Introduction: What is CFD trading?
There are many ways to invest our money in the hope of a return, one of those ways is the CFD market. The online trading world allows both traders and investors to trade an array of financial instruments. CFD (contract for difference) trading has been growing in popularity over the last couple of years. Especially now more than ever as the stock markets react to the recent epidemic of COVID-19.
There are several reasons why online CFD trading is popular in 2023, including the unusual global financial situation. We’ll explore the current economic and financial factors in more detail below, but there are five key things you need to know about CFDs if you want to make money as a broker affiliate.
- A CFD is a contract for difference. It is not an asset.
- CFD trading is quick and convenient.
- CFD trading is highly transparent and straightforward.
- When people trade CFDs, they do not buy the underlying asset.
- CFD trading is risky, but successful trades deliver high profits in a short time frame.
If you can communicate these five key ideas in your marketing campaigns, you’ll be able to convert traffic and earn commissions from your partner program.
The Global Economy and CFD Trading in 2023
The global economy is currently in a strange place. There is a lot of uncertainty about how it will perform in the second half of 2023 and beyond. There are several underlying issues, some of which stem from the COVID-19 lockdowns. Quantitative easing and the inflation that followed have undermined confidence in several national economies and contributed to the cost of living crisis. People are also worried about their savings losing value in real terms.
We also saw a global commodities crisis, partly caused by the War in Ukraine. Prices of energy and food staples shot up, adding to household expenses for billions of people worldwide. Against this backdrop, we saw the collapse of the Silicon Valley Bank (SVB) in March 2023, followed by the collapse of two other US banks and Credit Suisse.
Simply put: a lot of people feel pressured by the high cost of living. They are worried that inflation will destroy their existing assets and are skeptical about the stability of the international banking system. Anybody who wants to make more money, and take greater control of their money management, is potentially interested in online CFD trading.
More About CFDs
This type of financial instrument allows you to trade an underlying index, share, commodity contract, and many other assets without having to buy or sell physical shares. CFDs derive their price from the underlying asset. You can trade CFDs if you believe the price of the underlying asset is likely to go up in value or is likely to go down.
CFDs give you the power of leverage-meaning with a relatively small outlay (investment) you can make much bigger profits, but you should always be aware that it can also result in losses. As opposed to Forex trading, traders and investors have more options available with CFDs when it comes to selling shares when markets are falling. In fact, you can trade commodities, stocks & options, cryptocurrencies, bonds, ADR’s, ETF’s, Indices, and forex pairs all through CFDs.
Of course, for traders and investors, it is of utmost importance to trade CFDs ONLY with an online broker they can trust. AvaTrade, for example, is a leading award-winning broker, which is highly trusted and the most regulated CFD broker online. They have 6 regulations across 5 continents.
How to choose the best affiliate program in 2023?
Now that we have a better understanding of what CFD trading is, we will explain how one can profit from the right CFD trading affiliate program. Here is a list of the top 5 things to consider when choosing the best CFD trading affiliate program for 2023.
- Real-time transparency and fast payouts
It’s important to investigate whether or not the partner has an affiliate program that will provide you with a complete dashboard to track your performance and commissions. Make sure it is an advanced platform but also user-friendly, so you can easily understand and track your commissions on a daily basis. AvaPartner, for example, provides one of the fastest accurate payouts that utilizes cutting-edge technology with complete real-time transparency and reporting, which are all vital and ensure your ongoing success. - Marketing tools to help you succeed
Try to partner with an affiliate program that provides you with FREE promotional tools, marketing material, and trading education that will help you increase your traffic, improve your conversion rates, and that will help your customers. Look for an affiliate program that gives you full marketing support from their experts. - Offer customized solutions for your business needs
Partner with an affiliate program that offers unique tailor-made deals for your ongoing success. Highly flexible commission structures – competitive CPA, revenue share (trade rebates), hybrid deals, and even white-label solutions. All these customized solutions will help your business grow, and your profits soar whether you are an IB (Introducing broker), hedge fund or money manager, or online affiliate marketer. - Offers support and helps you succeed
Only partner with a CFD broker that will offer you your own personal dedicated account manager with support in your language. If they are not there to give you full support and aren’t dedicated to seeing you succeed, don’t bother partnering with them! - Only promote a reputable and professional broker
Your broker choice is the most critical decision you’ll make when you establish yourself as a CFD affiliate partner. If you’re aiming for a high income on a long-term basis, you need to sign up with the right Forex CFD broker partner program. You always need to follow one golden rule: Only represent a regulated and well-established forex broker with a good reputation and plenty of liquidity. If you follow this fundamental rule, you’ll be on the path to some highly lucrative commissions.
You should only promote a regulated forex broker like AvaTrade because they are the only brokers that attract high-volume traders. Regulated forex and CFD brokers also retain their most active traders for more extended periods. If you’re on a RevShare deal or an introducing broker, this is your key to a six-figure income. Professional online forex brokers attract professional traders and can afford to run top-quality affiliate partner programs with significant budgets. As an example, AvaPartner has already paid out over $250,000,000 in forex affiliate partner commissions. 2023 is already expected to be another fantastic year for AvaPartner affiliates.
CFD Trading Affiliate Program Checklist
When you decide to become a CFD trading affiliate, it pays to aim high from Day 1. Choose the right CFD trading affiliate program and focus on earning high commissions in your first month.
- Is the broker regulated?
- Does the broker have a full range of trading platforms?
- Are there forex and crypto CFDs, as well as a full range of stocks and commodities tradeable as CFDs? Does the broker also offer CFDs on indices, bonds, ETFs, or options?
- Is the CFD broker a powerful and dynamic brand that will be easy to promote?
Start now, get on board, and watch your profits soar!
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