10 Tips on choosing a premium broker in Dubai

Importance of choosing the premium broker in the Forex market - Business Bib

When you invest, there are two significant elements; one is your investment, and the other is the brokerage firm and the brokers that work there. 

Having a good bond with your brokers can go a long way in getting advice that will help you earn more money. 

The relationship between client and broker goes beyond just telephonic conversation; they provide all sorts of information to guide you when making investment decisions on stocks, commodities, or forex trading.

Tips on choosing a premium broker

After consultation with brokers and stockbrokers in Dubai, the following tips have been prepared.

Good brokers are never pushy 

The best broker you can find is the one that guides you does not urge force or pressurize you to make decisions. 

A good broker will continually educate his clients about investing in stocks and commodities, help them plan their investments etc. 

A decent broker should be well-read 

Good brokers are usually very well-read; they know about all kinds of financial instruments, including shares, derivatives like futures and options, currencies like the USD or the Pound.

They read the financial news and keep themselves updated on all market-related developments. 

Good brokers are transparent 

They have no hidden agenda with their clients, nor are they greedy or self-serving. 

They do not want to exploit you for their gains, so it is essential to choose a brokerage firm where transparency between brokers and clients is respected.

A good broker knows that communication is critical

He will use communication tools like conference calls, Skype or WhatsApp to connect with his clients. 

It is better than just relying on emails that may not deliver an accurate picture of the investment opportunities being provided to him.

Brokers should be available 24/7 for communication 

Good brokers follow the best practices in customer service and use all available modes of communication to communicate with their clients. 

They should be easily accessible by phone, email, Skype, or WhatsApp whenever you want them and answer all your questions even during office hours.

A good broker provides timely and accurate information 

He has to keep his clients informed about market trends; he can’t avoid telling you if the market is performing poorly because that will only lead to confusion and panic. 

He will also note your concerns and tell you how they may impact different investments like stocks, commodities, etc. It is crucial to select a brokerage firm that can play this role effectively.

A good broker knows when to hold and when to fold 

A good broker will not pressure you into deciding because he knows the market changes every hour, making it essential for him to guide his clients towards making the right decisions.

Look for a well-regulated brokerage firm 

It will make your work more manageable if you find a good brokerage firm that follows all the regulator’s rules while carrying out transactions in Dubai for its clients.

Check if their licenses are valid 

Suppose you opt for trading through CFDs or use other financial instruments like futures or options. Their license at DIFC should be valid. 

At present, there are around 68 companies that have been granted licenses from the Securities and Commodities Authority (SCA) to provide their financial services at DIFC. 

It would be best if you knew that certain types of securities might not be allowed to trade at DIFC, so you should first know about the brokerage firm’s licenses and scope before signing up with it.

Check if they are registered 

If they hold a DGCX membership, they will be able to give options quotes, which is very important for investors looking for exposure. 

In contrast, if they do not have a DGCX registration, the only exposure you can get from them is through futures contracts on SGX or CME.

In conclusion

Choosing the right brokerage is almost as important as choosing the right stocks. 

It is essential to choose a suitable financial service provider.

One that will suit your needs and who will be there to help you whenever you need it.

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