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Margin Trading vs. Bonus Program

Margin Trading vs. Bonus Program

Let's explore the concept of 'increasing profit,' especially when working with limited funds. Consider a scenario where you have $100 to trade and have crafted a trading strategy that yields a 15% profit daily. Your initial profit is contingent on the size of your deposit. With a $100 deposit, your earnings would be $15. However, had you traded with $1000, your profit would have been $150.

So how can you do this without the additional funds required?

Experienced traders will tell you that almost all brokers provide trading leverage, also known as margin trading. It’s an easy way of making a fast buck. For example, if your deposit is $100 and the leverage is 2 to 1, then you can double your deposit by borrowing another $100 from the broker. One huge disadvantage of this approach is that leverage is a paid service, and if your strategy is high risk, you may lose not only your deposit, but you’ll also owe the broker money for the leverage and margin trading service. This very high risk and often leverage is only suitable for the most experienced traders.

So what other options are there? Many brokers provide new clients with promo codes and various top-up bonuses that can be used to trade on a real account. Similar to Uber which gives promo codes for free taxi rides. For example, the ExpertOption platform has a bonus program for new and existing clients, and it’s very easy to use. And the most important thing — bonuses are risk-free and will cost you nothing!

Let's give an example. You’ve just registered with ExpertOption, and you decide to deposit $30, so long as it’s within the first hour, your account will then be credited with $60!

Screenshot 2020 10 08 At 4.52.33 Pm

If you deposit $250, then $500 will be credited to your account! Starting from $1000, the bonus does NOT double the deposit but adds $500 to it. 

For example, if you top up an account with $2000, then $500 will be credited to your account. This promotion is valid for just one hour after registration and is only available to new clients! If you’re already a client of ExpertOption, you can still get a bonus, but it’ll be slightly smaller.

How does the bonus program work for existing clients? It's simple:

Screenshot 2020 10 08 At 4.52.27 Pm

By depositing the amount of 30, 50, or 100 dollars you will receive a 20% bonus. For example, if you deposit $100, your account will be credited with $120, and so on. For the amounts of $250 and $ 1000, we will add a 30% bonus. The maximum bonus for existing customers is 50% and is provided to anyone who tops up by $ 2500 or more.

Here's a simple example:

Bonus

Please note that:

  • Every single bonus amount depends on the sum of your deposit, your strike rate, and your profit!
  • Bonuses are not awarded for smaller deposits of $10 and $20.
  • And, of course, the bonus cannot be cashed out. Instead, it should be used to trade and earn without risking your own money!

For more details watch our tutorial video:

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