ConceptIntermediate
Direct LP
syn. Direct Liquidity Provider
A single liquidity provider connection where orders are routed directly, without aggregation or composite blending.
Last updated: February 1, 2026
1
The broker establishes a single, direct connection to one liquidity provider.
2
All client orders for a given instrument are routed to this single LP.
3
The LP provides pricing and fills orders without intermediary aggregation.
4
Execution quality depends entirely on the LP's own pricing, depth, and behavior.
5
This is the simplest form of external routing but lacks the benefits of competition.