Query by aerofreak: Why do foreign exchange brokers give absent funds when opening an account?
Hello Guys,
I just opened a micro account with an on-line forex trading broker, and they give away one hundred% of your first deposit when opening a micro account. I just identified this suspicious and wanted to know if this is typical, and why brokers would do this?
Many thanks in advance!
Would this indicate that i have to shell out back these US$ 300, or are they “mine” and i shell out them back via the spreads by buying and selling?
Greatest reply:
Answer by Hops Aficionado
Because they know they’re heading to get it back. Very same explanation why casinos give away free hotel rooms, flights, and so on.
When I say get it back, I don’t automatically mean you might be going to drop all your money. Forex is high frequency buying and selling, and even if you happen to be productive in your trading they’ll make their income back again on the spreads.
Give your solution to this query under!
June 4th, 2011 at 9:09 pm
Why don’t you close your account and keep the $ 100 and then open a new account and you keep going until you are a millionaire?
June 4th, 2011 at 9:19 pm
What Hops Aficionado said is correct…
But some of them do have a catch, read the conditions for that money.
I had one that you had to pay it back. Needless to say, I did not signup with them.
June 4th, 2011 at 9:27 pm
Clients are Gold for them