broker
noun
\
Definition of broker
Keep scrolling for more
Synonyms for broker
Synonyms
buffer, conciliator, go-between, honest broker, interceder, intercessor, intermediary, intermediate, interposer, mediator, middleman, peacemaker
Visit the Thesaurus for More
Examples of broker in a Sentence
Recent Examples on the Web
George was the owner/ broker of Canfield Realty in Hudson New Hampshire and formed multiple construction and development companies. — courant.com, "George M. Canfield Sr.," 4 Aug. 2019 Lincoln Moser, owner of the house (at least for the time being) and organizer of the weekend, is a happily married but financially teetering Las Vegas real estate broker. — Alida Becker, New York Times, "The Old Men and the Sea (or, Richard Russo’s New Novel)," 30 July 2019 His father was a cotton broker; his mother a secretary. — Washington Post, "H. Ross Perot rose from poverty to self-made billionaire," 9 July 2019 His father was a cotton broker; his mother a secretary. — David Koenig, Twin Cities, "Colorful self-made billionaire H. Ross Perot dies at 89," 9 July 2019 His father was a cotton broker; his mother a secretary. — CBS News, "Ross Perot, billionaire former presidential candidate, has died at age 89," 9 July 2019 His father was a cotton broker; his mother a secretary. — David Koenig, Anchorage Daily News, "H. Ross Perot, Texas billionaire and presidential candidate, dies at 89," 9 July 2019 Huatai Securities is China’s fifth-largest broker by assets. — Shen Hong, WSJ, "New Fundraising Channel for China Inc. Opens in London," 17 June 2019 One of the other partners working with Manafort on the deal was the former exclusive broker for Fred Trump's properties, Brad Zackson. — NBC News, "Senator: Oligarch linked to Kremlin earned millions while fighting extradition to U.S.," 4 June 2019These example sentences are selected automatically from various online news sources to reflect current usage of the word 'broker.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Keep scrolling for more
Keep scrolling for more
More Definitions for broker
broker
nounFinancial Definition of broker
What It Is
A broker is a person or a company that acts as an intermediary between buyers and sellers. Brokers exist not just in the financial markets, but in the real estate market, the commodities market, the art market -- even the boat market.
How It Works
Brokers are often paid a commission, which is a percentage of the customer's purchase or sale price, though some receive a flat fee per transaction or a mix of the two.
There are many types of brokers in the financial world. For example, a commodities broker specializes in trading commodities, a floor broker handles orders on the floor of a stock or commodities exchange and a full-service broker offers brokerage services and sells other financial products such as insurance, tax planning or research conducted by other members of the brokerage firm. A discount broker essentially executes trades on behalf of customers and does little else. Brokers are not the same as research analysts, who analyze and make recommendations about certain stocks.
In the financial world, brokers must have Series 7 and Series 63 licenses; other licenses are often required for specific types of brokers. For example, some brokers must also obtain a Series 3 license if they want to trade certain financial products such as futures and commodities. To obtain a Series 7 license, the applicant must pass the Series 7 exam (also called the Qualification Examination for General Securities Representative), which primarily covers the seven critical functions performed by registered representatives: seek business for the broker/dealer, evaluate customer needs and objectives, advise clients, manage customer accounts and account records, explain the securities markets and the factors that affect them, execute orders for clients and monitor client portfolios. The National Association of Securities Dealers administers the test.
Why It Matters
Brokers are some of the most important people in any market because they bring buyers and sellers together and thus create liquidity and efficiency in the market.
However, investors should remember that broker commissions eat into returns, so investors should shop for a broker that provides an appropriate level of service. For instance, the extra cost of a full-service broker may be worth it for people who don't have the knowledge or inclination to stay on top of complicated investing or financial planning. Likewise, new investors or those with complex portfolios might find more comfort in full-service brokers. Investors who hold their investments for a long time are usually less bothered by higher trading commissions because they don't trade that often.
Source: Investing Answers
broker
noun
English Language Learners Definition of broker
See the full definition for broker in the English Language Learners Dictionary
broker
noun
\
Kids Definition of broker
Keep scrolling for more
broker
noun
\
Legal Definition of broker
Note: An insurance broker differs from an insurance agent in that a broker is usually considered an agent of the insured, even though he or she may receive a commission from an insurance company. A broker may sell the products of a number of insurers, and an insurer has no liability for a broker's wrongful actions. A securities broker often acts also as a dealer and so is often referred to as a broker-dealer.