Market Makers - What Is A Market Maker And Why Are They Needede
A market maker is a stock brokerage firm, which is a member of FINRA (Financial Industry Regulatory Authority), formerly known as the NASD (National Association of Securities Dealers).
Market makers quote buy and sell prices for financial commodities, making a profit on the difference between the bid and the offer spread. The market maker gets compensated for providing liquidity in the market. A market maker is also involved with rule 15c211, in that a 15c211 is filed for a market maker to trade any given security.
Read full post...