Wire room

(redirected from Wire Rooms)

Wire room

A department within a brokerage firm that receives customers' orders and transmits the orders to the exchange floor or the firm's trading department.

Wire Room

A department (or a physical room in the office) of a brokerage that receives orders from clients and transmits them to the appropriate broker on an exchange for execution. Likewise, when the order is executed, the wire room is responsible for informing the client. The wire room helps keep the process of placing orders and making transactions as organized as possible. See also: Front office.

wire room

The area in a broker-dealer firm in which customer orders are received from retail offices and are relayed to an exchange floor for execution. Following execution, that information is relayed from the wire room back to retail offices.

Wire room.

When brokerage firm orders to buy and sell were handled manually, the firm's back office was called the wire room.

People who worked there received the buy or sell orders that came in from brokers and transmitted them to the firm's trading department or floor traders for execution. The wire room also received notifications when the transactions were completed and sent those notifications back to the brokers who took the orders.

However, as electronic systems increasingly handle these communications, wire rooms have essentially disappeared.

References in periodicals archive ?
It is used to automate financial institutions' wire rooms and to connect to the Federal Reserve's FedWire system.