The party who serves as a dealer for a few securities on an exchange floor and is obligated to maintain an orderly market for those securities is called a:
A)floor trader.
B)designated market maker.
C)floor broker.
D)member.
E)house broker.

Question

Quizplus · Accepted Answer

A designated market maker is responsible for maintaining an orderly market for the securities they deal with on the exchange floor. They are also known as specialist firms. Floor traders are individuals who trade for their own accounts, floor brokers execute trades on behalf of clients, members are individuals or firms with brokerage membership on the exchange, and house brokers are firms that provide brokerage services for clients.

The Party Who Serves as a Dealer for a Few