Direct TT is a trading name of Direct Trading Technologies Ltd, which is authorized and regulated by the Vanuatu Financial Services Commission (VFSC). It is recognized as a global leader in the forex industry with a presence in 6 countries around the world, the company claims. Direct TT has been in the global financial markets for 19 years. Customers can trade CFDs on currency pairs, indices, commodities, stocks, and cryptocurrencies through the two most popular trading terminals – MetaTrader 4 (MT4) and MetaTrader 5 (MT5). The leverage can be up to 1:200 and you can start trading with as low as USD500.
One of the important things to check before opening an account with a forex broker is which body authorizes and regulates the company. Direct TT is regulated by several authorities. Direct Trading Technologies Ltd is authorized and regulated by the Vanuatu Financial Services Commission (VFSC) at the Republic of Vanuatu under register number 40169 and by the Central Bank of UAE; Direct Trading Technologies Inc. is also authorized and regulated by the Superintendency of the Securities Market of Panama through resolution number SMV-701-17. In addition, Direct Trading Technologies (UK) Ltd is authorized and regulated by the Financial Conduct Authority (FCA) under the license number 795892 (for Professional and Institutional clients only). The company claims that client money is segregated from its own funds.
There are two types of live accounts – for forex, indices, and commodities and for shares (stock accounts). Subaccounts differ mainly in the spread and the minimum required deposit.
Forex Real Accounts:
Mini Account – The minimum deposit amount is USD500, the leverage is up to 1:200, the spread is “normal”, according to the company. Trading is commission free.
Standard Account – The minimum deposit amount is USD2,000, spreads are “professional” and the leverage is up to 1:200. Trading is commission free.
VIP Account – You must invest at least USD10,000 to open it. Spreads are “vip”, and the leverage can be up to 1:200. Trading is commission free.
ECN Account – The minimum required deposit amount is USD15,000. Spreads do not have mark-up and the leverage can be up to 1:200. You will be charged a commission of USD10 per lot traded.
Stock Real Accounts:
Standard Account – The minimum deposit amount is USD2,000 and the minimum charge is USD2.99.
VIP Account – You must invest at least USD10,000 to open it and the minimum charge is USD1.99.
Platinum Account – The minimum required deposit is USD100,000 and the minimum charge is USD1.19.
Commissions will apply to all stock accounts.
What Type of Broker the Company is?
The Terms of Service Agreement document shows that all contracts made and entered into by Direct Trading Technologies Ltd will be entered into by DTT Vanuatu Ltd as principal. Direct Trading Technologies Ltd is not acting as a broker, intermediary, agent, and advisor or in any fiduciary capacity. It is noted that at a future date, the company may establish a trade matching system or route the customer’s orders to a trade matching system operated by third parties. Then, Direct Trading Technologies Ltd will act for its own account (as a counterparty) or as a broker. Currently, acting as a principal to clients (not as a broker or an agent) the company is a market maker. Being a market maker involves a conflict of interest because when the company executes orders, it keeps the risk to itself. Every loss for customers is a profit for the company.
The Risk Disclosure file explains that stop loss orders may not always limit losses to certain amounts depending on market conditions. They are subject to market volatility and slippage. This means that stop loss orders are not guaranteed and will be filled at the first available market price.
The same document explains that the client never loses more than initially invested under any circumstances. If a negative balance appears in your trading account at any time, you must contact the customer support to reset it to zero. In other words, all retail clients are covered by the Negative Balance Protection.
Only the usual fees, such as spreads and rollovers, are applicable to Direct TT. There is no inactivity fee, so you can trade on a schedule convenient for you.
Deposits and Withdrawals
Deposits can be accomplished by credit or debit cards, bank transfers or Skrill. The minimum deposit amount depends on the payment method and is USD50 for payments accomplished by cards and Skrill and USD250 for payments made by bank transfer. Bank transaction fees are USD35 and will be covered by the customer. Funds are added to the customer’s account on the same day, except for bank transfers, which take within 2-5 business days.
Withdrawals are requested by filling the withdrawal form in the DTT Portal section. The requested amount will be deducted from the trading account immediately after submitting the form. The minimum withdrawal amount is USD50 regardless of the payment method. Payments made by card will be subject to a USD35. Withdrawals are processed within one business day, but it may take up to 5 business days to be returned to the customer’s bank account.
There are two of the well-known platforms available for trading.
MetaTrader 4 (MT4) offers over 75 instruments for trading including currency pairs and cryptocurrencies. There is a single login access to all types of platforms. MT4 is fully compatible with existing and custom expert advisors (EA). You can open positions with just one click. Fans of technical analysis can benefit from the availability of many analytical and graphical tools, as well as sufficient technical indicators. The platform is available as a desktop version and as a mobile application for iOS and Android phones and tablets.
The next version of the platform – MetaTrader 5 (MT5) provides the opportunity to hedge positions, place additional types of orders and monitor pricing at level II (market depth).
Currency pairs – 75 popular major, minor, and exotic currency pairs can be traded. The spread for the major currency pairs starts at 1.2 pips. The leverage for can be up to 1:400.
Indices – You can trade 10 of the major indices across North America, Europe, and Asia, such as DAX30, ASX200, UK100, etc. The minimum spread for the DAX30 starts at 0.5 points.
Commodities – CFDs on Gold, Silver, Crude Oil and Natural Gas are available for trading. The average spread for the Gold is USD0.20 and for Crude Oil is USD0.05. The necessary margin is 1% for precious metals and 2% for energies.
Shares – Nearly 100 CFDs on US Shares are available for trading.
Cryptocurrencies – 4 CFDs on cryptocurrencies are available for trading – Bitcoin, Ripple, Ethereum, and Litecoin.
There is a separate section on the website named Trading Tools containing 4 subsections. The Signal subsection explains what social trading is and provides trading signals based on the technical indicators. The Education subsection provides several video courses, FX Glossary, and trading strategies. The other two subsections are Tools and Research. Keep in mind that all the materials are available only if you have a live account.
Direct TT is a VFSC-regulated company, which acts as a market maker; therefore, the main conflict of interest exists. Customers can trade currency pairs, commodities, indices, shares and cryptocurrencies through MT4 and MT5 terminal, which can be downloaded for PC or MAC machines and as a mobile app. Clients can top up their accounts by bank transfers, debit or credit cards, and Skrill. Live trading can be started with as low as USD500. Spreads are variable and the ECN account offers raw spreads at the expense of commissions. Professional clients can benefit from the FCA regulation.