Deriv MT5 Synthetic Indices Account: Full Review & Specs

Deriv‘s Synthetic Indices are simulated markets you can trade on MT5 24 hours a day, seven days a week — including weekends — with leverage that scales differently depending on which index family you pick. This is a full technical breakdown of the account, every major instrument family, the underlying mechanics, real cost structure, and who this product genuinely suits.

What Are Deriv’s Synthetic Indices, Mechanically?

Synthetic Indices are Deriv‘s proprietary simulated markets. Instead of tracking a real-world asset like a currency pair or a stock, each index is generated by an audited random number engine designed to mimic the statistical behavior of real markets — constant volatility, sudden spikes, or gradual drift — without being influenced by real-world news, liquidity gaps, interest rate decisions, or market maker positioning. The randomness is generated using a cryptographically seeded process, and Deriv publishes third-party audit confirmations for these engines specifically to address the natural skepticism traders have toward a “broker-generated” price feed — a fair concern to raise, since unlike real forex where you can cross-check a quote against other liquidity providers, a synthetic index’s price only exists on Deriv’s own systems.

Because they’re synthetic rather than tied to an actual exchange, they trade continuously, which is the single biggest reason traders come to Deriv specifically for this product line rather than for standard forex. There is no “market open” or “market close” — the index runs on a continuous simulated clock regardless of what time it is anywhere in the world.

The Synthetic Index Families, One by One

Deriv MT5 currently lists well over a dozen synthetic index families, though most traders concentrate on a handful of core ones. Here’s what distinguishes each:

Volatility Indices

The core family (Volatility 10, 25, 50, 75, and 100). The number in the name reflects the intensity of price movement: Volatility 10 moves gently with small, frequent oscillations, while Volatility 100 moves aggressively with much larger swings over the same time period. These maintain a constant, steady level of simulated volatility rather than the variable, news-driven volatility you’d see in real forex — meaning a Volatility 25 index today should statistically behave similarly to how it behaved a month ago, which is not true of, say, EUR/USD around a central bank meeting.

Crash and Boom Indices

Examples include Crash 500 and Boom 1000. These trend steadily in one direction with an occasional sharp reversal spike (“crash” for a downward spike, “boom” for an upward one) that occurs on average once every 300 to 1,000 ticks, depending on the specific index variant. The naming convention refers to the average tick interval between spikes — a “500” index spikes roughly twice as often as a “1000” index. Traders drawn to this family are typically looking for a market with a persistent underlying trend punctuated by predictable-in-frequency (though not predictable-in-timing) reversal events.

Step Indices

Step Indices move in fixed-size steps up or down at regular intervals, giving a more predictable, discrete price action pattern than the continuous-looking Volatility family. Rather than a smooth curve, the chart looks more like a staircase — each “step” is a fixed increment, and the direction of each step is randomized. This appeals to traders who prefer to think in discrete probability terms (each step is essentially a coin-flip-style event) rather than analyzing continuous price momentum.

Jump Indices

Jump Indices behave similarly to Volatility Indices most of the time, but include occasional sudden “jumps” in price, adding an extra layer of unpredictability on top of the base volatility behavior. This combination — steady behavior punctuated by unpredictable jumps — makes risk management particularly important here, since a stop-loss placed too tight can be triggered by a jump that reverses almost immediately afterward, while one placed too loose exposes the account to a jump that continues moving against the position.

Newer and Advanced Families

Deriv has continued expanding this product line with additions like Multi Step, Skew Step, Range Break, DEX, Drift Switching, Trek, Spot Volatility, Volatility Switch, and Exponential Growth indices, each simulating a different statistical price behavior — some designed to break out of defined ranges periodically, others designed to switch between drift regimes. These are more specialized and generally suit traders who already understand the core Volatility/Crash-Boom/Step families first, since their behavior is less intuitive without that foundation.

Leverage and Margin by Index Type — Worked Examples

Leverage on synthetic indices isn’t a single flat number across the board — it’s tiered by how the specific index behaves. As a general pattern: steadier indices like Volatility 25 and Volatility 50 tend to be offered at the higher end of Deriv’s leverage range, moderate-volatility instruments like the Crash/Boom family sit in the middle, and the more erratic Jump indices are offered at comparatively lower leverage to account for their sharper unpredictability.

To make this concrete: suppose a trader deposits $200 and opens a position on Volatility 75 using 1:500 leverage. That combination controls a notional position size of $100,000. If Volatility 75 moves just 0.2% against the position, that’s a $200 loss — the entire deposit. This is why understanding the specific leverage tier on the exact instrument you’re trading (not just the broker’s advertised maximum, which usually applies to the calmest instrument on offer) is essential before placing a single trade.

Deriv has stated the maximum leverage across synthetic indices tops out at 1:1000, though the exact figure for any single index can and does change as Deriv recalibrates its risk models in response to observed volatility patterns. Always check the live contract specifications inside the MT5 terminal itself rather than relying on a fixed number from an article (including this one), since these are adjusted more frequently than traditional forex leverage caps.

Why Synthetic Indices Never Close

Because these markets are computer-generated rather than tied to a real exchange’s opening hours, there’s no “market close” in the traditional sense — no weekend gap, no holiday closure, no dependency on when London, New York, or Tokyo happen to be open. For traders who want to be able to place a trade at 3 a.m. on a Sunday, this is the entire appeal, and it’s a genuinely rare feature in this industry.

It’s also worth understanding upfront that this constant availability means price action can move meaningfully at any hour, including times when you might not be watching the screen — a genuine consideration for risk management, not just a convenience. Practical implications include:

• A stop-loss becomes non-negotiable rather than optional, since a position can be affected by movement at any hour without your awareness.
• Weekend “gap risk,” a real concern on traditional forex, simply doesn’t apply here in the same way — but that also means there’s no natural pause to reassess a position the way a weekend forces on forex traders.
• Automated tools (Deriv Bot, MT5 EAs) become more valuable for this specific product line, since they can manage a position continuously without requiring a human to be awake and watching.

Spreads and Trading Costs in Practice

Synthetic indices on Deriv MT5 are priced with a spread built into the quote rather than a separate visible commission line on most account setups, and spreads vary by index family — steadier Volatility indices typically carry tighter, more consistent spreads, while indices with sharper, less predictable price behavior can see wider effective costs during active moves. Because there’s no external interbank market to compare against (unlike forex, where you can benchmark a broker’s EUR/USD spread against the wider market), the only reliable way to judge the real cost of trading a specific synthetic index is to open a demo account and watch the live spread yourself before committing real capital — a step covered in more detail in our guide to choosing a synthetic indices broker.

Which Account Unlocks Synthetic Indices?

Synthetic Indices trading on MT5 is available through Deriv’s Standard account (and its Swap-Free variant), rather than being a separate, standalone account type. The Financial account, by contrast, is scoped to traditional markets and does not include this product line. If you’re deciding between account types specifically to get synthetic-index access, Standard is the one to select — see our full Deriv account types comparison for the complete breakdown, or our broader forex broker basics guide if you’re still getting familiar with how broker account structures work in general.

Who Should — and Shouldn’t — Use This Account

• Good fit: Traders who want round-the-clock market access regardless of time zone or day of the week.
• Good fit: Systematic/algorithmic traders who can build a rules-based approach that doesn’t depend on news events.
• Good fit: Traders specifically curious about a product genuinely different from anything available at most other brokers.
• Poor fit: Anyone hoping to trade based on economic news, interest rate decisions, or geopolitical events, since none of that affects a simulated index by design.
• Poor fit: Complete beginners jumping straight to high-volatility families (Volatility 75/100, Jump indices) without first understanding position sizing — see our leverage guide first.

Frequently Asked Questions

Are synthetic indices rigged?

Deriv states these engines are independently audited for randomness. That said, all trading on any broker’s synthetic product ultimately relies on trusting that broker’s infrastructure, since there’s no external market to cross-check prices against — a structural consideration worth being aware of regardless of which provider you use.

Can I use an Expert Advisor on synthetic indices?

Yes, on Deriv MT5, EAs work on synthetic indices the same way they do on any other instrument, and Deriv Bot offers a no-code alternative for building automated strategies.

Which index is best for beginners?

Steadier families like Volatility 25 or Volatility 50 are generally considered more approachable for learning the product before moving to higher-volatility or Jump-index variants.

Disclaimer: The content provided on this page is for informational and educational purposes only and does not constitute financial advice. Trading synthetic indices and CFDs involves significant risk, including the risk of losing more than your initial deposit when leverage is used. Consult with a certified financial advisor before making any investment decisions.