What's Difference Between STP and NDD Stock Account in Stocks?

STP Stock Account vs NDD Stock Account

STP Stock Accounts

STP Stock Account stands for STP, the STP Stock Account stocks brokers will send client orders direct to their Stocks Liquidity Provider, the Stocks Liquidity Provider is a big bank with deep liquidity to trade on the inter-bank net-work.

An STP Stock Account provided by an STP stocks broker can either have one Stocks Liquidity Provider or many liquidity providers.

The best thing about STP Stock Accounts is that stock traders can place their stock trades immediately with instant execution because they have got access to inter bank market via their STP stocks broker.

STP Stock Accounts will not charge commissions, but will charge spread on stock trades. Because traders have access to the interbank markets execution, there is no requotes on the stock orders neither any order waiting for trade execution, the order execution is instant.

NDD Stock Accounts

NDD stand for Non-Dealing Desk stocks execution of orders, these NDD Stock Account stock brokers do not implement a dealing-desk - this makes this type of execution model to have less trading restrictions as opposed to the Dealing Desk Execution Model.

NDD Execution means that trades from the traders account will be executed direct to the inter-bank exchange stock market. The orders will be matched with other orders in interbank stocks market using the broker Non Dealing Desk order execution model.