broker-dealers

Broker-dealers are financial entities that facilitate the buying and selling of securities, such as stocks and bonds. They operate as brokers when they help clients execute trades and earn a commission. As dealers, they buy and sell securities for their own accounts, aiming to profit from price changes. Broker-dealers play a vital role in financial markets by providing liquidity and ensuring that transactions happen efficiently. They are regulated to protect investors and maintain fair market practices, requiring them to follow strict guidelines for transparency and conduct.