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Username: Fluffy

Rating:
Guru Stars

Asked to: Jacob Rogers

Date Created: 21 Mar 2018
Category 28
Tag Financial
Question Please give the definition of 'Make A Market'.
Advice from Guru
Hello Fluffy,

An action whereby a dealer stands by ready, willing and able to buy or sell a particular security at the quoted bid and ask price.

By being able to make a market allows the brokerage to fill customer orders out of the brokerage inventory, which is faster and easier than filling orders from other brokerages or investors.

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