Who are typically referred to as brokers in the securities market?

In the securities market, brokers are financial professionals who facilitate transactions on behalf of their clients. They act as intermediaries between buyers and sellers, executing trades based on the instructions of their customers. This role is essential in the financial markets as brokers help individuals and institutions access investment opportunities, ensure compliance with regulations, and provide market insights.

Brokers may offer additional services such as financial advice, market analysis, and execution of trades across various financial instruments. Their compensation often comes from commissions or fees based on the volume of trades they execute for their clients.

In contrast, individuals buying solely for themselves typically act as retail investors and do not operate with the same level of authority or responsibilities as brokers. Firms that only provide analysis focus on research and reporting but do not engage in the execution of trades. Lastly, investors managing their own portfolios are engaged in direct investment activities rather than fulfilling the role of brokers who act on behalf of others.