Deriv offers complex derivatives instruments, such as options and contracts for difference (“CFDs”). These products may not be suitable for all customers and trading them puts you at your own risk. Please ensure that you understand the following risks before trading Deriv products:
a) you may lose some or all of the amount invested in the transaction,
b) if your transaction involves conversion currency, exchange rates will affect your profits and losses. You should never trade with borrowed money or with money that you cannot afford to lose.
Deriv, formerly known as Binary.com, is a prominent forex and CFD broker that has been serving traders since 1999. With a strong emphasis on innovation and user-friendly trading platforms, Deriv has grown to become a popular choice among retail traders. This comprehensive review will explore the various aspects of Deriv, including its history, regulatory status, trading platforms, account types, fees, customer service, educational resources, and more. By the end of this review, you will have a thorough understanding of whether Deriv is the right broker for your trading needs.
History and Background
Deriv’s journey began in 1999 when it was initially launched as Regent Markets. Over the years, the company rebranded itself as Binary.com, focusing primarily on binary options trading. In 2020, Binary.com rebranded once again to become Deriv, expanding its product offerings to include forex, CFDs, and other financial instruments.
Deriv’s mission is to make online trading accessible to everyone, offering a wide range of financial products and user-friendly trading platforms. The broker operates in over 100 countries and serves millions of traders worldwide.
Regulatory Status
Regulation is a critical aspect of choosing a forex broker, and Deriv is regulated by several reputable authorities, ensuring a high level of security and trust for its clients. Here are the primary regulatory bodies overseeing Deriv’s operations:
- Malta Financial Services Authority (MFSA), Malta: Deriv (Europe) Limited is regulated by the MFSA, providing services to clients in the European Union.
- Vanuatu Financial Services Commission (VFSC), Vanuatu: Deriv (V) Ltd is regulated by the VFSC, serving clients outside the European Union.
- Labuan Financial Services Authority (LFSA), Malaysia: Deriv (Labuan) Ltd is regulated by the LFSA, catering to clients in the Asia-Pacific region.
- British Virgin Islands Financial Services Commission (BVIFSC): Deriv (BVI) Ltd is regulated by the BVIFSC, serving clients globally.
These regulatory bodies ensure that Deriv adheres to strict standards of financial security, transparency, and client protection.
Trading Platforms
Deriv offers a variety of trading platforms to suit the needs of different types of traders, from beginners to advanced professionals. Here are the primary trading platforms available at Deriv:
Deriv MT5 (DMT5)
Deriv MT5 is Deriv’s branded version of the popular MetaTrader 5 platform, known for its advanced trading features and analytical tools. DMT5 is available in three account types: Standard, Advanced, and Synthetic.
- Standard Account: Suitable for beginners, offering competitive spreads and no commissions on forex, commodities, and CFDs.
- Advanced Account: Designed for experienced traders, providing tighter spreads and lower commissions, along with access to a wider range of trading instruments.
- Synthetic Account: Offers trading on synthetic indices that simulate real-world market conditions, available 24/7.
Deriv Trader
Deriv Trader is a proprietary web-based platform designed for simplicity and ease of use. It supports trading in forex, commodities, indices, and synthetic indices.
- User-Friendly Interface: Intuitive design with customizable charts and a variety of technical indicators.
- Multiple Trade Types: Supports various trade types, including high/low, touch/no touch, and in/out options.
Deriv X
Deriv X is a customizable, web-based trading platform that offers a wide range of financial instruments and advanced trading tools.
- Customizable Workspace: Traders can personalize their trading environment with adjustable layouts and multiple chart views.
- Advanced Trading Tools: Includes a variety of technical indicators, drawing tools, and risk management features.
Deriv Go
Deriv Go is a mobile trading app that allows traders to manage their accounts, execute trades, and monitor market movements on the go. It is available for both iOS and Android devices.
- User-Friendly Interface: Designed for seamless mobile trading with easy navigation and quick access to trading features.
- Comprehensive Trading: Supports trading in forex, commodities, indices, and synthetic indices.
Account Types
Deriv offers several account types to cater to the diverse needs of its clients. Here are the main account options available:
Standard Account
The Standard Account is suitable for most traders, offering competitive spreads and access to all trading platforms. It requires a low minimum deposit, making it accessible to traders with varying levels of capital.
Advanced Account
The Advanced Account is designed for experienced traders and provides tighter spreads, lower commissions, and access to a wider range of trading instruments. It requires a higher minimum deposit compared to the Standard Account.
Synthetic Account
The Synthetic Account allows traders to trade synthetic indices that simulate real-world market conditions. These indices are available 24/7 and are not affected by market disruptions or liquidity issues.
Islamic Account
Deriv offers Islamic accounts for traders who adhere to Sharia law. These accounts are swap-free, meaning they do not incur overnight interest charges.
Trading Instruments
Deriv offers a wide range of trading instruments, allowing clients to diversify their portfolios and take advantage of various market opportunities. Here are the primary asset classes available for trading:
Forex
Deriv provides access to over 50 currency pairs, including major, minor, and exotic pairs. The forex market at Deriv is known for its competitive spreads and fast execution speeds.
Commodities
Deriv offers trading in a variety of commodities, including precious metals like gold and silver, energy products like crude oil and natural gas, and agricultural commodities like wheat and corn.
Indices
Deriv provides access to major global indices, such as the S&P 500, NASDAQ, FTSE 100, and DAX 30. These indices allow traders to speculate on the performance of global stock markets.
Synthetic Indices
Synthetic indices are unique to Deriv and simulate real-world market conditions. They are available 24/7 and are not affected by market disruptions, providing traders with continuous trading opportunities.
Fees and Spreads
Understanding the fee structure and spreads is crucial for evaluating a broker’s competitiveness. Deriv is known for offering competitive spreads and transparent pricing. Here are the key aspects of Deriv’s fees and spreads:
Spreads
Deriv offers both variable and fixed spreads, depending on the account type and trading instrument. Major currency pairs like EUR/USD and GBP/USD typically have tight spreads, while minor and exotic pairs have wider spreads.
Commissions
For Standard Accounts, Deriv operates on a commission-free model, meaning that the broker’s revenue comes from the spread. Advanced Accounts benefit from lower spreads but incur a small commission per trade.
Overnight Financing
Also known as swap or rollover fees, overnight financing charges apply to positions held open overnight. These fees vary depending on the currency pair and the direction of the trade (long or short). Deriv provides detailed information on overnight financing rates on its website.
Other Fees
Deriv does not charge any deposit or withdrawal fees for most payment methods. However, some third-party payment providers may impose their own charges. Additionally, Deriv charges an inactivity fee for accounts that remain dormant for more than 12 months.
Customer Support
Quality customer support is essential for any trader, and Deriv is known for providing excellent support services. Clients can reach Deriv’s support team 24/7 through various channels, including:
- Live Chat: The live chat feature on Deriv’s website allows clients to get instant answers to their questions from a support representative.
- Email: Clients can contact support via email and expect a prompt response to their inquiries.
- Phone: Deriv offers phone support in several languages, ensuring that clients can easily reach a representative for assistance.
- Social Media: Deriv is active on social media platforms like Twitter and Facebook, providing an additional avenue for support and communication.
Educational Resources
Deriv places a strong emphasis on trader education, offering a wealth of resources to help clients improve their trading skills and knowledge. Here are some of the key educational offerings at Deriv:
Trading Guides
Deriv provides a wide range of trading guides covering various topics, including forex basics, technical analysis, trading strategies, and risk management. These guides are available in both written and video formats, catering to different learning preferences.
Webinars
Deriv hosts regular webinars conducted by experienced traders and market analysts. These webinars cover a range of topics, including market analysis, trading strategies, and platform tutorials. Clients can participate in live webinars or access recorded sessions at their convenience.
Trading Signals
Deriv offers free trading signals to help clients identify potential trading opportunities. These signals are generated by a team of professional analysts and are available through the trading platforms and mobile app.
Market Analysis
Deriv provides daily and weekly market analysis, including technical and fundamental insights. Clients can access detailed reports, market commentary, and expert opinions to stay informed about the latest market developments.
Research Tools
In addition to educational resources, Deriv offers a suite of research tools to help traders make informed decisions. Some of the key research tools available at Deriv include:
Economic Calendar
The economic calendar provides a schedule of upcoming economic events and data releases that can impact the forex market. Traders can use this tool to plan their trades around key events and stay updated on market-moving news.
Market Scanner
The market scanner is a powerful tool that helps traders identify trading opportunities based on various technical criteria. It scans the market for potential setups and highlights instruments that meet the trader’s predefined conditions.
Trading Analytics
Deriv offers a range of trading analytics tools to help clients analyze their trading performance and identify areas for improvement. These tools provide detailed metrics on trade execution, profitability, and risk management.
Security and Reliability
Deriv prioritizes the security and reliability of its trading services. Here are some of the measures Deriv takes to ensure a safe trading environment for its clients:
Data Protection
Deriv uses advanced encryption technology to protect client data and ensure the privacy of personal and financial information. The broker adheres to strict data protection regulations in all jurisdictions where it operates.
Segregated Accounts
Client funds are held in segregated accounts with top-tier banks, ensuring that they are kept separate from the broker’s operating funds. This practice provides an additional layer of security and protects client funds in the event of the broker’s insolvency.
Risk Management
Deriv employs robust risk management practices to ensure the stability and integrity of its trading operations. The broker continuously monitors market conditions and employs advanced algorithms to manage risk and maintain optimal trading conditions.
Conclusion: Is Deriv the Right Broker for You?
Deriv is a well-established and reputable forex broker with a long history of serving traders around the world. The broker offers a range of trading platforms, competitive spreads, and a wide variety of trading instruments, making it suitable for traders of all levels and preferences.
Here are some of the key strengths of Deriv:
- Regulation: Deriv is regulated by several reputable authorities, ensuring a high level of security and trust.
- Trading Platforms: Deriv provides multiple trading platforms, including Deriv MT5, Deriv Trader, Deriv X, and Deriv Go, catering to different trading styles and preferences.
- Educational Resources: The broker offers comprehensive educational resources and research tools to help traders improve their skills and make informed decisions.
- Customer Support: Deriv is known for its excellent customer support, available 24/7 through multiple channels.
- Diverse Trading Instruments: Deriv offers a wide range of forex, commodities, indices, and synthetic indices, allowing clients to diversify their portfolios.
However, Deriv also has some areas for improvement:
- Inactivity Fees: The broker charges an inactivity fee for dormant accounts, which may be a drawback for occasional traders.
- Limited Proprietary Research Tools: While Deriv offers a range of research tools, some traders may prefer brokers with more extensive proprietary research and analysis capabilities.
Overall, Deriv is a solid choice for traders seeking a reliable and well-regulated broker with a comprehensive range of trading platforms and educational resources. By understanding your trading needs and preferences, you can determine whether Deriv is the right broker for you.