RoboOption is a binary options website operated by RoboForex, a well-known company that has been in the online trading industry for years. RoboForex has a strong reputation and is highly rated; 88 voters on earnforex, have rated the company with an average of 8 out of 10. This on its own lends credence to their binary options platform and boosts confidence in their new services. On top of that, RoboOption is regulated by CySEC (license #191/13), and is registered with financial authorities in 18 different countries. For this reason, USA traders are not allowed, but RoboOption welcomes traders from around the globe with services in 16 different languages. Let’s take a look at the exciting features that set RoboOption apart from the competition, as well as some of their drawbacks.
Get Started with a Demo or Real Account
One of the things that I like best about RoboOption is the fact that they are totally up-front about binary options being a business of risk. They actively encourage traders to demo test before they trade live with real money. At the very top of the page, the first thing you see is the statement, “Binary Options can lead to a loss of part or all of your investment.” In an industry where a lot of binary options brokers try to conceal this fact, it really cannot be emphasized enough times.
Most binary options brokers who do offer demo accounts make them hard to find. Sometimes the only way to find out about them at all is to ask a customer service agent directly. That is not the case with RoboOption. This company wants you to find their demo accounts. You will find links to read about or open a demo account all over the site. When you go to register and create your account, you can choose between a real account, a demo account, or a trading contest account. A lot of Forex brokers offer contests on demo, but this is the first binary options broker I have run across to do it. If you win a demo account contest, you are awarded with additional bonus money to deposit into a real trading account.
The minimum deposit for an account is $200 or the equivalent (right now unfortunately RoboOption only accepts trading accounts in US Dollar or Euro; they do not even offer British Pound). One drawback with this broker is that they do charge fees for deposits as well as withdrawals. The amount depends on the currency you are transferring as well as the transfer method (credit or debit card, bank transfer, Skrill, WebMoney, Neteller, China UnionPay, or SafeCharge).
Bonuses and Rebates
RoboOption is a bit different from other binary options brokers in that they do not offer account tiers with special advantages. The amount of your bonus does depend on what you deposit, though. If you deposit up to $499 or the equivalent, you receive a bonus of 10%. Deposits between $500 and $999 receive a bonus of 10% or 20% (you get to choose). For deposits of $1,000 and higher, you can choose 10%, 20%, or 30%. The freedom to choose is very nice. These bonus amounts also are more reasonable and believable than the ridiculously high bonuses that many other (shady) websites offer.
Another interesting feature is rebates. While RoboOption does not provide an out-of-money refund for binary options which expire at a loss, they do give you money back as you trade (automatically) in the form of rebates. The amount of your rebate can range from 0.1-5%, and is based on whether the company classifies you at the Trader, Expert or Pro level. Those classifications in turn depend on your trading volume (starting at $5,000). Rebates are calculated and paid out monthly. If you have a small account, you may not achieve the volume turnover required to benefit from the rebates, but if you have a larger account, it is a nice feature.
Trading on RoboOption
RoboOption is powered by SpotOption, so the platform should be simple to understand and use if you are at all familiar with binary options trading. There are 38 different currencies, commodities, stocks, and indices you can trade. Currently, there are five different trade types: High/Low, 60 Seconds, Ladder, One-Touch, and Long Term. While it is excellent that there is a wide range in terms of expiry times, it would be nice if they introduced some other ways to trade like Boundary and Pairs. The trade sizes however are flexible and reasonable. There is a $1 minimum for 60 Second trades, and a $10 minimum for all other trade types. The maximum investment caps off at $250 for 60 Second trades, and $1,500 for all other types of trades.
Limited Resources and Support
There are a couple of other weaknesses on the site that are worth bringing up. The trade tools are good, but basic, and include double up, rollover, and early closure. You get an economic calendar, a FAQ, a glossary, and a video. Those are the only resources, however, and new traders will have to search for educational materials off the site. Normally I would consider this to be a bigger drawback than it is here, though, for the simple reason that I believe this site is geared at intermediate and advanced traders, not total newbies. You cannot learn everything you need to from the resources on any binary options site, and at least this one does not pretend you can.
The other weakness concerns customer service. You can reach the company via Skype, live chat, telephone, paper mail, or email. When we checked in during standard market hours on a weekday, however, nobody was there. Hopefully this is not the norm, and was just a glitch.
Conclusion: Imperfect, But Worth Considering
RoboOption has its flaws—absent customer service, nonexistent training materials, and fees for deposits and withdrawals are all problematic. The company is regulated, however, has a strong reputation and a longstanding history in the online trading world, and seems to be keen on building long-term relationships with experienced customers. This broker is definitely worthy of your consideration if you are trading outside the USA.