STOCK BROKER Meaning and
Definition
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A stock broker is a financial professional who acts as an intermediary between buyers and sellers in the stock market. They are licensed individuals or firms that execute trades on behalf of their clients who wish to buy or sell stocks, bonds, or other securities. Stock brokers play a crucial role in facilitating the smooth functioning of the financial markets.
The primary duty of a stock broker is to provide clients with investment advice and execute trades based on their instructions. They are responsible for analyzing market trends, assessing the risk and return of various investment options, and tailoring investment strategies to meet the specific needs and goals of clients. Additionally, stock brokers keep clients updated on the performance of their portfolios, assisting them in making informed investment decisions.
Stock brokers are typically associated with brokerage firms, which may be traditional full-service firms or discount brokers. Full-service brokers offer a comprehensive range of services, including investment advice, research, and personalized recommendations. In contrast, discount brokers provide a more self-directed approach to investing, offering lower transaction costs but limited investment advice.
To become a stock broker, individuals must pass various licensing exams, such as the Series 7 exam in the United States. These exams ensure that brokers have the necessary knowledge and understanding of securities regulations and financial markets.
Overall, stock brokers act as knowledgeable and experienced professionals who enable individuals, institutions, and corporations to navigate the complexities of the stock market and achieve their investment objectives.
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One who buys and sells shares for others.
Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.
Common Misspellings for STOCK BROKER
- stockboker
- stockbrokar
- atock broker
- ztock broker
- xtock broker
- dtock broker
- etock broker
- wtock broker
- srock broker
- sfock broker
- sgock broker
- syock broker
- s6ock broker
- s5ock broker
- stick broker
- stkck broker
- stlck broker
- stpck broker
- st0ck broker
- st9ck broker
Etymology of STOCK BROKER
The word "stock broker" borrows from two distinct origins.
The term "stock" is derived from the Old English word "stoc", meaning a trunk or a block of wood. Over time, "stock" came to refer to the supply or quantity of goods and eventually began to be associated with shares of ownership in a business.
The word "broker" has a French origin, derived from the Old French word "brocheor", which referred to a wine retailer or small trader. It was later used to describe a person who acted as an intermediary or agent in commercial transactions.
The combination of "stock" and "broker" originated in London during the late 17th century when individuals started specializing in trading stocks on behalf of others. These intermediaries became known as "stock brokers", representing individuals who facilitated the buying and selling of stocks in the burgeoning stock market.
Similar spelling words for STOCK BROKER
- stock power,
- stock buyback,
- steak burger,
- stockjobber,
- stockbridge,
- stock farmer,
- stock-exchange broker,
- Stooksbury,
- stockbroker,
- stick about,
- stock cube,
- stock of record,
- stock breeder.
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