First Set of Questions to ask
Now, the questions you want to ask are very simple, very basic.
- Are you regulated?
- Who are you regulated by?
- Are you located in my country?
(Note: Having a broker in your own country isalways a good thing. If you have a broker located outside of your country, you give up basic rights as a citizen. You do have rights as a citizen where you live if your broker’s located, where you live, because there’s a governing body.)
Second Set of Questions to ask
- Do you have any technology?
- Can I place trades over my phone?
- Can I place trades online?
- Do I have to download something?
- Is it desktop? Is it web-based?
- Does it work on Macs? Does it work on PCs?
- What are you using to trade with?
- Do you have a demo? (A demo account’s like fake money).
- Am I able to practice before I open up an account? (Using the demo account)
- Do you charge for the data feed? If so, how much is that?
Ask About Commissions
What are your commissions?
When you place a trade, your broker is going to charge you a commission or a fee for every trade you enter in, every trade you close. ( Why commissions? because they’re going to handle all the compliance side )
We call those round turn fees.
To understand and know thier fees, Ask them – I plan on placing 20 trades in a month. What am I looking at? I’m going to trade 20 micro contracts, or I’m going to trade 20 round term e-mini contracts. What does that look like?
