123 Active Trader

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    And that being said it's not the brokers fault when that happens, it's the traders carelessness not reading first terms and agreements.
     
  12. kaito kid

    kaito kid Banned

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    I guess we have to read any existing regulations on bonuses provided by each broker. as long as these rules are still able to be fulfilled, we can use these bonuses to increase the trade balance we obtain
     
  13. Exness Support

    Exness Support Active Trader

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    Well i dont think there is any conflict of interest in giving bonuses and being a honest broker. Bonus is given for you to have extra leverage and cover draw downs. There are some top class brokers like Exness and Hotforex giving big bonus that doesn't make them bad brokers.
     
  14. inggo

    inggo Master Trader

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    yeah, I think bonuses are not the defining factor if the broker is good or bad!! in any case and just to be safe its always a traders homework/assignment to do a bit of research before joining any broker, I do agree hotforex and exness are good brokers. and even if the broker is a big one with a big name its still the traders responsibility to be cautious with his decisions. :)
     
  15. alexflemj

    alexflemj Active Trader

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    Any bonus is always a part of a strategy to get the clients attention and present a company's services.It probably would be easier to point out brokers that do not provide bonuses, rather than those who do.Mine offered me a Mondial 2014 Bonus and I am happy with it.
     
  16. garena

    garena Active Trader

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    It depends on the broker's performance in a long time, bonus is just a factor to consider is it a good or bad broker. I think it's weird if a new broker offer too high bonus program as Ceatrades (400%), and they are a bad broker. While some good brokers as FxPro or FXCM doesn't offer any bonus program but we have to admit they are good rep brokers.

    However, some other good brokers as HotForex, Exness, IronFx offer bonus program to their trader with a hoping that get more and more customers. So please don't judge a broker via their bonus program, read feedback about them would give you more accurate information.
     
  17. toretton

    toretton Trader

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    What a silly suggestion...Sorry if I offend someone but still. Great bonus scheme was a reason for me to open an account in the brokerage firm with whom I'm trading for almost a year. I must say I don't have any difficulties for bonus withdrawal. Of course maybe for some brokers-scammers this is just the way to attract new customers and take their money, but if u have the possibility to have a bonus then have it...Just made a research about the broker who r offering it first
     
  18. Fxpipper

    Fxpipper Master Trader

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    Bonuses are part of any brokerage today, from the top guys to the new entrants..that's the fact. Every broker offers bonus or an add on, just to entice everyone to sign up. It is a marketing tool and is being used effectively. As to what the trader does with the bonus, well more often than not they tend to burn it up inside a week..
    That's it, a broker offering a bonus does not mean that they are dishonest..
     
  19. toretton

    toretton Trader

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    totally agree. moreover the broker who gives a bonus could me the good one as he can give a bonus because some of bad ones even don't know how to give it...
     
  20. Fxpipper

    Fxpipper Master Trader

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    LOL I know..usually some of the newbies even try to cash out the bonus, despite the terms clearly listing that it cannot be done, just to make a quick buck..
    A bonus offer is an opportunity, and traders would do well to review the terms of the bonus, trade well and cash in on the bonus by trading effectively..
     

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