Insured binary options have been around for many years, but received the attention they deserve in recent years. In the past, investors avoid options, naming sophisticated and too difficult to understand. In addition, certain investors and brokers have had bad experiences because they did not have the proper training. Like any other form of investment, poor use of options can cause major problems. The benefits of trading the following options:

· Profitability

Options offer great leverage. Therefore, an investor can obtain a position that is similar to a stock position, but at huge savings. However, the investor must buy the right to appeal to correctly mimic the situation of stocks.

· Less risk

It depends on how you use options. There are several situations of using insured profits system that often arise when stock options is risky than owning stocks. However, there are many occasions where the options can reduce the risk. Options are less risky because they require less financial commitment to the actions. In addition, they may be less risky because of their impermeability to potentially catastrophic effects associated with breeching. Options are considered a reliable type of coverage. This makes them much safer compared to stocks.

When investors buy shares, they often place a stop-loss order to protect their position. The stop command is to stop losing beyond a predetermined price that has been identified by an investor. However, the command works during the day. The next morning you can wake latest news indicating the direction lied about profits or rumors of embezzlement off. Therefore, the stock may end up trading below the price limit of the stop order. Options are not closed when the market is closed. You stand to benefit from 24/7 coverage.

· Higher return potential

Spend less money for good profits results in a higher yield percentage, when they reward. If you purchased stock for $ 50 and options for $ 6 (where the option is a delta of about 80) and the stock price rise from $ 5, stocks would generate a return of 10%. On the other hand, the option would generate $ 4 or 80 percent (due to the delta 80). Obviously, a gain of $ 4 on an investment of $ 5 results in a yield of 67 percent, which is better than 10 percent return on stocks. However, if the trade does go your way, you can lose 100 percent of your investment.