What are they and what do Brokers and agents or brokers?

                                                        

In the world of finance, the terms "broker" and "agent or broker" are constantly confused.

In principle, the "brokers" are people who operate under the orders of the customers of the company who hire them. The broker, however, performs functions of financial advice to its customers, in addition to working on their own. The terms are confused because many "brokers" also perform an advisory role, which are specific tasks agents.

The "brokers" are people who are responsible for conducting the procedures of sale through the stock exchange. Their compensation is based on commissions, receiving a percentage of the money invested. And as always

reference tariffs.

The "brokers" are the only people who can buy and sell shares. Not enough that a private person wants to invest their capital in shares. I could not do because it is not authorized. Therefore, all investors (traders) have to address the "brokers" who are engaged in this type of transaction.

Brokers, meanwhile, advise and counsel in buying stocks or bonds listed on the stock exchange. You can tell which are intermediaries between companies that put their shares for sale, ie, sellers, and buyers who are looking to take profit on their contributions and always seek a rapprochement between the parties (seller and buyer) to be translated into a good negotiation. So often the sellers who seek to brokers to find buyers and get a good deal. In addition, they perform difficult tasks of advising both sides to everything runs under a legal framework for both parties leave satisfied and benefit from the negotiations.

The "brokers" can perform many functions and act in many different ways. The best known is that of intermediaries searched, but can also look for the parties, doing work similar to that of stockbrokers, except multiply their functions as the "brokers" have greater maneuverability.

In conclusion and to make it as clear as possible, we say that a stockbroker is a person who has extensive knowledge of business and finance, which used to advisors to dealers; and that the "broker" is who acts as an intermediary between the business, through the actions, and the market, obeying orders. That is, one complements the other and if we get a good deal, we must not lose sight of either.