Definition

1. Noun:
   • A company or firm that acts as a broker: A brokerage is a business or place where a broker conducts their work of arranging transactions between buyers and sellers.
   • The business or service of acting as a broker: The activity or profession of a broker, involving the facilitation of deals, especially in finance or real estate.
   • The fee charged by a broker for their services: The commission or charge paid to a broker for successfully arranging a contract or transaction.

Usage Examples

• Noun:
  • She opened an investment account with a large online brokerage. (This refers to the company that facilitates the buying and selling of stocks.)
  • His income comes from the brokerage he earns on each real estate sale. (Here, 'brokerage' means the fee or commission.)
  • He works in brokerage, connecting manufacturers with international distributors. (This describes the business or service of brokering deals.)

Advanced Usage

• "Full-service brokerage": A company that provides a wide range of services including investment advice, research, and transaction execution.

  • High-net-worth individuals often prefer a full-service brokerage for personalized advice.

• "Discount brokerage": A company that executes buy and sell orders at a reduced commission rate but typically offers no investment advice.

  • Active traders frequently use a discount brokerage to minimize transaction costs.

Variants and Related Words

• Broker (n): The person or agent who acts as an intermediary.

  • A mortgage broker helped them find the best loan.

• Brokering (v, gerund): The act of arranging or negotiating a deal.

  • She is skilled at brokering peace agreements.

Synonyms

• Agency: A business or organization providing a particular service, often on behalf of another.
• Intermediation: The process of acting as a link between parties in a transaction.

Related Phrases

• Brokerage account: A type of financial account held at a brokerage firm, used to buy and sell securities.

  • You need to fund your brokerage account before you can trade stocks.

• Brokerage fee/commission: The specific charge for the broker's service.

  • The brokerage fee for this transaction is 1.5%.

Noun

1. place where a broker conducts his business
2. the business of a broker; charges a fee to arrange a contract between two parties
3. a stock broker's business; charges a fee to act as intermediary between buyer and seller