negotiated commission

Negotiated commission

An unfixed broker's commission that is determined through negotiation, depending on the specifics of the trades performed.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Negotiated Commission

A fee that a client negotiates with a broker to conduct trades on the client's behalf. Some brokerages charge set commissions, but some allow clients, especially large ones, to apply negotiated commissions. They became more common after commissions were deregulated in 1975. See also: May Day.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

negotiated commission

A fee for trading securities that is subject to bargaining between the customer and the brokerage firm. Negotiated commissions began to become widespread in the United States in 1975. See also discount brokerage firm, May Day.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
Mentioned in ?
References in periodicals archive ?
And except for environmental impairment, the same trend held for compensation based on line of coverage -- a straight or negotiated commission was the risk manager's preferred form of agent/broker compensation.
Plumeri's claim that the higher negotiated commissions Willis is paid result in a better outcome for the client.
"[Merrill Lynch] has always been the leader in bringing out new directions, new focuses," he says, pointing out that concepts such as cash management accounts and negotiated commissions were pioneered by the firm in the 1970s, though they are widely employed today.