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|WikiProject Finance||(Rated Start-class, High-importance)|
Intro: "Investment Companies"
"Although many broker-dealers are "independent" firms solely involved in broker-dealer services, many others are business units or subsidiaries of commercial banks, investment banks or investment companies."
- A broker is a registered entity which buys and sells securities for its clients or for its own account. When buying for a client, it is acting in an agency capacity. When buying for its own account, it is acting in a principal capacity. The difference between a broker and a dealer has to do with the capital raising function. The vast majority of broker-dealer firms are engaged only in brokering, that is buying and selling securities. Dealers are involved in bringing new issues of securities to marker. WikeDorset (talk) 19:50, 1 March 2017 (UTC)