Trades on the NYSE are generally completed by having a brokerage firm acting as a "dealer" buy securities and adding them to its inventory or selling from its inventory.The NASDAQ,on the other hand,operates as an auction market,where buyers offer to buy,and sellers to sell,and the price is negotiated on the floor of the exchange.

Question

Quizplus · Accepted Answer

The NYSE operates as an auction market where buyers and sellers are matched by price, while the NASDAQ is a dealer market where trades are made through a network of dealers who buy and sell for their own accounts.

Trades on the NYSE Are Generally Completed by Having a Brokerage