- CFD Trading in 2022
- What are CFDs?
- 5 Reasons to Become a CFD Affiliate
- What is a Typical CFD Affiliate Profile?
- What is a Typical CFD Trader Profile?
- Promote CFD Trading as a Broker Affiliate Partner
- How to Choose a Profitable CFD Affiliate Program
- Make Money as a CFD Affiliate
- How to Promote CFDs?
- 5 Points to include in your affiliate content
CFD Trading in 2022
CFDs are a popular online trading method available at some of the world’s biggest and best-known brokers. A successful CFD affiliate can earn a lucrative six-figure income promoting CFD trading. If you want to make money as a broker affiliate partner in 2022 and 2023, it’s time to learn more about CFDs and how to promote them!
The uncertain financial markets in 2022 can potentially attract large numbers of independent online traders. People worried about inflation and the possibility of a global recession may look for ways to take responsibility for their finances. CFDs allow traders to aim for high profits even when assets fall in value. News reports that OIL is tumbling towards $100 a barrel can work well for astute CFD affiliates.
If you understand how to promote CFDs, you can continue to earn high commissions during challenging markets. However, not all financial analysts predict a significant recession in Q4 2022 or 2023. HSBC’s head of Asian economic research, Frederic Neumann, and Harvard economist Jason Furman are largely upbeat about consumer spending power. They predict demand for consumer goods and services will largely sustain the global economy. This is also great news for CFD affiliates.
What are CFDs?
CFD is an abbreviation of the term contract for difference. A CFD is not an asset like OIL or Amazon stocks that you can buy or sell. A CFD is a way of potentially profiting from the underlying asset without buying it. A trader who wants to open a contract for difference on an asset, e.g., GOLD, has a choice of opening either a Call or Put position on the asset.
If the trader expects the asset to gain value, he will open a Call position. If he expects the asset to decline in value, he’ll open a Put position. Call is equivalent to buy, and Put is equal to sell. The trader hasn’t bought the asset – he is speculating on its future market performance. If the trader predicted the asset price changes accurately, his profit would be the difference between the CFD’s opening price and closing price: Hence the term contract for difference.
Reasons to Become a CFD Affiliate
- Partner programs for the top CFD brokers pay very high commissions
- CFDs are easy to promote and continue to attract new traders
- Regulated CFD trading is completely legal in most countries
- You don’t need a big budget or previous experience to become a CFD affiliate
- When you make money as a CFD affiliate, you can achieve financial independence
What is a Typical CFD Affiliate Profile?
There isn’t a typical CFD affiliate profile. CFD affiliates come from all kinds of backgrounds. They are men and women of all ages from dozens of different countries. Successful CFD affiliates do have some things in common:
- The ambition to make make a lot of money
- A desire to work their own hours and be their own boss
- A willingness to learn and adapt
- At least a fundamental interest in digital marketing and technology
- Readiness to work systematically and build a profitable business
If you’re a self-starter, want to earn high commissions, and have a website or strong social media presence, you can take the first steps to become a successful CFD affiliate today.
What is a Typical CFD Trader Profile?
CFD traders are similar in some ways to CFD affiliates. They want to earn high profits and achieve personal and financial independence. Some online traders start with the goal of making extra money in their spare time. Others are determined to build full-time careers as independent investors and traders.
Generally – though certainly not exclusively – CFD traders tend to be men in the 18-30 age bracket. This demographic is top-heavy in forex and crypto trading. One significant advantage of CFDs is that they are offered on ‘softer’ or lower risk assets like stocks, bonds, ETFs, etc. You can potentially target a much wider range of traffic, including women and older people.
Promote CFD Trading as a Broker Affiliate Partner
There’s nothing complicated about promoting CFDs as a broker affiliate partner. You can set yourself up as a CFD affiliate if you have a website, blog, or social media presence. Partner programs like AvaPartner are also keen to talk to people who own call centers, trading academies, or similar businesses and service providers. Although most people start as online affiliates, there are many other profitable ways to bring new traders to online brokers.
The fastest way for a new CFD affiliate to earn high commissions is to create high-quality content with unique affiliate links.
- The potential trader sees your content: Blog, guest post website, YouTube or TikTok video, Facebook or Instagram Post, LinkedIn article, etc.
- The reader/viewer clicks on one of your links. This could be your website, a landing page, a free trading tutorial, or a broker review. Ideally, the potential lead will click on one of your individual affiliate links and move straight into the broker conversion funnel as a live lead.
- Depending on your affiliate commission plan – CPA, Dynamic CPA, RevShare, or Master Affiliate – you’re potentially in a position to make money.
How to Choose a Profitable CFD Affiliate Program?
Successful CFD affiliates can regularly earn six-figure incomes every month. When so much money is involved, you need to work with absolute professionals whose reputation for honesty and efficiency goes back at least a decade. You can’t afford to work with unregulated brokers or newcomers to online CFD trading.
AvaPartner is one of the world’s most professional and experienced broker affiliate programs. They have a track record for excellence that goes back years and have paid out an astonishing $250 million in commissions to their affiliate partners – and show no signs of slowing down. AvaPartner is also happy to provide its affiliate partners with unique, individual marketing materials to help them promote CFD trading.
Make Money as a CFD Affiliate
When you’re ready to sign up with an affiliate program and start making money, you’ll need to be clear about who and what you are promoting. A major international broker like AvaTrade offers traders CFD positions on a massive range of financial assets. They also provide financial services for traders who want to open traders that aren’t CFDs.
If you take the time to familiarize yourself with the brokerage, you’ll have a serious advantage in online affiliate marketing and campaigns.
- Open a free demo account and learn the basics of online trading
- Try out all the trading platforms – you will promote these in your content
- Explore the entire asset index and learn about the different financial instruments
- Stay up to date with broker promotions, offers, bonuses, etc.
- Feature all new trading tools, new assets, and any other improvements to the brokerage
The broker is the brand you are promoting, but the brokerage contains several powerful mini-brands like the MT4 and MT5 trading platforms. IPOs (initial public offerings) for new stocks and coin offerings for cryptos are also great marketing tools if your broker offers new assets.
You need a confident and authoritative voice when you aim to make money as a CFD affiliate. That means being well informed, up-to-date – and factually correct. You don’t need to be a financial analyst or a subject matter expert. If you know what you’re talking about regarding the basics of online trading, you’re already halfway towards creating high-converting content.
How to Promote CFDs?
When promoting online trading and dealing with absolute beginners, financial jargon and market terminology is one of the potential stumbling blocks. The financial markets can seem like a closed world to new traders. You can create great content that explains the terminology and trader slang to newcomers. Educating site traffic and potential leads about CFDs is especially important.
CFDs are hugely popular and are the preferred trading method for millions of online traders worldwide. Use your content to define contracts for difference and use actual trades to illustrate your points. Explain the potential advantages of CFD trading, but avoid an overtly hard sell. You’ll gain a lot of credibility if you also explain the financial risks involved in CFD trading.
5 Points to include in your affiliate content:
- CFDs are simple and transparent investments.
- CFD trading is quick and convenient and can be automated via various risk management tools and bots.
- Newcomers can enter the markets and trade with a relatively small financial commitment.
- Contracts for difference offer high profits, but there is also a risk of financial loss.
- If a trade does not succeed, the trader will only lose the money invested in that particular position. There are no additional liabilities.
You can build a new career and start to earn money as a CFD affiliate right away. All you need is some initiative, common sense – and the drive to succeed!
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