(Newswire.net — July 3, 2019) — There are many people around the world interested in learning more about Forex investing but reluctant to put their own money on the line to get started. One thing that many small to medium-sized brokerages are offering to encourage these “fence sitters” to begin investing in hopes of creating loyal paying customers for the future, is to offer a specialized Forex bonus called the no deposit bonus.
What is a no deposit bonus? This is money, usually between $25 and $50, that brokers allow investors to trade as an entrance into the Forex market without requiring them to first deposit their own funds to invest.
This bonus is designed to help investors overcome the learning curve of Forex trading in hopes of forging relationships with the brokers offering the bonuses. Unfortunately, it has been abused by tire kickers and others who are attempting to game the system, enough that fewer brokers are offering this particular, and mutually beneficial, when done well, bonus.
Many people wonder why brokers would make such offers, especially considering that it is smaller brokerages and not the larger ones who make these types of offers. The reason is simple. They don’t have major advertising accounts and name recognition to encourage new investors to their doors. Instead, they offer bonuses, such as these, in an effort to bring new investors into their fold who will remain with them once they learn the basics of Forex trading.
Forex no deposit bonuses aren’t the only options available to investors. In many cases, they aren’t even the best options available for investors who will be better served with bonuses that pay off after multiple trades have taken places and a significant relationship between the broker and investor has been established.
While there is certainly a place for the “no deposit” bonus in Forex trading, especially for encouraging skittish investors to take the plunge into the Forex trading pool, it is not necessarily the right choice for all investors. Investors who take the time to explore their Forex bonus options before diving in often get the best results for their efforts.