Just a few decades back, stock trading was a niche area of interest and very few people actively traded. Even those who did went ahead with the trading advice doled out by big banks or renowned trade analysts on television. Apart from that, the one person or institute which influenced the trade decision of individuals was the stockbroker, who could be contacted on the phone.
While most stock brokers can still take your orders over call and also offer you trading tips via mail, the practice is slowly getting replaced with a new one. Today, individuals who wish to trade can do so online without the help of any intermediary. Sure, they need to open an account with a broker once and then use the mobile app or web interface to place orders. This has completely changed the trading industry. Click here to Gain Direct Access to the Markets NOW!
In this move towards an online trading platform, it becomes important to consider the choice very carefully. In this post, we help you choose the best online trading platform with the following tips:
- Security First – Whatever everyone might say, the truth of the matter is that it is very easy to create a website that is a replica of a renowned stock broker’s website. Something called a phishing attack is so common these days that one can never be too careful.
Thus, while selecting an online trading platform, before parting with your money, it is necessary to ensure that the platform is a genuine one. The best way to do this is do a simple Google search and read some reviews on a neutral blog or community. Once you are assured of the security, you can go ahead and open an account.
- Fees and Charges – Obviously, if you are using the services of an online trading platform, there will be some fees and charges involved. All you need to do is check if the website contains a schedule of fees and charges in one single place. If the answer is yes, it shows that the platform is transparent.
Once there is transparency in pricing, the only task that remains is to compare the fees and charges and go for the one which suits your budget. Another small tip here is to ascertain what kind of trading you will be doing, as some platforms offer cheaper rates for day trading as compared to delivery trading.
- Customer Support – The importance of customer support and service cannot be overstressed in a service such as an online trading platform. Just imagine, you are placing an order, your money gets deducted but for some reason the order does not get executed. For a newbie investor or trader, it is a harrowing experience. Only a sound and responsive customer representative can assuage the concerns of the trader.
While ease of placing orders online is superb, an online system of grievance redressal that is quick and efficient is equally important for an online trading platform to build trust in the trading community.
- User Friendly Dashboard – Certainly last but not the least, the most important thing that a trader looks for in an online trading platform is a user friendly dashboard. This dashboard is where the magic happens and where dreams are realized.
Instant real-time information which is so crucial in trading is a crucial component of this dashboard. Other relevant aspects include your unrealized profit and fund balance which should be easily accessible from the dashboard.
Needless to say, these are just some of the basic factors to consider when choosing the best online trading platform. The requirements of each trader are different and unique and thus there is no one size that can fit all and choice will differ. However, these are some fundamental issues that need to be taken care of before opting for any online trading platform.