No Dealing Desk - futures trading

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No Dealing Desk

NDD (No Dealing Desk) execution utilizes what is referred to as agency execution or an agency model. Whenever a trader places a trade, the order is sent to the broker and the broker immediately offsets the trade 1-for-1 with one of several liquidity providers.

As a result, the broker does not profit if the trader loses and does not lose if the trader profits. Instead, the broker is compensated by a pip mark-up added to the spread or by charging a separate commission. NDD is sometimes also referred to as STP (Straight Through Processing) or DMA (Direct Market Access).
STP (Straight-through processing) and DMA (Direct Market Access) redirect here.
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Created by  Big Mike , October 18th, 2011 at 11:36 AM
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