Brokers:
A)earn a spread by buying securities at a low price and selling them at a higher price
B)operate in over-the-counter markets
C)charge a commission on the trades they perform
D)can be described as 'market makers'.
E)All of these.

Question

Quizplus · Accepted Answer

Brokers charge a commission on the trades they perform, acting as intermediaries between buyers and sellers. They do not earn a spread or act as market makers, which is typically the role of dealers.