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A stock broker or stockbroker or stock brokerage is someone or a firm who performs transactions in financial instruments on a stock market as an agent of his/her/its clients who are unable or unwilling to trade for themselves. Firm can have several meanings: Firm - a loose legal term for a company. ...
Financial instruments package financial capital in readily tradeable forms - they do not exist outside the context of the financial markets. ...
A stock market is a market for the trading of publicly held company stock and associated financial instruments (including stock options, convertibles and stock index futures). ...
Look up Agent in Wiktionary, the free dictionary An agent is an autonomous entity with an ontological commitment and agenda of its own. ...
Look up Trade in Wiktionary, the free dictionary Trade centers on the exchange of goods and/or services. ...
Stockbrokers also sometimes or exclusively trade on their own behalf, as a principal, speculating that a share or other financial instrument will increase or reduce in price. In such cases the term broker makes little sense and the individuals or firms trading in a principal capacity sometimes call themselves stock traders or simply traders. A principal is: The head of an institution. ...
A stock, also referred to as a share, is commonly a share of ownership in a corporation. ...
Financial instruments package financial capital in readily tradeable forms - they do not exist outside the context of the financial markets. ...
The following is the case in the UK: When acting as an agent, the stockbroker charges the client a flat fee and/or a percentage-based commission for undertaking the trade and the price quoted the client must be the best price available in the market. When acting as a principal, the trade could be with another market participant or one of the stockbroker's clients. When trading in a principal capacity with a client the broker is obliged to inform the client and no commission is charged. In law a commission is a patent which allows a person to take possession of a state office and carry out official acts and duties. ...
The following is the case in the US: When acting as an agent, the stockbroker typically charges the client a flat fee and/or a percentage-based commission for undertaking the trade and the price quoted the client must be the best price available in the market. When acting as a principal, the trade could be with another market participant or one of the stockbroker's clients. When trading in a principal capacity with a client the broker informs the client and a charges the client a markup or markdown from the prevailing market price. In law a commission is a patent which allows a person to take possession of a state office and carry out official acts and duties. ...
Other jurisdictions are thought to have similar rules.
Since the 1980s stockbroking firms have also been allowed to be market makers as long as the appropriate Chinese walls are put in place. A market maker is a person or a firm which quotes a buy and sell price in a financial instrument or commodity hoping to make a profit on the turn or the spread (i. ...
In business, a Chinese wall is a means used to make sure that different parts of the firm are kept separate so that information does not circulate freely and to prevent conflicts of interest. ...
With the advent of automated stockbroking systems on the Internet the client often has no personal contact with his/her stockbroking firm. The stockbroker's system performs all the stockbroking functions: it obtains the best price (http://www.sec.gov/rules/proposed/34-50870.pdf) from the market and executes and settles the trade. A reference to colonization, or the resulting communities. ...
Terms
Front office. This is a description of the part of the firm that is "client facing". The sales staff, brokers and traders are part of the front office. Functions of the front office include acquisiton and entry of orders, fulfillment of the orders, and all the regulatory reporting for the orders.
Back office. The back office is where the clearance processing of the trades is done. Transfer of securities and money and the tracking of "failure to deliver" is handled. Securities lending for a brokerage firm, wherein shares of a security that is being sold short are located (http://www.sec.gov/rules/final/34-50103.htm) to insure they can be deliviered, is usually included in the back office as well.
Earnings In August of 1994, Investor's Business Daily reported that "retail stockbrokers earned a record $128,553 on average" in 1993, according to the Securities Industry Association. IBD further stated that: "Institutional brokers earned a record $304,716 on average. Median earnings rose 15% for retail brokers to $90,000 and 17.5% for institutional brokers to $183,236."
Famous Stockbrokers and Their Spouses Former Brokers: - Michael Milken -- The notorious financier came to fame at Drexel Burnham and Co. in the 80s. The Wharton School graduate was later convicted of fraud involving dubious junk bond issues and served time in prison. Today, he and his brother Lowell oversee countless charitable endeavors and Milken has a posh Jewish-based high school named after him in Bel Air, CA.
- Martha Stewart -- After she gave up modeling in the late 60s, Stewart worked as a broker on Wall Street for 7-8 years before marrying Andy Stewart and launching her lifestyle empire from her farm, Turkey Hill, in Connecticut. Ironically, it was over a dispute of a stop loss order on her personal ImClone Systems shares that landed her in prison. Though Stewart insisted otherwise, a stop loss order had never been placed by her broker, society darling Peter Bacanovic, and the stock sale for Stewart was deemed insider trading. Stewart was released from prison after serving 6 months at "Camp Cupcake" in the Spring of 2005.
- Brian Dennehy -- Actor Donehey worked as a broker for a time at the same firm as Stewart.
- Jimmy Wales -- Creator of Wikipedia, worked as an options trader for many years while building his personal fortune.
Latter Brokers: Mike Milken in 1984 Michael Robert Milken is a prominent American financier who almost single-handedly created a market for junk bonds during the 1970s. ...
The Wharton School of the University of Pennsylvania is a business school at the University of Pennsylvania, USA. The school was founded by Joseph Wharton, who also was one of the founders of Swarthmore College (founded in 1864), in 1881 as the first collegiate business school in the United States. ...
Missing image Martha Helen Kostyra Stewart (born August 3, 1941) is a popular Polish-American television and magazine personality known for her cooking, gardening, etiquette, and arts and crafts projects, and as a general lifestyle guide and homemaker. ...
ImClone Systems Incorporated (NASDAQ: IMCL) is a biopharmaceutical company dedicated to developing biologic medicines in the area of oncology. ...
Peter Bacanovic was Martha Stewarts stockbroker involved in the ImClone scandal. ...
Brian Dennehy (born July 9, 1938 in Bridgeport, Connecticut) is an American actor who has appeared in movies, television shows, and stage productions. ...
Jimbo Wales speaking at FOSDEM 2005 in Brussels, Belgium. ...
Wikipedia is a Web-based, free-content encyclopedia written collaboratively by volunteers and sponsored by the non-profit Wikimedia Foundation. ...
- Larry Buster Crabbe -- Actor and former Olympic Swimmer Crabbe became a stockbroker and businessman after his career as Tarzan and Flash Gordon passed him by. He even owned a Southern California Swimming Pool building company in later years.
Famous Spouses and Children of Brokers: Larry Buster Crabbe (February 7, probably in 1908, Oakland, California - April 23, 1983, Scottsdale, Arizona) was an American athlete turned actor, who starred in a number of popular serials in the 1930s and 1940s. ...
Olympic can refer to: The Olympic Games, an international Multi-sport event Various stadiums in the world are known as Olympic Stadium Olympic Airlines, state run airline for Greece and successor to Olympic Airways The Olympic Peninsula, located in the U.S. state of Washington RMS Olympic, sister ship of...
Tarzan, a character created by Edgar Rice Burroughs, first appeared in the 1914 novel Tarzan of the Apes, and then in twenty-three sequels. ...
Flash Gordon is a science fiction comic strip originally drawn by Alex Raymond, first published on January 7, 1934. ...
- Anne Baxter -- Actress Baxter's third and last husband, David Klee, was a stockbroker.
- Colleen Moore -- Actress Moore's second of her four husbands, Albert Parker Scott, was a broker as well.
- Emily Post -- The maven of manners, formerly Emily Price, was married to a Mr. Post, a broker on Wall Street at the turn of the century. She divorced him over infidelity and started writing to support her boys, which was quite unfashionable and rather scandalous at the time. She pressed on and became a household name with her syndicated column on etiquette and radio appearances.
- Preston Sturges -- The famed director of such classic screwball comedies as The Palm Beach Story was adopted by his stepfather, Solomon Sturges, a successful broker based in Chicago in the 20s.
- James Dunn -- Irish-American 30s matinee idol, Dunn was the son of a broker, "who either had nothing or a million."
Anne Baxter in The Blue Gardenia (1953) Anne Baxter (May 7, 1923 – December 12, 1985) was an American actress. ...
Colleen Moore (August 19, 1900 _ January 25, 1988) was a film actress, and one of the most fashionable stars of the silent movie era. ...
Emily Post (3 October 1873 - 25 September 1960) was a United States newspaper and book writer who promoted proper etiquette. ...
Preston Sturges (August 29, 1898-August 6, 1959), originally Edmund Preston Biden, was a screenwriter and director born in Chicago. ...
James Dunn may refer to: James Dunn (actor), (Bad Girl, A Tree Grows In Brooklyn]]) James Dunn (politician), formerly MP for Liverpool, Kirkdale James Whitney Dunn, U.S. Representative from the state of Michigan James Dunn (theologian), Professor of Divinity at the University of Durham James Hamet Dunn, 1st Baronet...
Irish Americans are residents or citizens of the United States who claim Irish ancestry. ...
Centuries: 1st century BC - 1st century - 2nd century Decades: 20s BC - 10s BC - 0s - 10s - 20s - 30s - 40s - 50s - 60s - 70s - 80s 30 31 32 33 34 35 36 37 38 39 Sometimes the 30s is used as shorthand for the 1930s, the 1830s, or other such decades in various...
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