Binary Options: A Primer

There are many reasons for both stock traders and gambling enthusiasts to consider the new binary options trading (also known as digital options). Approved by the U.S. Security and Exchange Commission as late as 2008, traders have been enjoying these trading options for a few years. However, the industry is still very new, offering the beginner a chance to get in and go pro while the idea is still young. Sound complicated? It isn't. Here are several reasons why binary options are as simple as pie, even for newbies.

1. Binary Options Offer Minimal Risk
To participate in the stock market and expect substantial returns, investors have to put in thousands of dollars. Furthermore, in the shaky global economy we're facing today, investors are terrified to put money into stocks. After all, it's only been a few years since the stock market burned us for billions. Binary options is straightforward - stocks don't have to rise to earn you money, you simply bet on the numbers the stocks will hit, up or down. You can even make money on stock prices when the values fall. Investors can get started with a negligible amount, often as little as $100.

2. You Can Instantly Access Binary Options Online
Getting a stock broker on the phone to sell when stock values are plummeting is like finding fairy dust on the New York subway. It just isn't going to happen. Binary options trading happens quickly, and the trades occur in real-time. Some trades take place in as little as sixty seconds. This is exciting for people who are thrilled with day trading, and also appeals to the gambler who likes quick poker hands and super fast blackjack games.

3. You Can Play Binary Options With Or Without A Strategy
Stock market investments take eons of your time researching industries, individual companies, and predictions by analysts. Binary options traders can take the time to research if they like, but the casual trader can also make a bundle on these trades. For example, if you see a stock value climbing or falling for several days in a row, you can choose a call/put option. Of course, if you like to employ strategy there are tons out there to put to use earning you money.

4. Binary Options Offer A Simple Payout Structure
When investing in the stock market, it's impossible to know if you will earn anything, and if so how much. You may lose 100% of your investment or gain 200%. This is too much risk for some people, and binary options is the ideal solution. The second you put your contract in place you know exactly what you stand to gain or lose. Payouts are as simple: if you lose, you only lose the money you invested. If you win, you earn your investment amount plus your winnings percentage (usually between 75% and 95%, but often as high as 500%.)

5. Binary Options Is Wide Open
Since this industry is still in its infancy (when compared to longstanding investments like the stock market), therefore it's unchartered territory for the majority of investors. If you get into the action now, you can become an expert quickly and you'll have a head start on others as they find and enter this new field of opportunity.

It's really rare nowadays for an entirely new industry to spring up with such unlimited potential that's also simple and straightforward for beginners to learn.


by Michaela McNamara

In conjunction with Affiliate Media, Inc., Michaela McNamara established BinaryReview.com in 2012 with the intention of providing new options traders with the tools, reviews and information they need to profit from binary options trading.

Michaela joined Affiliate Media Inc. in 2011 as the company’s digital content editor. In addition to spearheading BinaryReview.com, she manages the content direction for the company’s websites with the goal of creating and providing trusted, engaging and interactive content.