Trading in the Forex market, just like venturing in any kind of investment, carries a high risk of losing the entire invested capital. Beginners can find the experience quite intimidating. Thus, the thought of shelling out money from their pocket is pretty scary.
The solution Forex brokers see to resolve this problem, aside from providing demo accounts, is to offer Forex bonuses. Providing such allows beginners to get the feel of the market, and experience their platform and trading conditions risk-free.
Types of Forex Bonuses
Welcome Bonus
A welcome bonus is usually given to newly registered clients. Brokers offer welcome bonuses to motivate potential clients into signing up, and eventually get them to deposit their own money.
No Deposit Bonus
The most popular type of bonus, a no deposit bonus is available to both new and existing clients. Because there is no requirement to deposit funds, traders who look to switch to another broker can take advantage of this offer, enabling them to try out a new broker without any financial risk.
Deposit Bonus
A deposit bonus requires clients to make a deposit first to be able to receive a certain amount of bonus. The bonus size can be from 10-100%. Because traders receive additional funds on top of their deposit, it allows them to boost their trading.
Other Promotions
To stay ahead of the competition, Forex brokers come up with plenty of Forex promotions. Besides bonuses, Forex contests are popular among traders as well. Contests take place in real or demo accounts, and brokers provide real cash prizes. If you are looking to show off your trading skills, and earn real prizes, Forex contests are perfect for you.
Bottomline
Availing Forex bonuses is a good way to try if trading in the Forex market suits your taste and lifestyle without too much financial risk. But we recommend that you examine the fine print of any bonus offers, and to make sure that you only get them from trusted brokers.
