When choosing what is your best Australian CFD broker you need to understand that the price that they quote on their website is not necessarily going to be the best price for you. Many of these online trading companies have a minimum deposit required in order to open an account with them, and that can make the quotes look very cheap. As, well as this there can be bonuses offered for new customers or even for ongoing customers of the company.
These bonuses or ‘tester bonuses’ can then offset the price difference and add to the margin of profits that the online trading company makes. Obviously, this will make the online trading company increase the price of the CFD that they quote in order to get more of these bonuses. There is no transparency when it comes to the terms of the bonuses offered by these online trading companies.
Choosing your best Australian CFD broker
So what is your best Australian CFD broker? Of course, we all want to pay the lowest prices possible for any financial product, and the cheapest prices are always going to be offered through online trading companies in Australia. However, what is your best Aussie CFD broker when it comes to price? Is it the company that charges the lowest price for their CFDs? Or the company that offers the most bonuses for using their services?
Both of these are valid questions. In fact, it would be a good question to ask before you decide what is your best Australian CFD broker. What is the optimal price for you? If you’re trading small lots or micro lots, you don’t need a broker that trades everyday. Likewise if you need a lot of flexibility, you don’t need a broker that has a rigid system.
If you know your trading requirements before you get involved, it will make choosing the best one that much easier. For instance, if you only trade on a very infrequent basis and need some extra features and flexibility, an online broker may be your best option. However, if you trade frequently and are looking for a broker with a proven track record, then an on-site broker will suit your needs better.
CFD trading products
The second most important consideration is to consider what is your best Australian CFD broker offering. A wide array of CFD trading products can be found on the market today. Not all of them are suited to your lifestyle and trading needs. For instance, some of the top performing financial products in terms of yields last year were Metatrader and CFD trading software. These types of software are very user friendly and have been optimized to deliver a high level of efficiency and productivity.
However, they are also not free. The biggest problem with a lot of these online products is the lack of customer service and liquidity. Most of the big players have huge offices and large support teams. However, small firms often run on lean margins and do not have the resources to invest in buying and stocking a warehouse full of goods for each type of product. Moreover, trading platforms need to be customized to match the business’ particular needs. This may involve software changes and updates, which will take time.
In the end, you will still want a broker that has a proven track record and a good reputation. There are plenty of forex brokers to choose from. You should compare several brokers’ services and fees and consider what would be best for your trading needs. After you short list a few, you can speak to their representatives and request a free demo account to get a feel of their service. This will also give you an opportunity to test their trading platform and learn more about their platform and the products they offer.