Online trading can be easy and quick. But as with any investment strategy, there are benefits and risks involved. Investments scams are still real, designed to take the money of gullible investors. There are plenty of legitimate ways to invest your money online. The trick is determining the real ones from the frauds and make investment decisions over time.

One of the best ways to make money from the comfort of your home is by online trading. This has exploded in popularity over the past decade. However, this is not something you should just jump into without knowing how it really works. If you try something like online trading without proper training, you could end up losing all of your money. If you are considering online trading, tread with caution. These a few of the many benefits of trading online.

Your level of control will be increased

In the world of online trading, every second counts. The decision to buy or sell a particular stock or commodity a split second or two late could cost you an enormous amount of money. If you are using a stockbroker to do your buying, selling and trading for you, it will take you a few minutes to contact this person and inform them of what you want to do. This precious time you are wasting trying to contact your broker could be costing you money.

Also, you will not be able to make any moves at night, when the markets in your country are closed. However, online trading is totally different. If you trade online, you are the master of your own destiny. You do not need to call anyone to make your trades for you. You will make all of your trades by yourself, at the exact second that you want to make them.

If you are looking for a good school to attend to learn about this method of making money, you can read some Online Trading Academy reviews. You will learn from the experienced traders on what to expect.

Related: Here is Why Traders Should be Using Trading Platforms

You can save money

Cost of trading will significantly reduce. Brokers make their living working with stocks and bring advanced degrees in business as well as years of experience to trading. All that can make them very effective, but also very costly.

If you employ a broker to make your trades for you, he or she will take a percentage of the profits of those trades as a commission. The more money you make, the more will go to your broker. However, if you perform online trades for yourself, you will be able to keep all of your profits.

And while you’ll pay for online trades, the cost won’t be as high. As more brokerages allow online access, the prices continue to drop, with many of the popular discount brokerages offering trades for under $10 each and some requiring no account minimum. Do your research and you will find many options to choose from.

Other equally important benefits of trading online

More flexibility in terms of being able to see what options are available to you and scan the market.

You will have handy tools to model interest earned, yield, returns etc., as well as financial screeners to research stocks and bonds.

You can have access to good research tools and newsfeeds on each stock you want to choose, which you can delve deeper into in your own time. A conventional offline broker may not always be able or willing to offer you all of these. You can also get many of these for free from sites like Marketwatch.

Take note of these potential disadvantages too

The main drawback of online trading is for many people the very thing that makes it so alluring: no broker input. Unless you are a well-informed investor, analyzing the markets and determining when and what to trade is a risky endeavor.

There is also the risk that the technology could work against you; simple interfaces mean trades and errors are both easy to make.

You’re on mostly on your own; you have to decide if it’s a good or bad buy/sell. You have no advisor to help you. If you’re not a pro, your risks may be higher.

This post was submitted by a contributor. Check out our Contributor page for details about how you can share your ideas on starting a business, productivity or life hacks with our audience.