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Thread: Why some brokers have high minimum deposit?

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    Why some brokers have high minimum deposit?

    hi, i want to know that why some brokers still have high minimumdeposit as most of brokers allowing from $1.some still have $100 or more?

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    hi, really i don't know but i think they want to accumulate a big money from trader . and maybe think that good for theim to control small number traders. for example if make the minimum deposit is 100 dollar they know in the first time they don't have many trader in their system.

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    It's easier for a broker to have a small amount of traders with big capital that million of traders with a few bucks. More traders means more server problems, because you need more better servers and things like this. I've noticed this with fast growing brokers, they were awesome in the beginning but then when the number of clients raised the execution got slower and worse, bigger slippage and things like that.

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    A trader needs to start trading with some minimum amount.A broker provides leverage to trader to enhance his trading capacity so it has to be some minimum amount which a trader can invest and broker can provide leverage accordingly.

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    Senior Member mayengbam is a glorious beacon of light mayengbam is a glorious beacon of light mayengbam is a glorious beacon of light mayengbam is a glorious beacon of light mayengbam is a glorious beacon of light mayengbam is a glorious beacon of light mayengbam's Avatar
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    Quote Originally Posted by forexman View Post
    hi, i want to know that why some brokers still have high minimumdeposit as most of brokers allowing from $1.some still have $100 or more?

    there may not any good reason. they just want some serious traders in their company doing serious trading investing a minimum of $100. Moreover if a trader opens an account with $1-5 chances of facing the margin call is really high so they may not appreciate it and dont allow it
    Pliz do comment here if you like the post

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    Quote Originally Posted by forexman View Post
    hi, i want to know that why some brokers still have high minimumdeposit as most of brokers allowing from $1.some still have $100 or more?
    han aesa ha par ye ab itne kamyab nahi rahe kioun k ab forex trading bahot he aam ho gai ha or ab koi bhi en high commission lene wale brokers k sath investment nahe karta ha main khud bhi en k sath trade nahi karna chahoun ga

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    Quote Originally Posted by sathish999 View Post
    only if u have high deposit u will withstand the losses so the brokers permit u to have high minimum deposit. At the same time broker will get high profits from the spread if u use high lots.
    now i have learn the importance of capital in trading and having big capital will really help the trader to recover the losses but with low capital we wont have much chance to reduce the losses,we should trade only lowlotsizes using low capital

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    i think that some brokers just offer standard account and also they have some rules and they cannot open cents account or even less than that....but other brokers provide chances for everyone to trade and they can offer a cent account and can also offer 1$ deposit...while other brokers cannot even handle those small trades and they just want few but huge deposit traders....

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    Brokers used high minimum deposits as a way to choose only quality and high networth traders. They prefer to have clients who trade in high volume since traders with high deposits will trade with big lots. In layman term they want to catch big fish only and don't want small fish like us.

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    Brokers that require high deposit are brokers who wish to entertain only experienced traders. Also some money maker brokers prefer higher minimum deposits that they can earn a lot of money when their client loses his trades.

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