In the trading and financial world, a broker is an intermediary who facilitates the exchange of financial instruments between buyers and sellers. They execute transactions, usually for a fee or commission.
Brokers may facilitate trades in various financial markets, such as stocks, bonds, currencies, commodities, and derivatives. They can also provide a range of services such as research, analysis, and advice to help their clients make informed investment decisions. However, a broker must be licensed by a local financial authority to offer and conduct financial services.
A broker can be an independent person or a company, and there are different types of brokers. The main types include stockbroker, forex broker, discount broker, and full-service broker.
Stockbroker: Stockbrokers buy and sell securities, such as stocks, bonds, and mutual funds, on behalf of their clients.
Forex broker: Forex brokers provide their clients with access to the foreign exchange (forex) market, allowing them to buy and sell currency pairs and make currency conversions.
Discount broker: Discount brokers execute trades on behalf of clients for a lower commission than other types of brokers. Typically, they only provide basic order execution services with limited services such as research, investment advice, and customer support.
Full-service broker: Full-service brokers typically offer a wide range of services, including trade execution, investment advice, market research, financial planning, and portfolio management. They may charge higher commissions, but their personalised support makes them appealing to clients.
ADSS offers a range of global markets for traders, with opportunities in indices, commodities, forex, equities and more. We also feature tutorials, how-to guides, and weekly webinars to help you navigate the financial markets and find better trading opportunities. You can start trading and investing online by opening a live trading or demo trading account.