One of the fastest growing sectors in the financial industry is binary options trading. For the first time, everyone is invited, whatever your budget, which was not possible in traditional investment financial trading. This was because huge financial and time commitments were necessary to make a decent profit.
Traders in binary options trading can use the short-term nature of this investment type to make profits every day. The fact that profits are made in the short term are appealing to so many people globally and Canada is no exception. Albertans have taken to binary options very well because they find the accessibility of binary options and how fast profits are made here very attractive.
It is within the law to trade in binary options in Alberta, but it is surprising that no regulations govern this industry that is experiencing a growth curve.
Binary options trading in Alberta
The Alberta Securities Commission (ASC) is the agency that enforces the province’s security laws but it does not regulate binary options trading specifically. The Canadian Securities Administrators (CSA) of which ASC is a member is the umbrella body that is mandated to regulate capital markets for the whole of Canada.
There in mot much in form of publications on binary options from bodies that regulate financial markets or from many securities commissions. Responding to requests by Alberta residents, the ASC has made an attempt provide safe trading advice as regards binary options. It is legal to trade in binary options, they say, but the business is not under any regulatory obligations because it is not registered by any Canadian agency.
The ASC invites consumers to seek guidance on safe trading practices in binary options even as they get to work on having this trading being regulated eventually.
Delay with withdrawals explained
Traders realize the true benefits of binary options trading when they make profit withdrawals. Delays are often experienced when it comes to withdrawals, much unlike the speed with which deposits are posted. The process of withdrawal is slower because there are document verification processes, the preferred withdrawal path and wait times associated with different financial agencies and brokers. When traders understand these processes, it becomes easier to understand the delays.
To process withdrawals, brokers ask for proof of identification long before withdrawals are made or when they are requested. Traders will then select their preferred withdrawal method (wire transfers, or credit and debit cards). These methods will have their own approval processes that brokers are not party to which can cause delays of up to seven days before the transfers can be completed.
The measures that cause delays, though frustrating, are intended to protect traders. This way, money will not be credited to the wrong accounts and traders will not lose their money. To avoid this scenario, traders are advised to be sure of a broker’s withdrawal policy before opening a trading account with them.
Traders should not trade with unknown brokers. For Albertans, we have a confirmed list of recommended brokers.