What are the binary options?

What are the binary options?
0 comments, 14/08/2014, by , in Economy, Trading

All of us were affected in some way by the financial crisis of 2008. For some of us it was a blow, because our assets were greatly devalued, while others are even now suffering the effects of the recession, which led to high levels of unemployment and austerity measures, and has severely impacted the economy, global trade and investment.

It was the result of this crisis that inspired the founders of anyoption to open brokerage binary operations. After them followed Banc De Binary and others. They expected that the aftermath of the global financial crisis would demand an easier way to operate in the financial markets, to calculate and limit risks. They took what in 2009 was a relatively unknown product and they set to work to make it available for both experienced investors and the general public. The results have been incredible. In recent years, binary options have gained popularity, spread the word among investors that have had already been discouraged and the industry seems to be expanding. Today there are dozens of companies that also offer online binary options through platforms – AnyOption like to believe they have created a revolution!

Binary Options Explained

So, what are binary options? Investors determine the value of an asset, such as gold, oil, the euro against the American dollar or the shares of Facebook, up or down. This simplicity allows traders to have full control over their trading decisions. If you can anticipate the direction which the asset will take correctly, you will earn the predetermined amount you choose to invest, usually between 70% and 80% percent. If you are wrong in your prediction, you will lose the amount invested. There are two choices, up or down and two possible outcomes, win or lose; hence the name “binary” trading.

The boom in trading binary options has been driven by investors who appreciate knowing ahead of time exactly how much they will earn or how much they will lose with each investment. Contrary to what happens in the stock market, the precise value and the percentage of the movement of an asset is not important. Unlike Forex, one can never lose more than the initial amount invested. Binary options allow investors of the XXI century to focus only on what is important; asset management, without having to worry about other factors, and enjoy exceptionally high performance of each operation carried out successfully. Simplicity really is profitable!

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