Forex no deposit bonus is a relatively new trend connected to Forex trading.
It is a great way for a client to start trading without leaving a deposit. In other words, you are able to open a trading account free of charge. This is the best way for clients without real experience to trade on the market without taking a financial risk.
Basically, it is similar to creating a demo account.
What does a client need to know?
There is a number of things you need to know before opening this type of an account for Forex trading:
- Even though you don’t have to leave a deposit, you still need a certain amount of funds on your account. Company will support you with a no deposit bonus. It varies from 25 to 50 dollars. This initial money will allow you to start trading on a platform without any financial risks involved.
- Please have in mind that client needs a verification in order to create a live account. Proof of identity and proof of address are usually required.
- You can’t have several account per household.
- Trading companies prevent early withdrawal without meeting specific conditions – you will have to make certain profit beforehand or to make certain number of transactions. For example, if you make profit of 300 to 500, you will be able to take from 50 to 100 dollars from your account.
- Once trader decides to withdraw all funds, he will also have to claim no deposit bonus that company initially gave him. In most cases, you won’t be able to open a new no deposit account once you close the initial one.
Positives and negatives of Forex no deposit bonus
When it comes to clients, no deposit account is almost ideal.
It allows you to try different platforms and different brokers before you start trading currency on a larger scale. There is no leverage or risk of any sort. Your funds will remain intact as broker will finance trading. Profits that you make can be regarded as after trial bonuses.
While clients can receive several types of benefits from Forex no deposit bonus, the bonus is not always beneficial for brokers.
Yes, this is definitely a marketing promotion that will help you get new clients. Unfortunately, due to the fact that you’re investing your own money, there are certain risks involved:
You might give money to people who aren’t interested in long-term investments or investing on a scale. Almost anyone is eligible for no deposit bonus and you can’t be certain that a client will continue trading afterwards.
Client doesn’t like your service
Even though the whole process is pretty straightforward, client may choose to go with another company instead. You always have to remember that this is still a service and you need to do everything you can to gain person’s trust during the process.
Decide where you wish to promote your services
Some companies prefer doing business in English-speaking regions. However, there are a lot of emerging countries in the world that are willing to try out trading. Choosing the right countries can affect long-term development of a company.
Changing the bonuses
Once you started doing the promotion, don’t change the bonuses. If the word comes out, this might lead to some disgruntled clients.
As you can see, there are a lot of risks for a company.
You should start Forex no deposit bonus campaign only when you’re completely sure that it will succeed.