A broker is an intermediary firm or individual that facilitates the buying and selling of financial instruments on behalf of clients. Brokers provide access to exchanges and markets that individuals cannot access directly, and they earn revenue through commissions, spreads, or fees. Different types of brokers include full-service brokers (offering research and advice), discount brokers (offering execution at lower cost), and ECN brokers (providing direct market access). Choosing a reputable, regulated broker is one of the most important decisions a trader makes.
Example
“She opened an account with a regulated forex broker that offered tight spreads on major currency pairs and commission-free trading.”