Deriv Broker Review

FinanceFeeds Editorial Team

Deriv is a popular international multi-asset brokerage firm that has been operating since 1999. 

Deriv is for all types of traders, from the novice investor looking to dip their toes into the online trading space for the first time to the professional investor seeking exposure to a broad array of investment vehicles. The broker’s trading costs, as well as non-trading fees, are competitive within the industry, and Deriv ranks high on several scales.

To stand out as an online trading broker, Deriv offers six trading platforms to date, including Deriv MT5, SmartTrader, cTrader, Deriv Trader, Deriv Bot, and its mobile app for on-the-go trading, Deriv GO. Another unique feature is that developers can create their own apps and websites on top of the broker’s application programming interface (API).

Moreover, the multi-asset broker plans to roll out a lot more products and platforms very soon.

Please note that Deriv Trader and Deriv MT5 are the only trading platforms available to the broker’s clients throughout the European Union.

Throughout more than two decades of its operation, Deriv has served more than 2.5 million traders around the world and gained recognition for its sophisticated and comprehensive offerings. The broker also provides tailored conditions that cater to various trading strategies, styles, and multi-asset portfolios.

Numerous favourable trading conditions the broker offers include a leverage of up to 1:1000 and a minimum deposit of 5 USD. For European clients, however, ESMA regulations require the broker to offer a maximum leverage of x30.

Licenses and Regulations

Deriv holds licenses to serve clients from different jurisdictions. This includes licenses from the financial services regulators in Malta, Vanuatu, Labuan, and the British Virgin Islands. You can read more about the regulatory status of Deriv’s entities worldwide here.

On top of that, Deriv is an approved broker member of the Financial Commission. This membership status provides its clients with access to a wide range of services and membership benefits, including but not limited to protection for up to €20,000 per submitted complaint.

Trading with a multi-regulated broker like Deriv ensures that customer assets are safe and will never be co-mingled with the broker’s operational funds. The regulatory supervision also keeps customers adequately protected in the unlikely event that the company becomes insolvent.

Those regulatory authorities strictly require registered brokerage firms to meet precise capital ratios and comply with other requirements to reduce the likelihood of insolvency, including risk management, training, accounting, and internal audit.

Tradable Assets

Deriv offers exposure to various asset classes, including FX pairs, stocks and indices, derived indices, commodities, cryptocurrencies, etc. This range is quite unique as it includes mainstream instruments to diversify your portfolio as well as new assets that the retail crowd has shown massive interest in. Needless to say, the actual availability of Deriv’s trading products may vary depending on your jurisdiction.

As advertised on its website, the asset list includes +50 FX pairs to choose from, including exotic currencies. (Exotic pairs are not available for clients residing in the EU.)

Deriv is an excellent low-spread broker for active traders. Major FX pairs feature competitive spreads with an average of just 0.5 pips, while its impressive selection of exotic pairings also comes with super tight spreads.

Additionally, Deriv’s stock CFDs give traders the ability to trade the world’s most popular companies across top financial markets, including the New York Stock Exchange (NYSE), Nasdaq, and London Stock Exchange (LSE).

Deriv also provides cryptocurrency fans with a wide spectrum of trading/investing tools. The platform allows you to trade CFDs on major cryptocurrencies without the fees or restrictions associated with traditional crypto exchanges.

Deriv offers clients a diverse product catalogue in terms of commodities. Specifically, the company offers CFDs on various commodities, including gold, silver, and oil.

Finally, the broker opens up many new opportunities with a unique product called ‘Synthetic indices,’ which mimic the volatility and movement of real-world financial markets but without being actually affected by real-world events.

Spreads and Swaps

Deriv trading costs are consistent, but you should consider rollover or swaps, and also non-trading fees that might be applicable. This allows its traders to choose the most suitable options according to their trading style, with all costs included in bid-ask spreads. Thanks to its top-notch technology and liquidity providers, Deriv offers competitive spreads, which can be as low as 0.5 pips in the moments of the greatest liquidity.

Deriv charges a swap fee with rates that are very competitive when compared to other brokers. Moreover, the broker offers a swap-free account that can be accessed through Trader’s Hub, Deriv’s new dashboard that displays all their trading platforms and currencies. On Trader’s Hub, users will be able to see all their real and demo accounts in one place. The swap-free account is subject to the following conditions:

  • It is specifically designed for MT5 accounts.
  • It is open to non-EU countries where Deriv offers its products.
  • It encompasses all synthetic indices except for Boom and Crash.
  • It encompasses all financial assets, with the exception of Forex micro and Commodities.

Leverage

Another important point within our Deriv review is the leverage ratios it offers on FX and crypto trades. Overall, the maximum leverage level is defined by the asset class you trade.

The broker offers access to a wide range of FX majors with high leverage of up to 1:1000, which is great news for investors who are not risk-averse, i.e. those who prioritise a higher return on their capital over the safety factors. Nevertheless, this requires you to learn how to use the leverage smartly as it is sort of a double-edged sword.

Please note that the leverage ratios available to you depend on the jurisdiction you trade in and other regulatory requirements in your region.

Deposits and Withdrawals 

Deriv offers a great range of secure funding solutions, including credit/debit cards, bank transfers, e-wallets, and crypto. However, crypto deposits and withdrawals are not available to EU-based clients.

The broker requires a minimum deposit of 5 USD and charges zero fees for deposits and withdrawals, yet other conditions may apply depending on the payment method you prefer. On top of an impressive range of payment methods available to top up their accounts, Deriv clients can also deposit and withdraw funds in a multitude of supported cryptocurrencies. Please note that crypto deposits/withdrawals are processed according to the priority of transactions set by the blockchain.

Deriv does not levy deposit fees, but third-party costs may apply depending on your chosen payment method. When it comes to withdrawing your funds, the broker applies a minimum threshold, which is currently set at 5 USD for selected payment methods and 10 USD for all other processors.

The withdrawal process at Deriv is pretty simple and straightforward. Client requests are processed instantly. Then, once your transfer is sent, it will take, on average, 3-5 business days for the funds to safely arrive in your account on file.

Trading Platforms

Deriv offers traders a broad range of options to access financial markets. Besides the industry-standard platform, Deriv MT5, Deriv also has SmartTrader, Deriv Trader, and more.

Please note that Deriv Trader and Deriv MT5 are the only trading platforms available to the broker’s clients throughout the European Union.

The company also offers SmartTrader, a web-version platform accessible right from your browser. Deriv Trader is another web-based platform for people who want a simple trading experience, with all the critical functionality and 50+ tradable assets available directly from a web browser. Navigating both terminals is seamless and includes all the features a trader might want.

Deriv’s mobile app, dubbed Deriv GO, shows excellent performance and allows efficient trading on the go. While it could be a little limited in its tools compared to desktop and mobile versions, it still offers all the necessary tools and functionality needed in everyday trading.

Deriv Bot – a no-code algo trading platform – will also please you with a range of automation features through a web-based strategy builder. Under the hood, you can build, test, and automate strategies to trade more than 50 assets, even if you lack the time or programming skills to code them.

In addition to its diverse trading platforms, Deriv also caters to specific preferences with Deriv cTrader, a simple-to-use solution for copy trading, which has become one of the most appealing passive income options for retail traders. A powerful platform designed for experienced traders seeking an intuitive and customisable experience, it is built on the award-winning cTrader technology, which seamlessly integrates advanced charting tools, automated trading capabilities, and a vast library of technical indicators.

Account Types

Deriv has designed a simplified one-stop account type called ‘Deriv’ that gives access to Deriv Trader, SmartTrader, Deriv Bot, and Deriv GO. That approach aims to ensure customers’ access to quite competitive trading conditions, and the broker has already done a great job with its all-inclusive account to fit all traders of different sizes, risk profiles, and trading styles.

Here is a consolidated overview of the account types available on Deriv:

  • Demo Account: Provides a risk-free environment with virtual funds for new traders to practice or for experienced traders to test new strategies.
  • Real Account: The basic account for trading with real funds, giving access to all Deriv’s markets.
  • MT5 (MetaTrader 5) Accounts: Cater to those who prefer the MetaTrader platform, offering:
  • Standard MT5 account: For forex and CFD trading.
  • Derived account: Dedicated to trading Deriv’s unique derived indices available 24/7.
  • Financial account: Targeted at more experienced traders, offering a broader range of financial instruments and potentially higher leverage.
  • Swap-free account: Offers a swap-free trading experience eliminating swap fees or interest on overnight positions across various platforms.
  • cTrader Account: The cTrader platform is known for its advanced trading capabilities and is preferred by traders looking for in-depth analysis tools and a sophisticated trading interface

Opening Account

Opening a trading account at Deriv is as user-friendly and straightforward as submitting some personal information and a valid email address.

You can use your device to visit the broker’s website and start the registration process. Just enter your email address to get started. Next, look for the verification email in your inbox and click the link in that email. A confirmation message will appear in your web browser to bring you back to Deriv’s website to enter a few personal details and create a password.

You’re all set now —  You can open a free demo account and try out Deriv’s trading platforms and its various features with zero risk. After evaluating your own checklist, you can move to a live account and start trading real markets.

Customer Support

Deriv made it as comfortable as possible so that its traders get the support they need and stay satisfied at any step. The multilingual customer support of Deriv is available 24/7 in over 20 languages.

Research and Education

Along with its competitive offerings, as we discovered in our review, Deriv also offers educational resources suitable for traders of different levels. There are trading guides where you can find good quality information to support your ongoing trading process.

Novice traders are very much welcomed at Deriv. Overall, market coverage resources are impressive. Below are examples of  the trading tools that Deriv offers to its customers:

  • Margin calculator
  • Swap calculator
  • Pip value calculator
  • PnL for margin
  • Multipliers calculator
    Social media channels
  • Educational resources like Deriv Academy, Deriv Blog, and Tech Blog

Deriv Pros and Cons

Deriv is a well-established and highly regarded broker that provides everything one might expect of a full-service brokerage, from FX to cryptocurrency derivatives.

Deriv is also considered safe for trading, with a long history of operation and an excellent reputation. At Deriv, there is an extensive range of asset classes, trading platforms, free trading capabilities, and exclusive research tools.

Aside from forex, commodities, and stocks, comprehensive sets of major cryptocurrencies and synthetic indices as underlying assets provide a greater number of trading opportunities. Additionally, the broker offers competitive spreads that are dynamic in that they widen or contract according to market conditions.

On the downside, Deriv’s trading costs may vary depending on the asset class or the particular instrument you trade. Another drawback is that the broker does not serve clients from several countries, such as the USA, Canada, Hong Kong, and others.

The final verdict is that Deriv is a great pick for all types of traders, thanks to a wide array of trading products and an emphasis on customer service, coupled with a plethora of the industry’s top platforms and educational resources. Its extensive regulatory profile also lends credibility, as does the extent to which Deriv emphasises account security.

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