Different binary options brokers are usually determined by three main things – the platform the website is operating on, the bonus system and the nationality. The nationality factor is more than just the location of the main headquarters. We can also understand the regulatory body that has issued the license for the broker, as well as the agency that controls its regulation. By using this factor for differentiation, we today focus on binary options brokers that accept traders from Switzerland. The Swiss binary options websites are quite popular and reliable, so if you have not yet tried them out, your time has probably come. Before signing up to any binary options broker in Switzerland, first find out some more details about Swiss binary trading in general below.
The Specification of the Swiss Financial Market
Understanding the essence behind the Swiss binary options brokers begins with understanding the structure and the nature of the financial market in Switzerland at all. It is a well-known fact, for instance, that Swiss Domestic Gross Product gets 10% of its profits from the financial economy field. This makes the reputation behind the binary brokers really strong and reliable. However, the local currency is another fact that puts these particular trading platforms at the highest rate by both – specialists in this sphere, as well as the ordinary traders from all around the world. Know that Swiss Franc has been recognized as the 6th most stable foreign currency in the world and its value is a very key and significant factor for both the Forex and binary trading world. Let`s give you an example about the huge influence that Swiss Franc puts into force for the overall financial market.
Do you remember how at the end of the previous year, the Swiss Central Bank suddenly decided to shock the entire globe by increasing the value of the Franc. By the way, so many brokers depended on this foreign currency that they could not survive after these sharp changes. And here is where we need to tell you to be very cautious about Swiss binary brokers these days, because indeed, many trading platforms went into bankruptcy due to this story and some of them are not even worthy of your attention.
How Trustworthy Are The Swiss Binary Options Brokers ?
Swiss binary brokers are reliable mostly due to the fact that they are very precisely controlled by the national bodies, which are in charge for the Swiss financial market regulation. Many claim to be a Swiss based company, but on further review are only using the Swiss name. Make sure to check our reviews to see where each broker is based. Check out some detailed information about these agencies now.
Swiss Financial Market Supervisory Authority
The official regulation agency in Switzerland is settled and it is Swiss Financial Market Supervisory Authority. This is the controlling body that has influence on all of the Swiss binary options brokers and it is also popular with the shortest name of SFMSA. Be aware that this agency is a government body. Despite this, the Swiss Financial Market Supervisory Authority works independently from the government in the country. The regulation body is mainly responsible for the financial regulation. It represents a decent program with strict supervision for stock exchanges, securities dealer, financial intermediaries, banks and insurance companies. On the other side, Swiss Financial Market Supervisory Authority has also the right to provide and suspend official licenses and permissions operating on the binary options market. Solving disputes, charging with fines, giving administrative assistance to the brokers, dealing with more serious problems and etc are also parts of the job that SFMSA executes.
Swiss PolyReg is an additional regulation body among Swiss-based binary options market. Know that this is a self-regulatory agency for the Swiss brokers. Even though private and detached by the official regulation body, Swiss PolyReg is officially recognized by the SFMSA and the main national regulator allows the self-regulatory agency to perform several important and additional supervision functions. Both work in a collaboration. However, Swiss Financial Market Supervisory Authority has more options and rights to interfere the activity made by Swiss binary options websites.
Even though Switzerland is not a part of European Union, many Swiss binary brokers appear to be regulated by the EU too. We remind you that the European Union always plays an additional role in the regulation for all the binary brokers that are based in the country members. Still, European Union allows the financial trading Swiss brokers to use its set of extra measures for personal data and financial transaction safety.
Swiss binary options broker come with a safe environment and amazing trading facilities, so there should be any reason for you not to test them right away!