Synthetic indices are trading instruments that have been created to reflect or copy the behaviour and movement of real-world financial markets.
In other words, Deriv synthetic indices behave like real-world markets in terms of volatility and liquidity risks but their movement is not caused by an underlying asset.
A Synthetic Index attempts to simulate the behaviour of an entire type of market, just like the way a Stock Index (like The Dow Jones or S&P 500) has a more generalised focus than an individual Stock.
Deriv Synthetic indices are available 24/7, have constant volatility, fixed generation intervals, and they are not affected by real-world events like natural disasters. These are some of the differences between synthetic indices and forex.
Deriv Synthetic indices have been traded for over 10 years with a proven track record for reliability and they are increasing in popularity due to their advantages.
A lot of traders are trading them profitably and making withdrawals.
The movement of synthetic indices is caused by randomly generated numbers from a cryptographically secure computer programme (Deriv algorithm).
The Deriv algorithm is programmed such that the numbers it gives out will reflect the same up, down and sideways movement that you will see on a forex or stock chart.
The Deriv algorithm has a high level of transparency and is audited for fairness by an independent third party.
Deriv is the only broker that offers synthetic indices trading. Deriv is thus the only synthetic indices broker because it ‘created and owns‘ the Deriv algorithm that runs these indices.
No other broker can offer these trading instruments because they do not have access to the random number generator.
You will have to open an account with Deriv to trade these synthetic indices.
Start by doing Deriv real account registration by clicking any of the the buttons below.
You can get step by step instructions on how to open a synthetic indices account here.
No, Deriv does not manipulate the movement of synthetic and volatility indices. This would be illegal and unfair as they could turn the market against traders.
The algorithm that moves the synthetic indices charts is continually audited for fairness by an independent third party to ensure fairness. The algorithm is so secure that Deriv cannot predict the numbers that it will generate.
Deriv is also a regulated broker. The broker will lose this regulation if they manipulate synthetic indices as they will be acting unfairly.
Deriv also offers other markets like forex, stocks and cryptocurrency and they do not manipulate these either.
Deriv offers different types of synthetic indices that have different movements and characteristics. These include:
These are all examples of Deriv synthetic indices and click on each type to learn more about it.
You can trade these synthetic indices on various platforms on Deriv. These platforms include DMT5 (Deriv MT5 platform), binary Deriv X, Smart Trader, DTrader and the D-bot (the Deriv bot that you can tweak according to your preferred trading strategy).
Let's look at each platform below.
Deriv MT5 is an all-in-one CFD trading platform. It gives you access to all of Deriv's trading assets. DMT5 has a wide range of professional trading tools and plugins, including analyticdal objects, technical indicators, and unlimited charts in numerous time frames, to manage your capital and trading positions better.
The charts and indicators are customisable according to your trading strategy. Trading synthetic indices on Deriv MT5 is only available with a Synthetics account.
You can access DMT5 via a desktop as well as Android and iOS mobile devices. This article will help you set up synthetic indices on mt5.
With Deriv MT5, you’ll also get access to swap-free trading, 25+ indicators, and exclusive access to innovative 24/7 Derived Indices.
Deriv X is a CFD trading platform that lets you trade various assets in multiple markets simultaneously. It's fully customisable and packed with features that let you personalise your trading environment.
The platform allows you to develop your own tradingview.
You can drag and drop the widgets you'd like to use, apply over 90 indicators and 13 drawing tools, and keep track of your progress and historical trades on one screen.
You can also create custom watchlists, track live data, and place your trades directly on TradingView charts.
Trading synthetic indices on Deriv X is only available with a Synthetics account. You can access Deriv X via a desktop as well as Android and iOS mobile devices.
DTraderis a user-firendly options & multipliers platform acessible to traders of all levels. The platform offers a wide range of trading types including rise/fall, in/out etc.
You can trade on more than 50 assets including synthetic indices.it has customizable and interactive charts.
You can set your stake from as little as $0.35 and see the potential payout befre taking the trade. This allows you to manage your risk.
The DTrader be accessed via Deriv.app on a desktop or a mobile device on a browser..
DBot is Deriv’s trading platform that lets you build a trading robot to automate your trades.
You don't need coding experience to build your bots. All you need to do is drag, drop, and configure pre-built blocks and indicators onto a canvas to build your bot. You can also select from a variety of pre-built strategies or set up your own.
DBot doesn't require constant monitoring, allowing you to step away from your computer without missing opportunities.
Just set your trading parameters and let the bot do the trading for you. You can trade synthetic indices with options on DBot. DBot can be accessed from a desktop device.
Deriv GO is Deriv’s mobile app that’s optimised for on-the-go trading. With this platform, you can trade synthetic indices with multipliers where you can take advantage of risk management features such as stop loss, take profit, and deal cancellation to better manage your trade.
You can download Deriv GO from Google play store, Apple app store, and Huawei app gallery.
Deriv cTrader is a platform that allows you to automatically copy the trades of others called strategy providers.
Once set up, the trades are mirrored in your account in real time. The platform has cutting-edge technology allowing ypou to manage your risk and find the best traders to copy.
You only pay a commission to the strategy provider for successful trades. Deriv cTrader allows even beginners to profit while they learn.
You can follow as many strategy providers as you want. This allows you to diversify your risk and test different strategies.
Synthetic indices are financial instruments that copy the real-world financial markets but they are not affected by external events like news and wars
Deriv is the primary broker that offers synthetic indices trading.
Deriv offers over ten types of synthetic indices including boom and crash, Step, Volatility and Jump indices. Each synthetic index has different types of movement and characteristics
Visit Deriv and open a DMT5 account. You can start trading synthetic indices on demo or live account
Synthetic indices are moved by an algorithm that has been programmed by Deriv.
No, Deriv does not manipulate synthetic indices. The algorithm that moves synthetic indices is audited for fairness by third parties.
Yes you can, synthetic indices trading is available 24/7/365
You can trade them on various Deriv platforms including dmt5, c-trader, Deriv bot and Deriv X
