For every binary option types, AnyOption proposes an interesting functionality. The broker lets you adjust and compensate your preferred return and refund (also called return on loss). This is the only binary option broker to propose such functionality and it can give you a clear risk management advantage compared to its competitors. Indeed, the broker allows the trader to reduce the risk taken on a position with an active management of the “return / refund” ratio.
An exclusive functionality at AnyOption : adjust your return and refund
If you are really confident on your market scenario you can decide to opt for the highest return up to 80% and sacrifice the refund down to 5%. If you are more cautious about the underlying asset direction, you can opt for the lowest return down to 60% and a more defensive refund up to 25%. In the first case, you will earn a higher return on your invested amount if the option expires in-the-money, but only recover a small portion of it if the option expires out-of-the-money. In the second case, you will earn a lower return on your invested amount if the option expires in-the-money, but recover a higher portion of it in the event the option expires out-of-the-money (higher refund).
Binary options are highly leveraged financial instruments and 60% is already an interesting return for such short term trades. We strongly recommend new traders to give priority to a high refund rate. This strategy will allow you to recover more on your invested amounts in case you are wrong on the direction of your trade. You will thus be able to execute more trades and learn from your mistakes, which is the most effective way to improve your trading skills. Loss management is the most important aspect of risk management for a binary option trader. This is the key aspect to master in order to make money.
AnyOption is the only binary option broker to propose such functionality. It is a very attractive functionality and one of the main reasons of the recent strengh in AnyOption user growth. This is definitely something you should take into account to choose the best binary option broker. AnyOption requires a minimum deposit of 200£ (vs. 100£ for OptionTime), which is affordable for most traders. Don’t hesitate to have a look at our detailed review of AnyOption and become a real trader starting today.