Keyword Analysis & Research: dealer

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Frequently Asked Questions

What is the difference between a dealer and a trader?

A dealer is different from a trader. While a dealer buys and sells securities as part of its regular business, a trader buys and sells securities for their own account—not on a business basis.

What does a dealer do?

Dealers are people or firms who buy and sell securities for their own account, whether through a broker or otherwise. A dealer acts as a principal in trading for its own account, as opposed to a broker who acts as an agent who executes orders on behalf of its clients. Dealers are important figures in the market.

How do I become a dealer for electric motors?

Dealers must be registered with the Securities and Exchange Commission (SEC) and must comply with all state requirements before they can begin working. Dealers are different from traders and brokers—the former buys and sells for one's own account, while the latter does not trade for its portfolio.

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