Let us assume for a moment that you are less than satisfied with your current online brokerage service. Perhaps their commissions were exorbitantly high. You might feel that not enough clarity was provided or that the system was lacking important investment tools. When you have made the final commitment to switch providers, it is important to perform this shift while keeping five separate metrics in mind at all times. Let us look at each parameter in greater detail. You will then be able to make a highly educated decision.
The Number of Underlying Assets
We can envision assets much in the same way as chevrons upon a military uniform are viewed. Greater numbers generally equate to a more robust and reputable platform. However, such options are also excellent ways to enjoy diversification and higher profit margins. Examine which systems offer the greatest diversity.
Any worthwhile system within the trading community must be able to offer targeted and effective mobile-friendly applications. As more investors are now accessing their accounts while away from the home or office, such systems have proven to be critical. This tendency should only become more pronounced throughout 2016 and beyond.
The Architecture Itself
The “nuts and bolts” of the platform should next be examined in greater detail. What types of trading instruments and analysis packages are available? How high is the maximum allowable leverage? Some other core competencies to examine are:
- Stop-loss orders.
- One-click trading.
- Email and mobile alerts.
- Hedging and scalping capabilities.
- Guaranteed limit orders.
Additionally, a demonstration account should be made available before you commit to the final registration process.
The types and avenues of customer service speak volumes in terms of the reputation of a specific online brokerage. There should always be an opportunity to contact a qualified representative, as it is likely that you will have questions from time to time. It is a good idea to navigate to third-party comparison sites and determine how others have rated these levels of client engagement.
Social Trading and Live News Feeds
Both novices and professionals should realise that the learning process never truly ends. Being provided with access to educational materials, specific guidelines and even the movements of other traders can provide you with the insight required to perfect your skills over time. So, does the system in question offer these amenities? Are there online forums which allow you to communicate with others? How many live news feeds are available and how often are they updated? Whether we are referring to a short-term Forex trade or a position in a CFD or an ETF, these principles are just as critical.
These five areas are of great concern if you are considering a migration from your current platform. We therefore encourage you to take an in-depth look at the tools that CMC Markets CMC Markets is able to provide. Making the correct decisions today will inevitably impact your levels of success tomorrow.