No Dealing Desk Brokers
Non-Dealing Desk broker is the opposite of the prior one, Dealing Desk. This type of broker helps traders connected to the interbank market. However, the spread at NDD broker can't be fixed spread as DD, because they need to adjust it according to the price movement. Otherwise, they will ask their clients to pay off the commission per lot.
STP Broker (Straight Through Processing)
STP broker sends an order to their liquidity provider which has interbank market access. This kind of broker uses variable spread or floating spread for traders.
ECN Broker (Electronic Communication Network)
ECN broker helps their client to be straight connected to the ECN market's participants, including banks, hedge funds, brokers, even traders. ECN's clients are also possible to see the DOM (Depth of Market) from other participants. However, this broker usually asks their clients to pay off a large amount of deposit and commission.
| Broker | Regulation | Specifications |
|---|---|---|
| FXCM |
|
Since:
1999
Min Deposit:$1
Max Leverage:1 : 400
Rating:
|
| Swissquote |
|
Since:
1996
Min Deposit:$1000
Max Leverage:1 : 100
Rating:
|
| Axiory |
|
Since:
2011
Min Deposit:$10
Max Leverage:1 : 777
Rating:
|
| Capital Index |
|
Since:
2014
Min Deposit:$100
Max Leverage:1 : 200
|
| FXDD |
|
Since:
2002
Min Deposit:$250
Max Leverage:1 : 30
Rating:
|
There are four things we could check to recognize broker scams:
- Sensasional ads: They tend to promise a big number, sometimes unrealistic.
- Unproven regulations: Check out whether they are regulated and whether their regulations are legit.
- Untraceable contact: Find out if they have a legit communication line or real address.
- Bad reviews: Look at what people say about them.
Continue Reading at 4 Signs to Recognize Forex Broker Scams
Why forex brokers opt for multiple licenses?
Accordingly, there are two major reasons why many forex brokers opt for multiple licenses:
- To comply with regulatory frameworks in the countries where they offer trading services.
- To maintain market integrity and build investor confidence in the company.
Continue Reading at Guide to Forex Brokers with Multiple License
How do Dealing Desk brokers operate?
A Dealing Desk broker sets both the bid and asks prices on their systems and makes transactions at these prices with their clients. By doing so, the broker acts as the liquidity provider of the market.
This broker type is also sometimes called a B Book broker. To generate income, Dealing Desk brokers would charge spread to their customers. Spread is the difference between the ask and bid price and is often fixed by the market maker.
Usually the spread amount is usually quite reasonable due to tough competition with other market makers.
Continue Reading at 5 Signs Your Broker Trades Against You
What are the signs of money game brokers?
- Promising a fixed return
- Can't provide any track record
- Withdrawal difficulties
- Withdrawal process takes more than 10 business days
- Unclear regulations and office addres
Continue Reading at Beware the Trap of Money Game in Forex Brokers
Broker Categories
Related Articles