Floor broker

Floor broker

A floor broker is a member of an exchange who is an employee of a member firm and executes orders, as agent, on the floor of the exchange for clients. The floor broker receives an order via teletype machine from his firm's trading department and then proceeds to the appropriate trading post on the exchange floor. There he joins other brokers and the specialist in the security being bought or sold and executes the trade at the best competitive price available. On completion of the transaction the customer is notified through his registered representative back at the firm and the trade is printed on the consolidated ticker tape which is displayed electronically around the country. A floor broker should not be confused with a Floor Trader who trades as a principal for his or her own account, rather than as a broker.


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  • Floor broker — A member who is paid a fee for executing orders for clearing members or their customers. A floor broker executing customer orders must be licensed by the CFTC. The New York Times Financial Glossary * * * floor broker floor broker ➔ broker1 * * *… …   Financial and business terms

  • floor broker — ( FB) An individual who executes orders for the purchase or sale of any commodity futures or options contract on any contract market for any other person. Chicago Board of Trade glossary A person who executes orders on the trading floor of an… …   Financial and business terms

  • floor broker — noun : a broker who trades on the floor of an exchange for the account and risk of others compare floor trader * * * a member of a stock or commodity exchange who executes orders on the floor of the exchange for other brokers. Cf. floor trader.… …   Useful english dictionary

  • Floor Broker - FB — An employee of a member firm who executes trades on the exchange floor on behalf of the firm s clients. Also known as a pit broker . Basically, floor brokers receive orders from their firms, which have been placed by the firms clients, and… …   Investment dictionary

  • floor broker — a member of a stock or commodity exchange who executes orders on the floor of the exchange for other brokers. Cf. floor trader. [1910 15] * * * …   Universalium

  • floor broker — / flɔ: ˌbrəυkə/ noun a stockbroker who is a member of a brokerage house …   Dictionary of banking and finance

  • floor broker — Member of stock or commodity exchange who is employee of member firm and executes trades for clients …   Black's law dictionary

  • floor broker — Member of stock or commodity exchange who is employee of member firm and executes trades for clients …   Black's law dictionary

  • floor dealer — ➔ dealer * * * floor dealer UK US noun [C] STOCK MARKET ► someone whose job is to trade shares, etc. for the firm that they represent or for clients at an exchange rather than on the phone or a computer → Compare FLOOR BROKER(Cf. ↑ …   Financial and business terms

  • broker — A company or individual that executes futures and options orders on behalf of financial and commercial institutions and/or the general public. Chicago Board of Trade glossary An agent who executes trades (buy or sell orders) for customers. He… …   Financial and business terms

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