The rigid and fixed diaphragm wall (RFD) is a novel strut-free retaining wall system. This system needs a rigid connection between diaphragm panels. However, in Indonesia, constructing the rigid connection between diaphragm wall panels is scarce. The main objective of this study is to investigate the effectiveness of the RFD system on lateral wall deflection and excavation stability considering anisotropic factors due to joints in the diaphragm wall panels. First, the soil and structure parameters of the three-dimensional finite element model were validated through a well-documented braced excavation case history, which is located in Central Jakarta. Then, the RFD system was introduced to the 3D model. Some parametric studies were also conducted by varying several parameters to understand their influence on safety factors and wall deflections. The analysis results indicate that the implementation of the RFD system yields positive outcomes in controlling lateral deformations. The length of buttress walls and the use of cap slabs significantly affect excavation deformations and safety factors, while the depth of cross walls and buttress walls has a less significant impact. The presence of joints in the diaphragm wall panels causes the wall to be anisotropic, resulting in a reduction in wall stiffness. The reduction in wall stiffness leads to an increase in lateral wall deformations and a decrease in the excavation safety factor.