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 This can be done in bankruptcy or outside of it, with a turnaround consultant or a business broker. Robb Mandelbaum, Bloomberg.com, "Bankruptcy Is Tough and Costly And Might Be Your Only Option," 19 May 2020 The businessman had been using WhatsApp to connect with a broker in Australia and a supplier in Kuwait, who are both now the target of a federal investigation, Brady said. Houston Chronicle, "Report: Stockpile of 39 million masks exposed as fake," 12 Apr. 2020 That, Wessler said, probably doesn’t apply to a broker like Venntel that doesn’t deal with consumers directly. Gilad Edelman, Wired, "Can the Government Buy Its Way Around the Fourth Amendment?," 11 Feb. 2020 Better to forego the less-forgiving power-broker models and stick with a balanced outfit like the Hoyt 38 Pro ($759; hoyt.com). The Editors, Field & Stream, "Everything You Need to Know About Hog Hunting," 13 Jan. 2020 Meanwhile, Nada Rizk, an associate broker at Brown Harris Stevens, said that her 200-unit co-op on the Upper East Side is getting more than 100 parcels a day, a jump of 30 percent. Joanne Kaufman, New York Times, "The Pandemic and Package Overflow," 6 May 2020 So far the broker has mostly announced restaurants. Joshua Bowling, azcentral, "New restaurants, nearly 200 bungalow-style rentals coming to Glendale near Westgate," 5 May 2020 Robin Kence, a licensed associate broker at Compass Real Estate in Greenwich, Connecticut, has been fielding calls from clients in New York City over the past seven weeks looking to rent or buy properties in the area. Jessica Menton, USA TODAY, "Get me out of here! Americans flee crowded cities amid COVID-19, consider permanent moves," 1 May 2020 With a check for $3.5 million in hand, Andres sped north in her car from Springfield, Ill., to meet the broker at a McDonald’s parking lot. Los Angeles Times, "States do battle for coronavirus protective gear in a market driven by chaos and fear," 10 Apr. 2020

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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Time Traveler for broker

Time Traveler

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

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Statistics for broker

Last Updated

29 May 2020

Cite this Entry

“Broker.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/broker. Accessed 2 Jun. 2020.

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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
How to pronounce broker (audio)

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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