Banc de Binary is a privately held trading and investment firm operating out of the USA. The broker’s binary option services are powered by SpotOption – one of the largest binary options platform providers. Earlier this year, Banc de Binary was named “Best Binary Options Trading Platform” at the World Finance Awards in London and here is what you can expect from it.
The return that the broker promises is between 65% and 91% for High/Low options and up to 500% for One Touch options.
If you are new to binary options, you should know that the return is pretty much the most important indicator to look for in a broker – it shows the statistical probability of being successful vs. losing your entire account balance. With this said, a return of 65% means that in order to break even, you need to have a success rate of 60.6% (e.g. you need to more than 60.6 out of every 100 bets you make to generate profit). To be profitable at a return of 91%, your success rate should be above 52.4%. As you can see, the higher the return, the bigger the chance of winning.
Back to the return of Banc de Binary, here is a more detailed overview:
- The average return for High/Low options (Digital Options Pro) for EUR/USD is 75%, Gold – 72%, and for Oil – gain 72%;
- For 60 Second options, the return for EUR/USD, Gold and Oil is usually 70%;
- The typical return for One Touch options is 400% for EUR/USD, Gold and Oil.
Let’s say you open a micro account with a deposit of $500 and start placing bets of $25 each (I am talking about gambling here, e.g. placing random bets with no regard of the financial markets). With a return rate of 70%, it will take you 130 bets to lose all the $500 (with 60 Second options, that’s over 2 hours of genuine fun!). 75% return, however, grants you 156 bets before you run out of money – over 20 bets more! Of course, if you do actually know what you’re doing and you’re familiar with currency exchange or stock markets, you will probably make some profit instead of going broke.
Bet size & refund
Banc de Binary offers over 90 assets for trading – including currencies, commodities, stocks and indices. The minimum trade amount is $1 and the cap is $8,000 per option bet (although personally I would only stake $8,000 on a 60 Second option where the risk of a price direction change is smaller).
Refund: In case you place an option bet at a certain level, and the option expires at the same level, then the amount of the bet is refunded to your account balance. This is actually pretty good, as many brokers would consider such a bet lost and you will not be refunded.
At Banc de Binary, you can choose between 4 account types: Micro Silver Account, Standard Gold Account, Personal Broker Reserved Account, and VIP Lions Club Account.
Micro Silver Account: Deposit between $500 and $2,500 to open the most basic account type at Banc de Binary.
Standard Gold Account: To sign up for this account type, deposit between $2,501 and $5,000 and you will get a 100% sign up bonus.
Personal Broker Reserved Account: This account type is suitable for anyone willing to deposit between $5,001 and $50,000 and comes with the following benefits:
- 100% sign up bonus;
- A personal broker;
- Access to Banc De Binary’s team of financial analysts;
- Trading signals;
- Money management;
- Trading classes;
- Priority customer service.
VIP Lions Club Account: This account type requires a deposit of $50,000 or more and offers the same conditions as the Personal Broker Reserved one, plus first access to all option contract. If you deposit over $100,000, you will also get a free concierge service.
You have a choice of 5 option types here: Digital Options Pro, the Option Builder, the One Touch Platform, the 60 Second trading platform, and BinaryMETA.
High/Low allow you to choose any of the available assets from a drop down menu, and a range of expiry times, every 15 minutes depending on your chosen asset. Then you simply have to decide whether the option will finish higher or lower than its rate at the time of making the trade. The platform will automatically monitor the trade for you and will close it when the option expires.
These are also known as High/Low options – with them, you need to wait for the expiry of the option to see whether you win or lose. In order to lose, you need to predict the movement of the option at its expiry – e.g. if you choose for the value of the asset to go up, it needs to expire at a value, higher than the one at which you made the bet.
The One Touch option type offers up to 500% payout on every trade. It comes with pre-defined rates needed to win the trade – e.g. there’s a certain level that the particular option must reach in order for you to win. If the option reaches that pre-set level, the platform automatically exits you at 5 pm that day and you receive your win of up to 500%.
These work a little bit different than the High/Low options: if the price of the asset reaches the pre-defined level, the bet is closed immediately and you take your winnings. If the level is not reached, at expiry, you lose your investment.
The 60 Second type is the best choice for traders who are looking for quick rewards. In its nature, it’s just a regular High/Low binary options but here all options expire in 60 seconds. This means that if you see the value of an asses clearly moving in one direction, you can make one or more successive trades and make profit quickly.
BinaryMETA is the latest addition to Banc de Binary option types set. What makes it peculiar is the capability of selling early or doubling your money mid-trade. BinaryMETA comes equipped with analytical tools so you can monitor an asset’s history from the moment it becomes available for trading. Traders can see the bets they have placed directly on a graph, which enhances the real-time analysis capabilities of the platform.
The Option Builder lets you customize your trades by setting the risk level and the exact expiry time. This option type is suitable for more experienced traders who understand the basics of binary options trading, as well as the fundamentals of market analysis.
Expiry times: on Banc de Binary, these can be 60 seconds, 15 minutes, 30 minutes, 1 hour, 1 day, 1 week, etc., depending on the platform you choose.
Deposit and Withdrawal
To fund your Banc de Binary account, you can use one of the following payment methods:
- Bank Wire Transfer
- Credit Card (Processed via Banc De Binary)
- Third Party Credit Card (Processed via MoneyBookers)
- Moneybookers/ Skrill
- Alertpay e-wallet
Withdrawals are possible via bank wire, credit card, Moneybookers/Skrill, and Alertpay. According to Banc de Binary’s website, cashouts are usually processed within 2 business days and there are no fees charged on them.
My personal preferences go towards VISA payments: deposits are instant, withdrawals usually take 3-5 business days and there are no fees charged by the bank (in this particular case, the broker doesn’t charge any fees either). Moneybookers payments are also a good option if you keep a disposable balance on your account but if you don’t, you should keep in mind that there are quite high fees for funding your Moneybookers account and cashing out your balance. Bank wire payments tend to take forever, and depending on the bank you use, the transaction fees can go through the roof.
When you sign up and open a Standard Gold Account, Personal Broker Reserved Account or VIP Lions Club Account, you automatically qualify for a sign up bonus of 100% of your initial deposit. In order to release the bonus, you need to wager 40 times the bonus amount – and if this seems a bit steep as a release requirement, you can opt in for a welcome bonus of 25% (again, wager 40 times the bonus amount to withdraw it). An overview about the best bonus offers you will find here: www.binary24.de/ratgeber/binaere-optionen-bonus-angebote
The broker also offers reload bonuses on a regular basis and VIP customers are eligible for rebates.
When I first opened Banc de Binary’s official site, I saw a banner offering a free demo account and I got really excited that I would be able to check out their platforms before I sign-up and invest any real money.
As it turns out, the demo account is only available after you create a real-money account. To me, this is just weird. What’s the point of having a demo account after I have already made a deposit and have a live account?! Business-wise, this probably makes sense but as an end customer, I find it plain stupid and I would rather have the opportunity to test the broker before I risk any money.
The return percentages of the broker are decent; however the return for EUR/USD is typically 75%, which is below the industry’s average of 85%.
On the plus side, the broker uses SpotOption’s technology which has proven to be one of the best available on the market.
The broker’s customer support is available around the clock and is friendly and responsive, which is another thing I value in a broker.