No Dealing Desk (NDD) Forex brokers

NDD Forex brokersWhat is No Dealing Desk forex trading? Why NDD Forex brokers are the most popular ones? No Dealing Desk is a type of forex trading whereby instantaneous admittance to the interbank market is granted. International currencies are traded at the interbank market. Whereas there is also trading that takes place through the dealing desk, its operations differ from those of a no dealing desk. How so? Dealing desks are available at most financial institutions and banks.

At the dealing desk, the trade can be offset, to mean that Forex brokers registered as a Retail Foreign Exchange Dealer and a Futures Commission Merchant can be able to dissolve the position of futures by infiltrating an opposite and equal transaction that disqualifies the delivery obligation. To get more information about the top No Dealing Desk Forex brokers, go through the table below.

  • Key information
  • Trading
  • Payment systems
  • Trading platforms
  • Trading instruments
  • Support
  • Trading accounts
  • Account settings
  • Spreads
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Filter
Company #LogoForex brokerFoundedRegulatedReviewsPayment systemsBroker type(?)Min. DepositMax.
leverage
Live spread
Interval:
Live
spread
EUR/USD
Live spread
Interval:
Live
spread
GBP/USD
Live spread
Interval:
Live
spread
USD/CHF
Live spread
Interval:
Live
spread
USD/CAD
Live spread
Interval:
Live
spread
USD/JPY
Live spread
Interval:
Live
spread
AUD/USD
Live spread
Interval:
Live
spread
NZD/USD
Live spread
Interval:
Live
spread
EUR/AUD
Live spread
Interval:
Live
spread
EUR/CAD
Live spread
Interval:
Live
spread
EUR/CHF
Deposit bonusAccount
LMFX1LMFX2015-3

Payment systems

NDD
50 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
XTB.com2XTB.com2002
FCA, CNMV
1

Payment systems

NDD, STP
250 $1:200N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FXTM3FXTM2010
IFSC, SEBI

Regulated

13

Payment systems

NDD, ECN
5 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
eToro4eToro2007
ASIC, FCA

Regulated

8

Payment systems

NDD, STP
50 $-N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
RoboMarkets5RoboMarkets2012
CySEC
0

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
  • MM
100 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
EXNESS6EXNESS2008
FCA, CySEC
17

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
  • MM
0 $1:2000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Libertex7Libertex1997
CySEC
0

Payment systems

NDD
10 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Plus5008Plus5002008
ASIC, FCA

Regulated

5

Payment systems

NDD
100 $1:300N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
NordFX9NordFX2008
SEBI, CySEC

Regulated

12

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
10 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A100 %
Forex4you10Forex4you2007
FSC
14

Payment systems

NDD, STP
20 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FxPro11FxPro2006
FCA, CySEC

Regulated

32

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
100 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FXCM12FXCM1999
ASIC, FCA
7

Payment systems

NDD
0 $1:100N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
AVATrade13AVATrade2006
ASIC, CBI

Regulated

10

Payment systems

NDD
100 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Admiral Markets14Admiral Markets2001
FCA, CNMV
8

Payment systems

NDD, ECN
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FIBO Group15FIBO Group1998
FSC, CNMV
10

Payment systems

NDD, MM
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Weltrade16Weltrade2006
IFSC
1

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
25 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Instaforex17Instaforex2007
RAUFR
11

Payment systems

NDD, ECN
1 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A30 %
Markets.com18Markets.com2006
CySEC
3

Payment systems

NDD
100 $1:300N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
AMarkets19AMarkets2007
Financial Commission, FSA
1

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
0 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A20 %

В акции участвует каждое пополнение торгового счета на сумму от 300 USD. Количество пополнений счета не ограничено. После пополнения обратитесь к персональному менеджеру для активации бонуса.

Blackwell Global20Blackwell Global2010
FCA
2

Payment systems

NDD, STP
500 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
HotForex21HotForex2010
CySEC, FSC
7

Payment systems

NDD
5 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FXDD22FXDD2002
MFSA
1

Payment systems

NDD, ECN
250 $1:50N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
ActivTrades23ActivTrades2001
FCA, CNMV
7

Payment systems

NDD
100 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
CMC Markets24CMC Markets1989
ASIC, FCA
1

Payment systems

NDD, STP
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Atom825Atom82013
FCA
2
NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
  • DMA
5000 $-N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Trade1226Trade122014-21

Payment systems

NDD
250 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Hantec Markets27Hantec Markets2009
FCA
0

Payment systems

NDD
1000 $1:200N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
PhillipCapital UK28PhillipCapital UK1975
ASIC, FCA
0
NDD
200 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Fort Financial Service29Fort Financial Service2010
IFSC
0

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
5 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A50 %Due to our developed system you can increase the amount of every deposit up to 50%! No doubt that more funds on your account means, more profit from trading is available for you.
ETX Capital30ETX Capital2002
FCA, CNMV
0

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
DF Markets31DF Markets2010
FCA
0

Payment systems

NDD
1 $1:200N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
IC Markets32IC Markets2007
ASIC
4

Payment systems

NDD, ECN
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
BMFN33BMFN1988
ASIC, FCA

Regulated

1

Payment systems

NDD, DMA
0 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A20 %New or existing accounts at BMFN who enroll in the Bonus Program and make a qualifying deposit will receive a deposit bonus up to $10,000!
Core Spreads34Core Spreads2014
FCA
0

Payment systems

NDD
1 $1:240N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A50 %Open a CoreTrader account and start trading our tight, fixed spreads. After a month claim your bonus
NPBFX35NPBFX1996
IFSC
1

Payment systems

NDD, STP
10 $1:200N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
FreshForex36FreshForex2004
KROUFR
7

Payment systems

NDD, MM
0 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex Club37Forex Club1997
CySEC, CBR
1

Payment systems

NDD, STP
0 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Degiro38Degiro2008
FCA, AFM
0
NDD
10 $-N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
AAFX Trading39AAFX Trading2014
ASIC, FSA
5

Payment systems

NDD, ECN
100 $1:2000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A30 %As a warm welcome to our newest traders, we are offering a 30% bonus on top of your initial deposit into your first AAFX live account.
GO Markets40GO Markets2006
ASIC
0

Payment systems

NDD
200 $1:300N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex.ee41Forex.ee2004
FSA
0

Payment systems

NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
10 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Tickmill42Tickmill2014
FCA, SIBA
0

Payment systems

NDD
25 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
City Index43City Index2001
ASIC, FCA
0

Payment systems

NDD, ECN
250 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker FriedbergDirect FriedbergDirect44Forex broker FriedbergDirect FriedbergDirect2008
IIROC
0

Payment systems

NDD, STP
0 $1:33N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker iOCBCfx iOCBCfx45Forex broker iOCBCfx iOCBCfx2004
MAS
0
NDD
1000 $1:35N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker UOB Kay Hian UOB Kay Hian46Forex broker UOB Kay Hian UOB Kay Hian2000
MAS
0
NDD
0 $1:50N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker KGI Futures KGI Futures47Forex broker KGI Futures KGI Futures2001
MAS
0
NDD
1000 $1:50N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker Haitong Haitong48Forex broker Haitong Haitong2010
MAS
0
NDD, ECN

Broker type

  • NDD
  • ECN
  • STP
0 $1:50N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker FXCitizen FXCitizen49Forex broker FXCitizen FXCitizen2010
VFSC
0

Payment systems

NDD, ECN
10 $1:1000N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Land FX50Land FX2013
FCA, FSCS

Regulated

0

Payment systems

NDD, ECN
300 $1:500N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A10 % 10% bonus applies equivalently to First deposit amount above $300
Forex broker AXITrader AXITrader51Forex broker AXITrader AXITrader2007
ASIC, FCA
1

Payment systems

NDD
0 $1:400N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-
Forex broker Ak Investment Ak Investment52Forex broker Ak Investment Ak Investment1996
SPK
0
NDD, DMA

Broker type

  • NDD
  • DMA
  • MM
1000 $1:100N/AN/AN/AN/AN/AN/AN/AN/AN/AN/A-


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How to pick the best NDD Forex broker?

NDD Forex lists

Brokers who employ the no dealing desk system work hand in hand with several liquidity providers in a bid to achieve the most competitive prices. Investors who choose to use this system are able to gain contact to feasible rates.

No dealing desk brokers can further be broken down to:

  1. Straight Through Processing (STP) brokers
  2. ECN brokers, which use electronic communication networks (ECNs)

However, the straight-through processing system is hardly applied.

STP Forex brokers work in such a way that they have their customers’ orders directly programmed to their liquidity providers who have an access to the interbank market. As earlier mentioned, no dealing desk STP brokers work with a number of liquidity providers who individually bring forward their own bid and ask prices. Then the system is tasked with selecting the best bid and ask quotes and presenting it on the platform. However, the brokers add a value on the given prices which serves as a means for them to make money. Whereas, the ECN brokers have their clients network with other players’ orders in the ECN. The players consist of banks, hedge funds and retail traders. Basically, these players trade against one another by presenting the best bid and ask prices.

It is important to note that all brokers protect themselves from financial loss by being on the opposite side of a trade.

Regulations on no dealing desk forex brokers

Regulation NDD

Investing in the forex market is accompanied with worry as to whether the selected forex broker is a good one or not. Not all brokers are the same. To avoid working with assumptions, it is important to settle for a regulated or monitored broker. This is because the regulations put in place are meant to safeguard the interests of investors. While there are several regulatory bodies in the forex markets of different countries, they all have similar objectives. For that reason, the main focus will be on no dealing desk forex brokers regulations in the US, South Africa and the Republic of Cyprus. The bodies that supervise forex trading in the mentioned countries are National Futures Association (NFA) and the Commodities Futures Trading Commission (CFTC) of the US, the Financial Services Board (FSB) of South Africa and the Cyprus Securities and Exchange Commission (CySEC) in the Republic of Cyprus.

National Futures Association (NFA)

 NFA is a self- regulatory authority independent of the US government. It was established in 1982 by the Congress in order to give the futures market an opportunity to formulate a self- regulatory body. Apart from regulating the futures market of the United States of America, NFA is tasked with

  1. Registration
  2. Arbitration
  3. Formulating strict compliance rules
  4. Market surveillance
  5. Enforcing authority

Commodities Futures Trading Commission (CFTC)

CFTC was founded in 1974 to regulate the options market and commodity futures. Its aim was to ensure healthy competition and efficiency in the futures market. The roles of Commodities Futures Trading Commission are:

  1. Protecting the players from malpractices
  2. Ensuring that integrity is upheld in all the financial processes
  3. Protection of participants against fraud
  4. Protecting market players against manipulation

Financial Services Board (FSB)

The financial regulatory organization in South Africa is known as the Financial Services Board (FSB), which is responsible for overseeing the forex market in a bid to safeguard the interests of the public, which includes Johannesburg Stock Exchange. The aim of the body is to maintain a healthy financial market in the country. The responsibilities of the Financial Services Board are:

  1. Ensuring compliance by its members
  2. Ensuring that the registered firms meet all the adequacy requirements
  3. Enforcement of laws
  4. Execution of legal action on members who violate the rules
  5. Extending support to customers by allowing them to air their grievances

The Cyprus Securities and Exchange Commission (CySEC)

Since 2004, which is when Cyprus joined the European Union, its operations were in alignment with MiFID regulations which allowed the country access to all European markets. However, CySEC still maintained the country’s regulations. Most brokers prefer CySEC as it has less exacting regulations and generally compliance costs are lower. The following are the roles of CySEC.

  1. Overseeing the activities of the Cyprus Stock Exchange, its transactions, listed companies, brokerage firms and the retail brokers.
  2. Give licenses to brokerage firms, brokers, investment firms and consultants
  3. Manage the licensed companies
  4. Foist administrative retributions
  5. Enforce legal action and penalties on brokers who violate the rules

Factors to Consider when choosing a no dealing desk forex broker

NDD What is it

1. Regulatory compliance

With the much-dreaded fraud in the forex market, the closest way to be sure that you are dealing with a legitimate no dealing desk (NDD) broker is to ensure that the broker is regulated. A good NDD will show which regulator he is listed under. For further confirmation, it is also important to verify their licensing online using their license numbers. Most reliable NDD brokers are actually registered by more than one regulatory authority. With that knowledge, it is much easier to trust the broker with your assets.

2. Fund safety and access

The best NDD broker to go for is one who guarantees the safety of the investors’ funds. The broker should provide a means by which client’s money is safe. For instance by providing accounts that segregate individual financial assets. A good broker should also avail ease of access to funds by the traders.

3. Data security

In order for one to open an FX trading account, he/she is required to provide a wide range of personal information. Access to this type of information through hacking could lead to a significant extent of loss. Not only is the trader prone to financial loss, but he is also vulnerable to identity theft. A good review of a NDD broker should be done to ascertain the effectiveness of the security measures put in place by the broker. This can be done by researching on whether the broker’s internet security provider is reputable and that encryption employed is of high quality.

4. Knowledge on NDD brokerage and the NDD system to work with

You also need to equip yourself with knowledge on the type of trade you are working with. In this case, the no dealing desk trading. It is important to have an idea on the amount of funds you will need to get into this trade. Also, it is important to understand the advantages and risks involved in working with a no dealing desk forex broker. As earlier mentioned, two types of systems can be employed in NDD trading, that is the ECN and the STP. That way, a trader will be able to choose a method that best suits his/her needs.

5. Execution cost

Trading costs are significant in the forex market. Reason being, they play a role in a trader’s return in the long run. Most forex brokers prefer not to charge commissions as per a trade, alternatively, they make profits through offering wider spreads than those of the interbank market. Beside spreads and commissions, the other costs involved in the trade are fees charged on deposits, withdrawals, wire transfers and credit cards. Before picking a broker to work with, it is important to take keen interest in the agreement provided and have a deep insight on costs that may be incurred during the contract.

6. Trading platforms

A trading platform plays a vital role in forex trade. The trading platforms employed by the brokers should be effective and efficient. The interface should be user friendly to allow easy navigation by the trader. Also, choosing a broker with a popular trading platform like MetaTrader 4 or MT4 is a safe choice, as its reliability has been attested for. Customizable platforms that are tailored to suit individual needs is also a plus. While choosing a NDD broker, put into consideration one that has demo accounts and platforms that will give you the opportunity to navigate your way through the trade without necessarily having to losing actual funds in the learning process.  

Other important factors to consider are the leverage the broker offers, trade margins and customer support.

Limitations/scam associated with no dealing desk brokers

The major malpractice involved in no dealing desk brokerage is manipulation. The brokers manipulate the rates for their own benefits. Among the reasons as to why they manipulate the rates is to attain instant liquidity, leverage their accounts and to fill unbalanced trades.

Popular no dealing desk forex brokers

1. Pepperstone

Pepperstone is rather new to the market, having been in operation only since 2010. However, it has quickly climbed up to the top of the charts of Australian forex brokers. A fact that has been proven by the many awards that the broker has been able to secure. Its ability to offer execution and access to Direct Market Access and ECN has made it a favourite of Asian investors and traders. Pepperstone is also under the regulation of Australian Investment and Securities Commission (ASIC).

2. Dukascopy

Among the biggest Swiss forex brokers, Dukascopy secures a significant position. Dukascopy is more of a bank that serves as a no dealing desk forex broker. Dukascopy platforms offers investors access to world’s largest electronic communication networks which is a hub for the interaction of hedge funds, banks, large investors and institutional funds. Dukascopy’s regulations are those of a bank and the regulatory bodies involved are FINMA, SCF and ARIF.

3. HotForex

HotForex is a renowned broker, having been voted for as Asia’s best broker in 2012 by World Finance. It has been in operation since 2010 and its performance is astonishing considering it has not been in the market for a long time. HotForex is the best broker to go to for traders who intend to start operations with small volumes. HotForex offers various platforms and accounts which gives its clients the liberty to choose which suits their needs better. HotForex regulation is under FSC Mauritius and CySEC.