DavidCarpentier
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Hi guys,
I am a beginner to this, could you please explain to me the difference between being a stockbroker and a trader?
From what I understand, a stockbroker works for wealthy individuals who will ring them up and say ''sell this'' or ''buy that''. The stockbroker is employed by a trading house to work on behalf of its clients.
The trader might work for the trading house or investment bank itself. They will buy and sell with the bank's money to try and make the bank a profit. They might also trade on behalf of clients but the decisions on what to buy are made by the traders themselves using their own judgement.
Is this correct?
And also, how does proprietary trading and flow trading differ and how does prop/flow trading fit into stockbroking/trading?
Thanks
Dave
I am a beginner to this, could you please explain to me the difference between being a stockbroker and a trader?
From what I understand, a stockbroker works for wealthy individuals who will ring them up and say ''sell this'' or ''buy that''. The stockbroker is employed by a trading house to work on behalf of its clients.
The trader might work for the trading house or investment bank itself. They will buy and sell with the bank's money to try and make the bank a profit. They might also trade on behalf of clients but the decisions on what to buy are made by the traders themselves using their own judgement.
Is this correct?
And also, how does proprietary trading and flow trading differ and how does prop/flow trading fit into stockbroking/trading?
Thanks
Dave
