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10-08-16 0 Hits

Money Mentors Club Review Financial instruments are major driving forces in today's finances. One of them is what is termed binary options. Binary options carry a high level of risks when it comes to predicting the price of an asset at a given point in time. Binary options are essentially two in nature: the cash-or-nothing option and the asset-or-nothing option. Whichever way if at the maturity date if the price struck at is not reached or the security value is not attained, no binary payoff will be received. Digital options trading as it is conducted today is relatively recent but it's growing in leaps and bounds. Over-the-Counter Period There was a time when option trading was carried out solely between the issuer and the purchaser. This was largely due to the lack or deficiency of liquid markets where these options could be traded before they would expire. Besides, the official rules and regulations that were used before now hardly applied to options trading. These were therefore known as over-the-counter binary options. They are now distinguished from exchange traded binary options. Here is the difference between over-the-counter trading and exchange trading. While the former bring into direct relation two parties, the latter requires the existence of well-organized structures and means of trading called exchange.

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