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    • Margin FX

      Get great rates on majors like EUR/USD, plus minors and exotics

    • Commodity CFDs

      Trade on metals, energies & softs, with oil spreads from 2 cents

    • Cryptocurrency CFDs

      Speculate on Bitcoin, Ether and more, with a trusted broker

    • Share CFDs
    • Index CFDs
    • ETF CFDs
    • Currency Index CFDs
    • Dividends for index CFDs
    • Dividends for share CFDs
    • CFD forwards
    • TradingView

      Trade through the world-famous supercharts with great pricing

    • MetaTrader 5

      Explore the apex in trading automation with our execution tech

    • The Pepperstone platform
    • MetaTrader 4
    • cTrader
    • Trading tools
    • Navigating markets

      Latest news and analysis from our experts

    • The Daily Fix

      Your regular round-up of key events

    • Meet the analysts

      Our global team giving your trading the edge

    • Who we are

      Pepperstone was born from the dream of making trading better

    • Company news
    • Company awards
    • Protecting clients online
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Beginner

Inside Pepperstone: Pricing without the Dealing Desk

How does a trader know whether they’re actually getting a fair outcome from their broker?

In margin FX and CFDs, there are typically two types of Brokers: Dealing Desks and Non Dealing Desk brokers. Let’s examine the difference.

Dealing Desks (DD) vs. Non Dealing Desks (NDDs)

Dealing desk brokers are also known as Market Makers in the traditional sense, they’re often some of the biggest brokers in the market. Whilst this model offers great liquidity, in the majority of markets, it is also important to note that they create their own price. How this price is made comprises many factors including client demand and supply. These desks often make trades on behalf of the company itself as well (or undertake what is called proprietary trading). They can basically engage in speculative trading on the market on behalf of the company.

Non-dealing desk brokers on the other hand, source and aggregate the best buy and sell price from one or more third party liquidity providers with the best available price passed directly onto clients. Pepperstone ensures it always has a number of high quality, independent liquidity partners to choose from in order to source top pricing for our clients. Non-dealing brokers also don’t make speculative company trades with a view to make money, the only trades placed are to manage the internal market risk exposure.

The benefits of Pepperstone’s approach

Although Pepperstone in certain jurisdictions has higher scope permissions (including market making) there’s a good reason Pepperstone uses the non-dealing desk approach.

We believe it offers a more transparent price, which is really important for traders. We pass on the rates from a range of independent Liquidity Providers to secure the best prices and tight spreads. This can help reduce the chance of re-quotes.

More importantly, as Pepperstone is using multiple independent third parties to source our prices, we don’t provide personal advice to influence how our customers trade and we don’t make speculative trades on behalf of the company. We have no direct interest in how our clients decide to trade or how the markets move. We just focus on trying to get you a stable price that best reflects the up-to-date underlying market conditions.

Learn more about trading CFDS

Here at Pepperstone, our customers love the product range along with the low cost to trade and the fact so many markets are open around the clock. Interested? Watch the more videos to learn or speak to our team about whether CFDs are right for you.

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© 2025 Pepperstone Group Limited

Risk Warning: Trading CFDs and margin FX is risky. It isn't suitable for everyone and if you are a professional client, you could lose substantially more than your initial investment. You don't own or have rights in the underlying assets. Past performance is no indication of future performance and tax laws are subject to change. The information on this website is general in nature and doesn't take into account your personal objectives, financial circumstances, or needs. You should consider whether you’re part of our target market by reviewing our TMD, and read our PDS and other legal documents to ensure you fully understand the risks before you make any trading decisions. We encourage you to seek independent advice if necessary.

Pepperstone Group Limited is located at Level 16, Tower One, 727 Collins Street, Melbourne, VIC 3008, Australia and is licensed and regulated by the Australian Securities and Investments Commission.

The information on this site and the products and services offered are not intended for distribution to any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

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