Registered Representatives
A registered representative is an individual who has passed the CSE's registration process and is therefore licensed to work in the securities industry. The process includes an examination that tests the candidate's knowledge of securities and markets. Further, the registration agreement requires that the candidate agree to follow the rules of the CSE.
Registered representatives sell to the public; they do not work on exchange floors.
Market Makers
Market makers are firms that maintain a firm bid and offer price in a given security by standing ready to buy or sell at publicly-quoted prices. The CSE / Nasdaq is a decentralized network of competitive market makers. Market makers process orders for their own customers, and for other broker/dealers; all securities are traded through market maker firms. Market makers also will buy securities from issuers for resale to customers or other broker/dealers. About 10 percent of CSE firms are Market Makers; a broker/dealer may become a Market Maker if the firm meets capitalization standards set down by the CSE.
Specialists
A registered representative is an individual who has passed the CSE's registration process and is therefore licensed to work in the securities industry. The process includes an examination that tests the candidate's knowledge of securities and markets. Further, the registration agreement requires that the candidate agree to follow the rules of the CSE.
Registered representatives sell to the public; they do not work on exchange floors.
Market Makers
Market makers are firms that maintain a firm bid and offer price in a given security by standing ready to buy or sell at publicly-quoted prices. The CSE / Nasdaq is a decentralized network of competitive market makers. Market makers process orders for their own customers, and for other broker/dealers; all securities are traded through market maker firms. Market makers also will buy securities from issuers for resale to customers or other broker/dealers. About 10 percent of CSE firms are Market Makers; a broker/dealer may become a Market Maker if the firm meets capitalization standards set down by the CSE.
Specialists
Specialists keep markets for securities orderly and continuous. This means they must buy when there are others selling without buyers, and they must sell when others are buying without sellers. They must maintain their own inventories of securities that are large enough for sizable trades. Specialists both buy and sell out of these inventories and mediate between other customers.
Specialists work on the exchanges where they hold seats. Among their duties is buying and selling odd-lots (trades of less than 100 shares) for exchange members. To trade a security, a specialist must be able to keep a position on it with at least 5,000 shares. Specialists, like others, who buy and sell for the public, are subject to rules and regulations. Specialists often choose to keep inventories in multiple securities, often in more than one market sector.
Specialists work on the exchanges where they hold seats. Among their duties is buying and selling odd-lots (trades of less than 100 shares) for exchange members. To trade a security, a specialist must be able to keep a position on it with at least 5,000 shares. Specialists, like others, who buy and sell for the public, are subject to rules and regulations. Specialists often choose to keep inventories in multiple securities, often in more than one market sector.
No comments:
Post a Comment