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Exchange Members

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Exchange members

Exchange Member
A person, normally a broker, who has membership on a stock exchange. This means that he/she is allowed to make trades on the floor of that exchange. Most exchanges do not allow firms to be members, so the membership for a member firm formally belongs to one or more of its employees. Memberships are bought and sold at market price because most exchanges have a finite number. See also: Seat.

Member Firm
A broker-dealer firm in which at least one of the principal officers is allowed to trade on the floor of an exchange. To become a member, one needs to purchase a membership or a seat on the exchange, which can be very expensive. There are usually a set number of memberships to an exchange; for example, on the New York Stock Exchange, there are 1,366 seats, which may cost up to $1 million each, and which may be bought or sold to different firms. Most exchanges do not recognize member firms, only individual members; that is, they consider members to be the brokers or dealers on the floor, rather than the firms they represent.


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One of the main reasons cited for this is the fact that most of the traffic exchange members are members of the exchange primarily because they are already promoting a business opportunity or product of their own.
Also you webpage should load quickly due to the fact that traffic exchange members will usually not spend than 10-30 seconds looking at it before the traffic exchange allows them to earn their traffic credit and proceed to the next site.
Any exchange members that are interested in a trade concerning that stock will congregate in the location for that stock.
 
 
 
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