What is Difference Between Straight Through Processing and Market Maker CFDs Account in CFD?

STP Account CFD vs Maker CFD Account

STP CFDs Accounts

STP CFDs Account stands for STP, the STP CFDs Account cfd brokers will send client orders direct to their CFD Liquidity Provider, the CFD Liquidity Provider is a large bank with deep liquidity to trade on the inter-bank net-work.

An STP CFDs Account provided by an STP cfd broker can either have one CFD Liquidity Provider or many liquidity providers.

The best thing about STP CFDs Accounts is that cfds traders can place their cfds trades immediately with instant execution because they have access to the inter bank markets via their STP cfd trading broker.

STP CFDs Accounts will not charge commissions, but will charge spreads on cfds trades. Because traders have access to the inter-bank markets execution, there is no re quotes on the cfd orders neither any order waiting for execution, order execution is instant.

MM Accounts

Market Maker CFDs Accounts are cfd broker accounts where Market Maker cfd brokers have a dealing desk model where they can match the orders in house without going to the interbank cfd trading market.

CFD orders can also be executed against their traders - meaning the broker can take the opposite side of a traders open trades.

This cfd broker can make the decision to either execute a cfd order that is the opposite of a cfd trader's order thus if the trader makes a loss the broker makes a profit, & if the trader makes a profit the broker makes a loss.