Many brokers provide different types of trading promotions. They serve not only to attract new customers but also to help them build a solid portfolio in less time. Users can choose from a variety of brokerage bonuses. Some of the most popular stock trading promotions include referral and deposit bonuses, welcoming packages, no-deposit offers, and more.
With all the variety of bonus offers, only a few of them are worth using. So, do online stock trading promotions really help in building an investment portfolio fast? Or are they nothing but a trick to attract more traders? Let’s find this out.
The type of promotion depends on the broker’s specialization and specific situation. For example, some platforms offer fee-free investing opportunities instead of cash. Others provide extra funds to match the first deposit or every time you want to reload the balance. Some companies deliver free stocks as part of the loyalty program, and so on.
The main thing you should know is that the majority of these promotions are not the best idea for getting free bucks. Besides, the bonus size is generally quite small. No matter how much money a broker offers, the amount of free cash hardly exceeds 1% of the deposit size. We should also take into account extra commissions, fees, and wagering requirements that generally erode the bonus value.
Luckily, not all bonuses work the same. Some of them can still be a great incentive. This mainly refers to the welcoming promotion and deposit or reload bonus that can sometimes be up to 200% match. Now, let’s have a closer look at all types of online stock trading promotions to select the one that meets your requirements.
As stated earlier, types of trading promotions and brokerage bonuses can vary. However, a set of baseline offers generally involves the following:
Note: always check bonus terms and conditions before claiming a promotion. Choose the one that suits you and your trading style. Do not ignore loyalty and reward programs, as they can open extra features.
To claim your bonus, you will need to complete several simple steps. The process may vary depending on the trading promotion type. Some offers involve pasting a promo code or using a coupon. Once again, make sure you clearly understand all bonus terms and conditions.
The process of claiming your bonus is as follows:
It does not matter what type of bonus you choose. Your strategy should never rely only on the idea of cashing out the promotion. This tactic is doomed to failure. The idea is to choose an offer that can slightly increase your chances of getting a quick buck with no effort. Try to adapt a bonus to the trading strategy to make the most of it.
This material does not contain and should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments. Before making any investment decisions, you should seek advice from independent financial advisors to ensure you understand the risks.