In plain English
What No dealing desk means
NDD is a commercial description, not a uniform regulatory category. A broker using the label may aggregate prices from banks, non-bank liquidity providers, or electronic venues, then route an order under its own execution policy. It may charge a commission, add a markup to the spread, or both. Some orders can still be rejected, partially filled, or filled at a changed price when liquidity moves.
Why it matters
Traders sometimes treat NDD as proof that a broker cannot have conflicts of interest or that orders reach an interbank market unchanged. Neither follows automatically. The useful questions are who is the legal counterparty, how prices are sourced, whether markups or commissions apply, how orders are routed, and how the broker handles slippage and rejected orders.
Example
A broker advertises NDD execution and displays EUR/USD quotes drawn from several liquidity providers. It adds a 0.2-pip markup and routes a customer market order to the provider offering the best available executable price after its routing rules are applied. This may be an NDD-style arrangement, but the customer should still check the broker’s execution policy and trade confirmation.
Quick answers
Common questions
Does no dealing desk mean there is no broker markup?+
No. An NDD broker may charge a separate commission, widen or mark up prices, or use a combination. The account terms and execution disclosures, rather than the label, identify the costs.
Does NDD prevent slippage?+
No. Slippage can occur when executable prices change or available liquidity is limited between order submission and execution. Routing to outside liquidity does not make a price permanently available.
Sources