OptionFair offers a highly regulated binary options product and has a reliable portfolio of services. As is the case with all established brokerages, there are a few drawbacks, but none of them contributes to being a deal breaker as far as investing and trading binary options with OptionFair is concerned.
Introduction To OptionFair Trading Review
Trading with a regulated and licensed binary options broker does have its premier advantages. Safety of funds is paramount to every investor, and there isn’t a single trader in the world that isn’t worried about the implications of investing their trading capital in a fraudulent company. Profits in binary options trading are not only dependent on a sound knowledge of the market practices and a profitable trading system, but it also depends on the reliability of the binary options broker.
OptionFair is an established binary options broker that has several advantages that are conducive to safe and reliable binary options trading. In the financial markets, OptionFair has earned a positive reputation that is garnered primarily through a reliable trading service. There are areas where OptionFair can improve its products to suit the requirements of modern traders better, but overall, OptionFair does stay true to its guarantees of providing an authentic service. Our comprehensive OptionFair broker review should be able to serve as an excellent guideline for traders and investors who wish to understand the benefits and drawbacks of OptionFair before investing.
OptionFair Company & Licensing Details
OptionFair is a regulated binary options broker and is one of the very few in the markets that are actually recognised by a credible regulatory agency. OptionFair has its official headquarters in Cyprus and is regulated by the Cyprus Securities and Exchange Commission (CySEC). OptionFair is regulated by the CySEC under its parent organisation, known as B.O. TradeFinancials. B.O.TradeFinancials has two branches operating in Cyprus, with its registered headquarters operating out of Nicosia and its operations centre operating out of Limassol.
Cyprus is a part of the European Economic Area Agreement and regulates financial companies operating in the EU under the strict and efficient European Markets in Financial Instruments Derivatives (MiFID). The EU has several rules and guidelines that give priority to the safety of investors, and CySEC is also committed in its efforts to create a transparent and safe marketplace for all investors. With its European license, OptionFair is authorised by the EU authorities to offer services to all member nations in the EU, and can also cater to countries that consider CySEC to be a valid regulatory authority.
According to the CySEC regulatory policies, OptionFair should satisfy minimum capital requirements and is expected to submit periodic audit reports to ensure financial transparency. All traders’ funds are kept in segregated accounts and are protected through the Investor Compensation Fund (ICF) that promises to reimburse traders up to €20,000 in the case of broker insolvency. Hence, OptionFair is indeed one of the more credible and genuine binary options brokerages that provide a robust trading environment that is devoid of any financial malpractices.
Tradable Assets At OptionFair
There is a choice of around 130 different financial instruments at OptionFair, which is considered to be at par with the standard list of assets provided by leading binary options brokers. Although OptionFair manages to offer a varied instrument list, there may be instances when established traders might require access to a diverse choice of options, especially when it comes to trading Pairs and futures. Nevertheless, traders can expect to cover some of the major financial markets by trading in instruments that range from FX currency pairs, commodities, indices, and stocks. Here is a list of all the underlying assets provided by the company:
FX Pairs: EUR/USD, GBP/USD, EUR/JPY, USD/JPY, GBP/JPY, EUR/GBP, EUR/CHF, AUD/CHF, EUR/AUD, GBP/AUD, NZD/CHF, GBP/CAD, AUD/USD, USD/CAD, USD/TRY, EUR/TRY, AUD/NZD, CHF/JPY, GBP/CHF, CAD/CHF, USD/MXN, GBP/ZAR, AUD/CAD, USD/HUF, Bitcoin/USD, US Dollar Index, USD/BRL, AUD/JPY, CAD/JPY, EUR/CAD, EUR/NOK, EUR/ZAR, NZD/USD, USD/CHF, USD/NOK, USD/ZAR, USD/RUB
Commodities: Brent Oil, Gold, Silver, Platinum, Gold/JPY, Gold/EUR, Gold/Silver
Indices: DOW Jones, S&P 500, Nasdaq 100, BOVESPA, CAC 40-Future, IBEX 35, MIB 40- Future, SMI- Future, DAX 30- Future, FTSE 100- Future, IBEX- Future, BUX, MICEX, RTS Index, Nifty- Future, ASX 200-Future, Hang Seng Future, Nikkei 225-Future, TOPIX500, Bombay- 30, TA-25, TADAWUL, DUBAI, Kuwait Index, Qatar Index, Oman Index, South Africa 40 – Future
Stocks: Vodafone, BP, Telefonica, Orange France, BNP Paribas, AXA, Societe General, FIAT, BBVA, Gazprom, Renault, Sberbank, Tesco, Royal Dutch Shell plc, Samsung Electronics, Barclays, OTP Bank, MOL PLC, NK Lukoil OAO, Richter, Enel, Azimut Holding, Telecom Italia, HSBC, Adidas, Volkswagen, Siemens, PAO Severstal, Norilsk Nickel PAO, Google, Apple, Coca Cola, JPMorgan Chase, McDonalds, Microsoft, Cisco, Intel, Amazon, Yahoo, EBay, Pfizer, IBM, NIKE, EXXON, Citigroup, Amex, Baidu, Facebook, Netflix, Priceline, Disney, Gold Corp, Silver Wheaton, Goldman Sachs, Twitter, Boeing, Tesla, Visa, MasterCard, Alibaba, Pepsi, Honda Motors, Ferrari, GoPro, PayPal, Herbalife, Sony, Sumitomo, Toyota, Tata Motors LTD, ICICI Bank, Samsung, Anz, BHP Billiton, Westpac Banking, Rio Tinto
We would have certainly preferred the broker to provide a few more stocks and commodities, and it would have been an excellent idea for the broker to have provided Pairs and other unique options. We really don’t feel that the number of financial assets to be lacking in any aspects, and the instruments on offer should be sufficient for most traders.
Fees Of Trading, Products, & ROI At OptionFair
We are not aware of any hidden fees of OptionFair trading, nor have we found out any other costs that are related to maintaining an account at OptionFair. OptionFair is a regulated company, and it is expected to adhere to the policies and regulations set by the CySEC. Therefore, we are almost guaranteed that OptionFair does not charge any unnecessary costs to make up for any revenue loss or for improving their bottom line.
The broker enables trading of all of its underlying instruments through four different binary options products. Traders can choose the most popular High/Low options, or choose Short-Term, One Touch, and Boundary options. The High/Low binary options trades offer a maximum payout of 85% for certain instruments, which may be lowered down to 70% for several assets. Therefore the average payouts are higher than the average payouts that are offered in the market, and the highest payout of 85% is indeed representative of the average ROI offered by leading binary options brokers. If we have any complaints, it would be that the broker does not offer the possibility of receiving a refund for losing trades.
Despite the good payouts, we were disappointed to see that the Range and Touch options only provided an average of 70% ROI for in-the-money trades, which usually qualifies for revenues as high as 400% and 500%. Even the smaller binary options brokers offer a minimum of 200% ROI for these options, and we are not sure about the reason behind the company’s significantly smaller payouts for these exotic options. If you are indeed looking for the highest payouts, we do believe that the traditional high/low options to be the best bet for the largest returns.
OptionFair Platforms & Minimum/Maximum Investment Per Trade
All trading needs for OptionFair users are met by the third-party TechFinancial trading platform, which is a highly popular web trading interface that is adopted by numerous binary options brokers. The TechFinancial platform is one of the most advanced trading interfaces in the market and is constantly developed to provide an amazing user experience. The TechFinancial platform has the most user-oriented trading dashboard that not only provides all the platform features within easy reach but also provides the option of trading FX/CFD products along with the various binary options platforms. Traders can access all relevant account information through the trading interface to access the financial assets, expiry times, and even modify the charting options to suit their requirements. The OptionFair platform also has a trader dashboard that provides all information about open trades, trade history, news releases, promotions, economic calendar, and trading alerts, all accessible at a single place.
OptionFair allows its traders to manage their trades and close/exit their positions well before the expiry time. The option to exit, rollover and even double-up existing positions provide an excellent opportunity for traders to extend their positions in the market, or get out of their positions with partial profits or losses. The option to exit positions prematurely does come with a slight fee, which is debited from the account at the time of closing or modifying the position. Regardless, the minimum investment required to open a trade is quite high, as traders are expected to invest a minimum of $25 per trade. The minimum investment is considerably higher than the $1 investment required by other brokers, and even the maximum investment is pegged to $3000.
Traders are free to open any number of positions as they desire, but the company has capped the maximum exposure to $5000. The maximum cap on the trading is designed to reduce the risk to traders, but it may adversely affect larger traders who have larger equity in their accounts. However, we are comfortable with the maximum limits and recommend our traders to use their money management skills and lower capital outflow to reduce the risk in the market. The only concern is the minimum investment amount, which should be lowered to a more acceptable level to cater to smaller traders.
Availability Of OptionFair Mobile Apps
Trading on the move has never been as easy as trading with the OptionFair mobile trading apps, which are available for both iOS and Android devices. Traders can now install a dedicated OptionFair mobile trading platform on their devices by accessing the apps from the Google Play Store or the Apple App Store. These mobile trading interfaces do enable the best trading experience and are compatible with most modern smartphones and tablets running on Android and iOS operating systems. The OptionFair apps are fairly reliable and provide the best support to offer no compromises when compared to the desktop trading interface.
OptionFair Funding Options
An OptionFair account is only available for traders that are willing to deposit a minimum of $300 as the initial deposit, which is slightly larger than the $250 required by other mainstream companies. $300 is certainly a lot higher than brokers that accept smaller deposits, which can be as low as $1. The broker also enforces a maximum deposit of $1500 for new account holders, which will be eased if the broker believes that the trader does not have a gambling tendency. These financial restrictions are imposed as part of the regulatory requirements and are an essential aspect of enhancing the safety aspect of binary options trading.
Unlike other unregulated brokers, OptionFair does not stipulate any minimum withdrawal limits, as traders are free to withdraw any amount as they desire. The first withdrawal is free for every 31 days, while all subsequent withdrawals may be charged $30 or 30 units of equivalent base currency. The broker may also charge additional costs for withdrawals as per the funding method, but deposits are entirely free of cost to the trader.
OptionFair has a broad range of funding methods, including Credit cards, Wire transfer, Western Union, WebMoney, MoneyGram, Skrill, and Neteller. These options allow traders to use any funding option according to their preferences, and all methods, except for Wire transfer and MoneyGram, ensures instantaneous transfer of funds. The broker also provides same day fund transfer for withdrawals, and traders should expect the funds to reach their accounts within 48 hours. You should realise that wire transfer may take a longer time to process.
OptionFair Bonuses & Promotions
Being a regulated binary options broker, OptionFair does not provide any bonuses to its clients. Instead, the company offers trading insurance that provides a few risk-free trades that has a few trading conditions. The lack of bonus is indeed an issue for most traders, but it does prevent any conflict of interest. On the other hand, the broker may provide seasonal promotions and refer-a-friend programs, which offers the chance to win cash prizes and trading credits.
An OptionFair demo account is only available for traders after making a deposit, which defeats the purpose of a demo account. Traders usually don’t trust such brokers, as there are cases where brokers withhold clients’ money if they are not satisfied with the services. Nevertheless, OptionFair is a regulated binary options broker, and the broker will honour all withdrawals without any questions. Yet, we would have felt more comfortable with the broker if they had a free, unconditional demo account in their service portfolio.
Effectiveness Of OptionFair Customer Support
OptionFair has a thoroughly professional customer service department and is as expected from a regulated binary options broker. There is an option for live chat, or traders can contact the broker’s representatives through email and dedicated phone numbers. The EU has a strict regulatory framework that concentrates on improving the customer service aspect, which is why OptionFair continues to be among the top brokers when it comes to customer satisfaction.
OptionFair Training materials & Other Trading Features
OptionFair offers a very basic training resource that does not induce much confidence among traders. There are trading signals and news coverage provided for free for all verified customers, but that may prove to be insufficient for smaller traders. OptionFair needs to work on improving its training resource to be able to keep up with the resources offered by other mainstream binary options trading companies.
OptionFair Final Verdict
- A Highly regulated binary options broker that guarantees the safety of investors’ funds.
- Payouts are at par with the industry standards.
- Access to a global list of financial instruments.
- Traders get access to a highly reliable trading platform for both desktop and mobile trading.
- The customer support department offers top-notch service.
- Demo account is only available for registered traders and after making a deposit.
- No bonus offered in any form.
- Payouts for Touch and Range options are lower than other brokers.
Is OptionFair A Scam?
OptionFair is not a scam broker and is regulated by the CySEC of Cyprus, which is one of the most credible regulatory organisations of Europe. CySEC has several regulatory policies that prevent companies from indulging in any scam activities.
Does OptionFair Process All Withdrawals On Time?
Yes, EU regulation has guaranteed that OptionFair processes all withdrawals on time. Of course, there may be slight delays in payments due to payment conditions or internal delays, but the broker does process all withdrawals on time.
What Is The Minimum Deposit For Opening An Account?
Traders should invest a minimum of $300 for opening an account, while the maximum deposit is limited to $5000.
Do I Get Access To Professional Customer Service?
Yes, OptionFair has the best customer support department that is responsive and professional towards all clients.