Brokerage Firm

From Open Risk Manual

Definition

Brokerage Firm. A firm in the business of buying and selling securities, operating as both a broker and a dealer, depending on the transaction

The term broker-dealer is used in U.S. securities regulation parlance to describe stock brokerages, because most of them act as both agents and principals. A brokerage acts as a broker (or agent) when it executes orders on behalf of clients, whereas it acts as a dealer (or principal) when it trades for its own account.

See Also

  • Office of Financial Research (OFR) Annual Report, 2012, Glossary


Disclaimer

This entry annotates a FIBO Ontology Class. FIBO is a trademark and the FIBO Ontology is copyright of the EDM Council, released under the MIT Open Source License. There is no guarantee that the content of this page will remain aligned with, or correctly interprets, the concepts covered by the FIBO ontology.

Contributors to this article

» Wiki admin