Risk Disclaimer: Deriv offers complex derivatives, such as options and contracts for difference (“CFDs”). These products may not be suitable for all clients, and trading them puts you at risk.
Please make sure that you understand the following risks before trading Deriv products:
a) you may lose some or all of the money you invest in the trade,
b) if your trade involves currency conversion, exchange rates will affect your profit and loss. You should never trade with borrowed money or with money that you cannot afford to lose.
Overview
Deriv is one of the industry's oldest brokers and provides a remarkably comprehensive range of tools and services for informed and strategic trading. While the websites may differ slightly, Deriv is set to introduce further unique features as it continues to develop. Unlike typical brokers.
Deriv's Regulatory
Deriv places a strong emphasis on transparency and clarity, evident in its commitment to regulatory compliance and open disclosure of its corporate entities. The broker operates within multiple jurisdictions and provides transparent information about its legal standing and affiliations, without resorting to deceptive tactics.
On their website, you can readily access comprehensive information about their authorizations and licenses. In the European Union, Deriv operates through Binary Investments (Europe) Ltd, which is registered in Malta and regulated by the Malta Financial Services Authority as a Category 3 Investment Services provider. This entity offers a range of financial products to traders within the EU.
It's essential to understand that binary options trading is not allowed within the European Union. Consequently, Deriv exclusively offers CFD and leveraged spot Forex products to EU traders. Outside the EU, Deriv facilitates binary options trading through various entities, including Binary (SVG) LLC based in St Vincent and the Grenadines, Binary (V) Ltd in Vanuatu (regulated by the Vanuatu Financial Services Commission), Binary (BVI) Ltd in the British Virgin Islands (regulated by the British Virgin Islands Financial Services Commission), and Binary (FX) Ltd in Labuan, Malaysia (regulated by the Labuan Financial Services Authority).
Payment Method
Deriv offers a variety of convenient payment methods for depositing and withdrawing funds on their platform. Some of the common payment methods available include:
- Bank Wire Transfer: You can transfer funds directly from your bank account to your Deriv trading account. This method may take a few business days for the transaction to be processed.
- Credit/Debit Cards: Deriv accepts major credit and debit cards such as Visa, Mastercard, and Maestro. This is a popular and instant payment method.
- E-wallets: Deriv supports various e-wallet services such as Skrill, Neteller, and Perfect Money. These platforms provide a fast and secure way to transfer funds.
- Cryptocurrencies: In some cases, Deriv may also accept cryptocurrencies like Bitcoin for deposits and withdrawals. This option offers additional security and anonymity.
The availability of payment methods may vary depending on your location and the regulations of your country. It is recommended to check the Deriv website or contact their customer support for the most up-to-date information on supported payment methods in your region.
Trading Conditions
While many brokers focus on traders with small balances and a short-term mindset, Deriv caters to a broader range of trading preferences. With Deriv, you can start trading with as little as $5 or opt for a substantial balance of $100,000 or more. The platform supports micro-trades as small as $1, as well as larger deals up to $350,000 for those feeling more confident.
One of the greatest advantages of trading with Deriv is the flexibility in expiration times. While other brokers typically offer only short-term expiries lasting a few minutes or hours, Deriv expands the possibilities. You can choose expiration times that span days, weeks, or even months, extending up to one year. This feature allows long-term traders utilizing fundamental analysis or hedging strategies to actively participate in the market using binary options. Unlike many binary brokers, Deriv does not limit your market exposure to solely short-term trades.
By offering a diverse range of balance options and flexible expiration times, Deriv accommodates both short-term traders and those seeking long-term market involvement. This flexibility sets Deriv apart from other brokers and provides a wider range of trading opportunities to suit different trading styles and strategies.
Deriv Trading Instrument
Deriv offers a wide range of trading instruments across various financial markets. Here are some of the key trading instruments available on the Deriv platform:
- Forex (FX) Trading: Deriv offers a comprehensive selection of currency pairs for Forex trading. You can trade major currency pairs like EUR/USD, GBP/USD, or USD/JPY, as well as minor and exotic currency pairs.
- Contracts for Difference (CFDs): Deriv provides CFDs on a range of financial instruments, including Forex, commodities, stocks, and indices. CFD trading allows you to speculate on the price movement of an underlying asset without actually owning the asset.
- Synthetic Indices: Deriv offers synthetic indices that replicate the price movement of real-world indices. These indices are available for trading 24/7 and are designed to provide constant market opportunities.
- Commodities: You can trade various commodities such as gold, silver, crude oil, and natural gas on the Deriv platform. Commodity trading allows you to speculate on the price fluctuations of these physical goods.
- Stocks: Deriv enables you to trade popular stocks from global markets. You can speculate on the price movements of individual stocks without owning the underlying shares.
Trading Platform
MetaTrader 5
With MT5, you can trade currencies, crypto, and volatility indexes, while analyzing charts using your preferred MetaTrader indicators or auto-trade in full hands-off mode using your favorite robots. The big advantage of volatility indices is that, like cryptocurrency pairs, they are open for trading every day of the week, 24 hours a day, so you can trade them even if the Forex market is closed on weekends.
DTrader
Deriv launched its own web-based trading platform – DTrader. It has a newbie-platform trading interface that works directly in your browser.
Disadvantages
Despite all of its advantages, Deriv isn’t without some setbacks. Regrettably, there is no live chat support, which is a very handy feature when you are live trading in financial markets. When your money is at stake, you want to receive support in a fast and convenient mode and not wait indefinitely for your ticket to resolve.
Another poor point is that the broker is very new and is largely untested by traders. Not only its trading software and backend might turn out glitchy or inadequate for the huge number of customers that may soon join, but it is also possible that the customer service might turn out subpar compared to the company’s more popular and well-established.
Conclusion
While it is premature to predict if DTrader will reach the same level of excellence, it is evident that the platform is well-developed and professionally managed, catering to various types of traders. Notably, Deriv offers unrestricted demo accounts, a wide selection of trading instruments, flexible expiration options, minimal trading limits, and multiple trading platforms. These features are rarely found in other binary options brokers.
The transparent presentation of information about the operating companies on their website instills a sense of trust, and the fact that Deriv is regulated in the European Union provides additional confidence regarding the safety of funds held in their trading accounts.
Deriv's combination of a proprietary platform and MetaTrader 5 makes it an attractive option for further exploration, especially for opening a demo account. However, it is advisable to first test their customer support service before committing real funds to a live trading account.
