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Stock brokerage firm

A stock brokerage firm is an investment services company that acts as an intermediary or broker in financial markets.

A stock brokerage firm can process orders to buy and sell securities and assets on behalf of its customers but cannot trade on its own account. In other words, the brokerage firm may only operate on behalf of its clients. In order to do so on its own account, it would have to be incorporated as a stock dealership.