brokerage

Brokerage Firm

A firm that conducts transactions on behalf of a client. Some brokerage firms only conduct transactions, while others also offer different types of investment advisory services. Brokerage firms derive their profit from commissions on orders given. That is, they usually collect a percentage of the value of each transaction, though some charge flat fees. Clients may give orders in a variety of ways. One may meet with a broker, call on the telephone, or give orders over the Internet. Brokerage firms handle two main types of brokerage accounts: advisory accounts and discretionary accounts. Brokers are only allowed to conduct transactions on advisory accounts on the specific orders of the account holder, or under very specific instructions. Brokerages have much more leeway over discretionary accounts, conducting transactions not prohibited by the account holder in accordance with the holder's investment goals and the prudent man rule. In practice, most brokerage firms are in fact broker-dealer firms. Most brokerage firms must register with the SEC.

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brokerage

A real estate activity devoted to assisting buyers and/or sellers in the purchase of real property.In smaller communities,brokerage activities are conducted on a type of general practitioner basis. In larger communities, brokers generally specialize in certain price ranges or types of residential properties; or some combination of office buildings, retail space, food service, industrial, warehouse,farms and lands,or development land.