Binary Option Broker Review

As a result, prices may differ from those listed on exchanges and they may not be accurate to trading prices in real time. They are intended to be a used as informational material and as a guide, and not for trading purposes.The concept of binary options trading has been around since 1973, when options trading on financial instruments originated on the Chicago Board of Options Exchange. During those years, binary options were a semi-official investment product, open only to banks, institutional traders and wealthy investors in the over the counter markets.The Options Clearing Corporation was established in order to regulate these over the counter operations and to ensure that the obligations of the contracts they clear are fulfilled. The OCC operates under the jurisdiction of both the Securities and Exchange Commission and the Commodity Futures Trading Commission.That same year, the American Stock Exchange and the Chicago Board Options Exchange launched cash-or-nothing binary options and called them Fixed Returns Options. Since then, binary options have exploded in popularity thanks to websites called binary option trading platforms, which offer a simplified version of exchange-traded binary options.In May 2012, CySEC decided to include binary options in the list of financial instruments that fall within the scope of the regulatory legislation following approval by the European Commission. Brokers licensed to sell binary options in Cyprus must adhere to a minimum capital requirement of euro1 million, versus euro730,000 in Malta, and will be subject to both on-site and off-site compliance.These regulatory bodies require all licensed binary option brokers to follow industry-wide standards. They also have the power to penalize brokers who fail to hold in compliance with said regulations, and in some cases even ordering them to cease and desist all activities.Another fair-trading requirement that licensed brokers must comply with includes accurate pricing methods. Regulated binary brokers are subject to independent and random platform tests, ensuring that they are offering transparent prices across all assets.6option is an online binary options trading platform, offering a unique and simple way to trade a wide range of financial assets, such as stocks, currencies (forex), commodities and indices. Our online binary options trading platform provides real-time streaming quotes and analysis tools, which allow our clients to make educated investing decisions.In addition, we provide our clients with exceptional customer service and technical support to help facilitate trading activities and review investment strategies needed to achieve success in online trading. 6option offers its clients various educational material, including money management tools, technical and fundamental analysis training, as well as personal trading strategy sessions. Choosing 6option as your binary options broker will allow you to enjoy a secure, transparent, innovative and professional trading environment.Trading binary options involves significant risk and may not be suitable for everyone. You should consider whether you wish to acquire any binary option in light of your investment objectives, level of experience and appetite for risk. The options are not sold by us at market price but at a price that we are willing to offer you. The services offered by us are intended only for users who are not prohibited by the laws of their jurisdiction from acquiring financial contracts on the Internet. US clients are prohibited to trade with us. For further information regarding the use of this website please read carefully our End User License Agreement6option website is operated by Marketstraders ltd, address 1 st James Place P.O Box 460, Kingstown, VC0 100, Saint Vincent the Grenadines.Clearing Billing through IBB Venture 2014 , address 22 Zlaten ROG Str, Floor 5, ap. 13, Lozenets Region, 1407 sofia, Bulgaria.Copyright 20012-2015 6option. All right reserved.The issue of regulation and safety of traders funds is one issue that has dogged the binary options market since the inception of deregulated binary options trading in 2008. Initially, binary options was seen as a welcome innovation in a financial market setting that was already feeling the pinch of the collapse of prices in all financial markets following the global financial crisis.But a string of bad stories about many brokers setting up shop and eventually disappearing with traders funds immediately cast a bad reputation on binary options. An article by Gordon Pape on Forbes (describing binary options as a crapshoot) as well as the recent CFTC indictment of a binary options broker for illegal solicitation of clients in the US further served to add fuel to the fires being of controversy surrounding this market.What is it about regulation that makes it such a big deal Regulation is all about protecting the client and his money from theft, unfair trading conditions, bankruptcy and any other event that may be classified as a market infraction. Regulation puts a lot of responsibility on brokers to put in place facilities to ensure that some of these untoward events do not happen.Firstly, a broker must be known to the regulatory agencies. They have to have a physical presence, must be staffed by people of unquestionable character and must have the financial capability to settle all clients withdrawal claims. They are also occasionally required to submit themselves to scrutiny from the regulatory agencies. Furthermore, funds belonging to clients are kept in a segregated account to ensure that these funds are distinct from the brokers funds, and are therefore not affected by issues related to bankruptcy or otherwise.