Dealer
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| An individual or firm that acts as a principal or counterparty to a transaction. | ||
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Additional Comments:
Principals take one side of a position, hoping to earn a spread (profit) by closing out the position in a subsequent trade with another party.
In contrast, a broker is an individual or firm that acts as an intermediary, putting together buyers and sellers for a fee or commission. |
Related Terms: | ||
Broker An individual or firm that charges a fee or commission for executing buy and sell orders ... Retail investor Individual investor making decisions for a personal portfolio. In contrast to institutional investors who make decisions ... SEC Securities and Exchange Commission: A commission created by Congress to regulate the securities markets and protect ... | ||
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