A broker-dealer is a firm that buys and sells securities on behalf of its clients and itself. Broker-dealers act as agents in transactions between buyers and sellers of securities, and they also trade securities for their own account. The term “broker-dealer” is used in the United States to describe a firm that is in the … Read more
The European Best Bid and Offer (EBBO) is the best bid and offer price for a security that is traded on multiple European exchanges. The EBBO is used by brokers and traders to get the best price for a security when trading in Europe. The EBBO is calculated by taking the best bid and offer … Read more
A broker booth support system is a computerized system that helps stockbrokers keep track of their clients’ stock portfolios and transactions. It is also used to provide customer service and support. What is the basic format of the AA meeting? The AA meeting format is simple. Members sit in a circle and take turns sharing … Read more
A stockbroker is an individual or firm that charges a fee or commission for executing buy and sell orders submitted by an investor, on behalf of the investor. The role of a stockbroker is to provide a link between an investor and a securities firm. Stockbrokers are required to be licensed with the Securities and … Read more
A transfer agent is a person or company that keeps track of shareholders for a publicly traded company and handles the transfer of securities. The transfer agent also cancels and issues certificates, as well as updates records of ownership. Transfer agents are usually banks or trust companies, but they can also be registered brokers-dealers. The … Read more
A wirehouse is a large investment bank that offers a full range of financial services to its clients, including investment banking, asset management, and research. Wirehouses are typically the largest and most well-known firms in the financial services industry. The term “wirehouse” is derived from the fact that these firms were historically the only firms … Read more
A custodial account is an account that is held by a custodian, who is typically a bank, broker, or other financial institution. The custodian holds the account on behalf of the account owner, and is responsible for safeguarding the assets in the account. Custodial accounts are often used for minors, as they allow parents or … Read more
What is the Automated Clearing House (ACH) and how does it work? Do ACH payments post immediately? ACH payments can take a few days to post to your account. This is because the ACH network processes payments in batches, and your bank may not process payments until the next batch. Do all banks use ACH? … Read more
