BROKERAGE Meaning and
Definition
-
Brokerage refers to a financial institution or individual that acts as an intermediary or middleman between buyers and sellers in various financial transactions. It encompasses the establishment and facilitation of deals, negotiations, and transactions relating to financial products and services.
In its broadest sense, brokerage refers to the practice of executing trades and investments on behalf of clients, offering them access to different financial markets. Brokerage services are commonly offered in the stock market, allowing investors to buy and sell securities such as stocks, bonds, mutual funds, and exchange-traded funds. These brokers act as an agent, executing transactions and providing advice and recommendations to clients based on their financial goals and risk tolerance.
Additionally, brokerage services extend to other areas of finance, such as real estate brokerage, insurance brokerage, and commodities brokerage, where brokers provide similar intermediary services between buyers and sellers in their respective markets.
The primary function of a brokerage is to match buyers and sellers, ensuring fair and efficient transactions while charging a commission or fee for their services. Brokers possess in-depth knowledge of financial markets and products, allowing them to offer expertise, execute trades, handle paperwork, and maintain compliance with applicable regulations.
Overall, brokerage plays a vital role in the functioning of financial markets by facilitating transactions and providing valuable financial advice, enabling individuals and businesses to efficiently navigate and participate in the world of finance.
-
In life-insurance, the percentage on the first premium, paid to the agent on commission.
A practical medical dictionary. By Stedman, Thomas Lathrop. Published 1920.
-
The fee, wages, or commission paid to a broker for buying or selling for another.
Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.
Top Common Misspellings for BROKERAGE *
* The statistics data for these misspellings percentages are collected from over 15,411,110 spell check sessions on www.spellchecker.net from Jan 2010 - Jun 2012.
Other Common Misspellings for BROKERAGE
Etymology of BROKERAGE
The word "brokerage" has its origins in the Middle English period, derived from the Old French word "broceur" which meant "small trader" or "middleman". This Old French term further traces back to the Old Provençal word "broquièr" which referred to a wine merchant. The term eventually made its way into the English language in the 14th century as "brokourage", meaning the occupation or activities of a broker. Over time, it evolved into the modern term "brokerage" which generally refers to the business or services provided by a broker.
Similar spelling words for BROKERAGE
- broker,
- brisker,
- bracer,
- Bricker,
- brager,
- bracero,
- Buroker,
- breaker,
- breger,
- brucker,
- brooker,
- braker.
Infographic
Add the infographic to your website:
