The Internet Is A Place Where Everyone Is Connected To Everyone, One Way Or Another

Category: Finance, Currency Trading.

The issue of security has always been much debated when it comes to online trading. And to an extent such reservations were justified.

Till recently many would dread to even buy a ticket to a film through the internet, let alone trade on the markets using the facilities that internet offers. The internet is a place where everyone is connected to everyone, one way or another. Of course he can also hack into others' computers. And if someone is really smart enough he can exploit the weaknesses of various sites and cause a lot of damage to the members of that site. And these things have happened earlier. The security has been beefed up and it is much more robust and less susceptible to attacks from hackers and spammers.

But today, the internet is a much secure place than what it was, say five years back. Of course the internet companies have pumped in truckloads of dollars into their research and development to attain such security. But as online trading get increasingly easy many investors drop their guard. And now the results are there to see. That is criminal. There are a few simple things you should practice while investing on the net. You just cannot take it easy on the net.

Always have all you transactions confirmed by your online brokerage firm. So you shouldn' t be trading from office or library or a cyber cafe. Never trade from unprotected computers. Regularly update the security features of the software of your computer. Only open emails form a secure source. The most important software that you need to update are your internet browser, the firewall and the anti- virus software. Never click on mails that you are doubtful about.

Even if the mail reads that it is from your brokerage firm, don' t part with your log- in details. Never provide your account information to anyone. If in doubt call their customer support. Change your password regularly. They already have your details and they will never ask you for the same over email. And try to use all sorts of character to make is secure.

These are some of the basic rules that you need to stick to so that all your internet trades and transactions are safe and secure. Log- off the website after you are through with your transaction. This requires little effort, especially if you think about the losses you might endure otherwise. All online brokerages have a portion of their website devoted to explaining the measures they employ to protect your transactions. While concerns about online security will always be there, rest assured that the brokerages themselves have a very, very high stake in making you feel comfortable about the level of security being used. While it may be true in this world that nothing is perfectly safe, online trading is certainly as close as off line trading in providing safety in your financial transactions. Encryption is the process developed by super- genius computer nerds- - but, the good kind, you know- - to scramble data so that only the intended receiver can use it.

If you are making securities transactions that take place over the Internet, make sure that your brokerage is using high- end encryption. The higher the number of bits in an algorithm, the more sophisticated the encryption. (Repeat this last sentence three times, and use it, memorize it liberally in cocktail party conversations, particularly a conversation you wish to end. ) A 128- bit algorithm is the encryption level used by most online brokerages.