broker

noun
bro·​ker | \ ˈbrō-kər How to pronounce broker (audio) \

Definition of broker

1 : one who acts as an intermediary: such as
a : an agent who arranges marriages
b : an agent who negotiates contracts of purchase and sale (as of real estate, commodities, or securities)
3 : one who sells or distributes something an information broker

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Other Words from broker

broker verb

Examples of broker in a Sentence

the broker in the hostage situation was a prominent reporter that the gunman felt he could trust all of the local yacht brokers were at the boat show

Recent Examples on the Web

Through a deal that Cuban himself helped broker, of course. Adam Abdalla, Dallas News, "New Japan Pro-Wrestling makes its live Dallas debut tonight — and you can thank Mark Cuban for it," 6 July 2019 Mondelez was relying on a property insurance policy and Volk, the broker, said a stand-alone cyber policy might have offered better protection. Ian Duncan, Washington Post, "As Florida cities use insurance to pay $1 million in ransoms to hackers, Baltimore and Maryland weigh getting covered," 6 July 2019 Mondelez was relying on a property insurance policy and Volk, the broker, said a standalone cyber policy might have offered better protection. Ian Duncan, baltimoresun.com, "As Florida cities use insurance to pay $1 million in ransoms to hackers, Baltimore and Maryland weigh getting covered," 5 July 2019 After Bill Clinton became president, Rodham became a consultant and a deal broker, the outlet reports. Minyvonne Burke, NBC News, "Hillary Clinton's youngest brother, Tony Rodham, dies," 8 June 2019 The National Association of Health Underwriters, which represents health benefits brokers, declined to comment. Marshall Allen, ProPublica, "Senators Call for Disclosure of Perks and Fees Paid to Health Benefits Brokers," 24 May 2019 Condo prices have fallen slightly, by 0.7% to $1.245 million, and there hasn’t been a noticeable jump in activity, according to real estate brokers. Roland Li, SFChronicle.com, "Tech IPOs haven’t made a mark on SF housing — yet," 21 June 2019 Four pages will be allowed for dual registrants (firms that are both investment advisers and broker-dealers). Julie Jason, The Mercury News, "Julie Jason: Should you care about the new SEC rules?," 17 June 2019 Profits for broker-dealer operations of New York Stock Exchange member firms totaled $27.3 billion in 2018, up from $24.5 billion in 2017, the report said, despite end-of-the-year volatility in the stock markets. Chris Carola, The Seattle Times, "Wall Street bonuses fall over $30K despite profit upturn," 26 Mar. 2019

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'broker.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of broker

14th century, in the meaning defined at sense 1

History and Etymology for broker

Middle English, negotiator, from Anglo-French brocour

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Learn More about broker

Statistics for broker

Last Updated

11 Jul 2019

Look-up Popularity

Time Traveler for broker

The first known use of broker was in the 14th century

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More Definitions for broker

broker

noun

Financial Definition of broker

What It Is

A broker is a person or a company that acts as an intermediary between buyers and sellers. Brokers exist not just in the financial markets, but in the real estate market, the commodities market, the art market -- even the boat market.

How It Works

Brokers are often paid a commission, which is a percentage of the customer's purchase or sale price, though some receive a flat fee per transaction or a mix of the two.

There are many types of brokers in the financial world. For example, a commodities broker specializes in trading commodities, a floor broker handles orders on the floor of a stock or commodities exchange and a full-service broker offers brokerage services and sells other financial products such as insurance, tax planning or research conducted by other members of the brokerage firm. A discount broker essentially executes trades on behalf of customers and does little else. Brokers are not the same as research analysts, who analyze and make recommendations about certain stocks.

In the financial world, brokers must have Series 7 and Series 63 licenses; other licenses are often required for specific types of brokers. For example, some brokers must also obtain a Series 3 license if they want to trade certain financial products such as futures and commodities. To obtain a Series 7 license, the applicant must pass the Series 7 exam (also called the Qualification Examination for General Securities Representative), which primarily covers the seven critical functions performed by registered representatives: seek business for the broker/dealer, evaluate customer needs and objectives, advise clients, manage customer accounts and account records, explain the securities markets and the factors that affect them, execute orders for clients and monitor client portfolios. The National Association of Securities Dealers administers the test.

Why It Matters

Brokers are some of the most important people in any market because they bring buyers and sellers together and thus create liquidity and efficiency in the market.

However, investors should remember that broker commissions eat into returns, so investors should shop for a broker that provides an appropriate level of service. For instance, the extra cost of a full-service broker may be worth it for people who don't have the knowledge or inclination to stay on top of complicated investing or financial planning. Likewise, new investors or those with complex portfolios might find more comfort in full-service brokers. Investors who hold their investments for a long time are usually less bothered by higher trading commissions because they don't trade that often.

Source: Investing Answers

broker

noun

English Language Learners Definition of broker

: a person who helps other people to reach agreements, to make deals, or to buy and sell property (such as stocks or houses)

broker

noun
bro·​ker | \ ˈbrō-kər How to pronounce broker (audio) \

Kids Definition of broker

: a person who acts as an agent for others in the buying or selling of property

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broker

noun
bro·​ker | \ ˈbrō-kər How to pronounce broker (audio) \

Legal Definition of broker

: an agent who negotiates contracts of sale (as of real estate or securities) or other agreements (as insurance contracts or mortgages) between the parties for a fee or commission — compare dealer, finder

Note: An insurance broker differs from an insurance agent in that a broker is usually considered an agent of the insured, even though he or she may receive a commission from an insurance company. A broker may sell the products of a number of insurers, and an insurer has no liability for a broker's wrongful actions. A securities broker often acts also as a dealer and so is often referred to as a broker-dealer.

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More from Merriam-Webster on broker

Rhyming Dictionary: Words that rhyme with broker

Thesaurus: All synonyms and antonyms for broker

Spanish Central: Translation of broker

Nglish: Translation of broker for Spanish Speakers

Britannica English: Translation of broker for Arabic Speakers

Britannica.com: Encyclopedia article about broker

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