Market Makers Brokers – Definition and Features

Market makers brokers

What is a broker market maker?

The Market Makers are brokers in which the buy or sell transactions of financial instruments (currencies, stocks, indices, commodities, crypto, …) that their client’s request are not made directly in the market but at the broker’s trading desk of the broker itself (therefore the Market Makers are brokers with trading desk and that’s why they are also called DD or Dealing Desk). In other words, the broker creates the market for its clients and, in many cases, acts as the counterpart in the client’s transactions.

Market makers brokers create an internal market for their clients and allow them to buy or sell at any time without having to wait for a transaction in the opposite direction to make the trade. Market Makers are always prepared to offer a buy price (bid) and a sale price (ask) for each financial instrument they offer, so the trader can execute his operations at any time and with the volume it deems convenient.

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