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India is among the countries where binary options are in great request. Yet, due to the imperfection of the local legislation, as of now, in this country, traders have to search how to deal with legal collisions. Below, we will inform you about the most effective methods and recommend platforms that are safe to use.
Let us start with the legal aspect. As of today, binary options are not legalized in India. In this country, the financial sphere is monitored and regulated by the Securities and Exchange Board of India and the Reserve Bank of India. And, according to the guidelines issued by the RBI, this kind of online trading is illegal. So, what are the available solutions? The most popular approach is to turn to a foreign broker platform as an intermediary, in such a case the regulation by local authorities is not obligatory.
How to choose a source for binary trading India?
- Find out whether it accepts clients from your country.
- Learn which assets it offers. Make sure it will allow you to form a diversified portfolio.
- Familiarize yourself with its rules and policies: a minimum investment limit, trading fees, deposit/withdrawal commissions and terms, etc.
- Test the customer support quality by contacting the corresponding department and asking questions you are interested in.
- Find real reviews by other traders on some third-party aggregator.
To assist you in your search, we have found 5 decent binary brokers that serve traders from India:
- Expert Options;
- Olymp Trade;
- IQ Option.
Still, there is a less risky solution as well ― choose another financial asset, for example, foreign currency pairs. Forex trading is properly regulated by the local authorities, so you will feel sure that your income is fully legal and protected by law. At first glance, it may seem that this method is much more painstaking. However, at the same time, it involves lower risks compared to binary options. So, it is a more advantageous choice in terms of building your future well-being.
Here are the most popular Forex brokers licensed in India:
- Admiral Markets;
- Interactive Brokers.
In sum, although binary trading may look much more promising in terms of increased rewards, as of today, it is not regulated in India. Hence, for local traders, the best solution is to switch to investments in foreign currencies, stocks, or other assets until the legal status of binary trading is clarified.