DEFINITION of 'Broker-Reseller'

A type of broker that acts as an intermediary between large brokerages and their clients. Broker-resellers typically take stock orders from clients and then use major brokerages to execute the trades.

BREAKING DOWN 'Broker-Reseller'

While all major brokerages belong to reputable governing organizations, such as the National Association of Securities Dealers and similar bodies, not all broker-resellers have taken all the examinations and various other steps to be considered qualified as standard brokers. Therefore, an investor should be sure to perform the necessary due diligence on a reseller before any money changes hands.

  1. Stock Market

    The market in which shares of publicly held companies are issued ...
  2. Dealer

    A person or firm in the business of buying and selling securities ...
  3. Full-Service Broker

    A broker that provides a large variety of services to its clients, ...
  4. Discount Broker

    A stockbroker who carries out buy and sell orders at a reduced ...
  5. National Association Of Securities ...

    The NASD was a self-regulatory organization of the securities ...
  6. Broker

    1. An individual or firm that charges a fee or commission for ...
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