preference (redirected from Perfer)

Preference

Refers to over-the-counter trading. Selection of a dealer to handle a trade despite the dealer's market not being the best available. Often the "preferenced dealer" will then move his market in line.

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preference

The practice of matching customers' buy and sell orders away from the primary exchange. Preferencing is opposed by the New York Stock Exchange because it claims the practice unfairly benefits brokerage firms and doesn't give customer orders the chance to see other customer orders in a public market. Compare in-house trade.