Forex brokers offer a number of trade promotions unique to this line of business. Other than Forex bonuses and associated contests, there can also be promotions without any particular name.
Copyright : PARIWAT INTRAWUT / 123RF Stock Photo
Deposit Bonuses
Deposit bonuses are offered to new clients by Forex companies. Existing clients may also be given the benefit of this promotion if they have opened a particular kind of account. The deposit bonus can be given for every deposit which a client makes. The maximum amount of bonus a client can enjoy and the minimum deposit amount vary according to the discretion of the company.
In deposit bonus, unlike other similar promotions, the total bonus usually would not be written off when you do a withdrawal. This, however, decreases proportionally. It is clearly an advantage which will help the client to benefit from this bonus. Profits made by trading this bonus can be withdrawn any time. There is no restriction.
However, if a client wish to withdraw this bonus, certain conditions are put forward by the Forex broker. These usually takes the form of trading of standard lots. It means that the needed traded volume for withdrawing bonus is correlated with the bonus amount. To give an example, if the client has received a $200 bonus, the same client must trade about 200 standard lots.
If a client wants the advantage of Deposit Bonus, the client must open a particular account as stated by the Forex broker and make a deposit. The bonus can then be obtained by pursuing the needed steps as instructed by the company. Such bonuses are credited to the account within a single business day.
There are however certain conditions linked to Deposit Bonus Forex promotion schemes. Sometimes the bonus is not permitted to be used as margin. It means that the client cannot use it to maintain open positions if there is a drawdown. Sometimes the bonus can be taken away when the account equity will become equal to bonus amount. Clients with direct deposits only can participate in such promotions. This is not permissible for internal transfers. Such promotions are available for only one bonus account for every client and linked to company rules.
No Deposit Bonuses
It is a kind of promotional bonus which Forex brokers utilize to attract fresh clients. This no deposit bonus offers traders the opportunity to test the platform used by the broker. It also helps in execution and service. There is no requirement to make any deposit.
A non deposit account is similar to a regular account. Traders will enjoy identical experience as they have with any live trading account. This trade execution is identical to a live account. There are however a number of differences. To give an example, the bonuses in No Deposit Bonus Forex accounts will have a few conditions so that withdrawals can be made.
A new client enjoying a No Deposit Bonus must fulfill a few conditions to make a withdrawal. A client armed with this type of account is effectively trading with funds provided by the broker. It means that the client has nothing to worry even if the client loses bonus credits. It is thus one the easiest ways to gain entry into Forex trading. There are no risks involved. Majority of Forex brokers generally offer a bonus for No Deposit Forex any amount from a minimum of US $5 to $500 or even more. The No Deposit Bonus is provided to every client for single use only.
Live Contests
Forex companies arrange a number of contests for traders. These are done with actual trading accounts. The winners may get high value prizes. In a few cases, money is also given in Forex live contests. The client not only obtain prizes, they also keep earnings made when they participated in the contest. Many brokers may credit the prize money with the trading account. Unlike the demo contests, clients (traders) take a more calculated approach when it comes to live contests. Every action taken by them is carefully thought out as actual money is involved.
Forex brokers offer a variety of contests for the client to break the monotony of trading. A competitive environment is also created. Live contest is such a kind of contest. In such a contest, the owner of the biggest profit will be rewarded. This reward takes the form of a bonus amount. The amount can be withdrawn any time. A registration process may be part of the action. The exact procedure varies between brokers. There can be limitation to the trading lot which should be traded so that one can remain in the contest. Traders are encouraged through this contest to execute more trades and thus form a competitive environment.
Participation in Forex live contests
Forex live contests are easy to participate. Many brokers keep it open to all – meaning no registration needed! In a few cases, however, you may be asked to compulsorily register. The contest duration varies between Forex brokers.
Clients generally have to:
1. Open live account under preferred Forex broker.
2. Complete verification process if any. A verified account is a must for any Forex company. Follow instructions to the letter to get verified.
3. Register for the contest.
Do note that:
– Usually, there is no deadline for registration for this kind of contest. It is possible to register anytime.
– Cash prizes could be given as contest rewards. The specific amount could be added to the account post qualification.
– Read out all T&C of contest from the company website. Every Forex company may have their own terms and conditions. It is thus essential to get all such conditions.
Demo contests
Clients (traders) can participate in demo Forex contests without any effort. There is no compulsion to deposit money in the accounts. Clients can get a number of concrete benefits by establishing a number of strong connections with other traders having same interests. Participation in demo contests offers traders the opportunity to get valuable trading experience. There is also the chance of winning a prize. No funds are needed to participate. Investing is not mandatory. Demo contests are always beneficial irrespective of whether the clients win or not. Forex brokers also gain as there is more than an even chance that the winning client will continue to patronize the same company that had conducted the particular contest. Prizes can be either placed on live accounts or can be withdrawn, depending on rules laid down by individual Forex firms.
Differences between Forex live contests and demo contests
A significant difference exists between demo contests and Forex live contests. Many are confused when it comes to differentiating between these two.
– Live contests are related to live accounts. Demo contests are related to demo accounts
– Trading money is not real in demo contests. It is actual money in real accounts
– The client may not register to participate in Forex live contest. In demo account, registration is compulsory prior to participation.
– After live contest whole amount of money can be withdrawn. It means the total money which is a result of money invested plus profits generated from live accounts. Clients can withdraw prize money anytime.
– Only the prize amount can be withdrawn in a demo contest from the demo account
Although both the accounts appear similar and functions too, you must differentiate between them.
Loyalty Programs
A number of Forex brokers provides attractive loyalty promotions. The list of Forex loyalty programs includes loyalty bonuses, non-cash and cash prizes, exchangeable points, and store items among others. All these can be enjoyed by simple participation in the available loyalty programs. Clients can check with their Forex broker for the loyalty promotions. They can also choose the best offer.
Many Forex firms make an effort to increase their client satisfaction. A standard tactic is to credit clients with a loyalty bonus of one percent for every trading year with every subsequent deposit post initial deposit. It means that clients get up to 11 percent bonus on a single deposit.
This loyalty bonus is done for the purpose of trading and will help clients to support positions they have made for much longer periods. It will also enable clients to trade bigger volumes.
Forex Rebates
It can be described as a cash back deal. A rebate helps to save a large amount of money when Forex is traded. When it comes to professional traders, an excellent Forex rebate is mandatory when they take the decision to open new Forex account. A cash back is given every time a trade is executed. It means that the client gains back a certain cash amount when a position is open or closed. This cash rebate is paid at the month end. The cash rebate can directly be paid by the broker.
Forex Rewards
The Forex rewards program is a special type of promotion. It permits traders to enjoy reward points for nearly everything related to account and trading. These reward points can be subsequently converted to prizes and cash. A number of brokers also provide trading courses and gift cards as bonus.
Seminars and Webinars
Forex webinars and seminars are regarded as one of the best ways to learn Forex trading. These are utilized to recruit traders towards trading Forex. If they fail, these activities are pitched towards them to improve their performance. A number of brokers provide clients a number of educational tools to make them conversant with the trading tools and also to increase the financial knowledge. Investment decisions can also be made in a more informed manner. Clients can sharpen their trading skills.
Refer a Friend
Forex brokers frequently offer trading bonus as incentives if an existing client refers an individual so that the second becomes a client and open an account, deposit money and start trading. The referee can them pocket a smart amount of money. Many brokers also gives a trading bonus for use in trading accounts.