Market Maker Responsibilities - Introduction

In addition to the requirements to become a market maker, firms must follow strict guide- lines when acting as a market maker. Market makers must adhere to all rules relating to their participation in the over the counter market. Entering quotes, executing orders, and operating as a market maker during an offering are just some of the activities that have very specific standards of operation. All Series 55 candidates must have an in-depth understanding of market maker rules and regulations in order to successfully complete the Series 55 Exam.



Times For Entering A Quote


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RELATED FAQS
  1. What is the difference between a broker and a market maker?

    A broker is an intermediary who has a license to buy and sell securities on a client's behalf. Stockbrokers coordinate contracts ... Read Answer >>
  2. A person purchases stock XYZ (an Over The Counter stock) from a company who is also ...

    The correct answer is c When the firm is a market maker in the stock then it must act as a principle. Principal is the main ... Read Answer >>
  3. What's the difference between a Nasdaq market maker and a NYSE specialist?

    What's the main difference between a specialist and a market maker? Not much. Both the New York Stock Exchange (NYSE) specialist ... Read Answer >>
  4. Is an earnings surprise priced into the opening value by market makers or does the ...

    An earnings surprise is an event where the earnings of a company are greater or lower than the predictions put forth by analysts, ... Read Answer >>
  5. What is the difference between a quote driven market and an order driven one?

    The difference between these two market systems lies in what is displayed in the market in terms of orders and bid and ask ... Read Answer >>
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