Who are securities dealers that are committed to continually buying and selling a specific stock?

Market makers are specialized securities dealers who facilitate trading by committing to buy and sell specific stocks on a regular basis. Their primary role is to provide liquidity in the market, which means they help ensure that there are enough shares available for purchase and that sellers can find buyers. By maintaining a consistent presence in the market, market makers help to stabilize prices and enhance the overall trading experience.

They do this by quoting prices for buying and selling securities, which allows them to create a market for those securities. This activity is crucial for less frequently traded stocks where finding buyers and sellers might otherwise be challenging. The presence of market makers allows investors to execute trades more efficiently, reducing the time and cost involved.

In contrast, market analysts researching trends, discount brokers executing trades at low commissions without providing ongoing advice, and investment bankers focusing on capital requirements and advisory services perform entirely different functions in the financial ecosystem. Their roles do not involve the continuous buying and selling of specific stocks.