Desk Trader

DEFINITION of 'Desk Trader'

A trader who is restricted to instituting trades for a firm's clients and who is unable to trade with his/her firm's own accounts.

BREAKING DOWN 'Desk Trader'

If you telephone a brokerage firm to order shares in a company, you'll most likely end up talking to a desk trader who will take the order and send it to the market. Desk traders must be registered with the relevant securities regulators, such as the Securities & Exchange Commission.

RELATED TERMS
  1. Trading Desk

    A desk where transactions for buying and selling securities occur. ...
  2. Proprietary Trading

    When a firm trades for direct gain instead of commission dollars. ...
  3. Firm Order

    1. A market order to buy or sell a security for a brokerage's ...
  4. Dealing Desk

    In foreign currency markets, the location of a financial institution's ...
  5. Head Trader

    The manager of a trading business. He or she is responsible for ...
  6. Non-Client Order

    An order on an exchange made by a participant firm or on behalf ...
Related Articles
  1. Investing

    The Different Trading Desks of an Investment Bank

    Learn about trading desks at an investment bank. Gain an understanding of how these trading desks are split among market sectors.
  2. Managing Wealth

    Top 10 Brokerage Firms For Day Trading

    Day traders have different needs from long-term investors. Investopedia rates the top 10 brokerage firms for day traders.
  3. Trading

    What is the Difference Between Institutional Traders and Retail Traders?

    The differences between retail and institutional traders lie in the size of the trade, level of sophistication, and the speed of transactions.
  4. Retirement

    Financial Career Shift: Get In The Driver's Seat

    Before you agree to work for another investment firm, be sure you know what you're getting into.
  5. Trading

    Quit Your Job To Trade Stocks?

    Ready to quit your day job and become a full-time trader? These tips will help you determine your area of expertise.
  6. Trading

    Uncovering The Securities Firm

    Learn about the various departments of a securities firm and the professionals who make it work.
  7. Trading

    An Introduction To Day Trading

    This article will take an objective look at day trading, who does it and how it is done.
  8. Financial Advisor

    A Day In The Life Of A Day Trader

    Day trading has many advantages and, while we often hear about these perks, it's important to realize that day trading is hard work.
  9. Investing

    What is a Firm?

    A firm is a business or organization that sells goods or services on a for-profit basis.
  10. Managing Wealth

    Fixed Income Trader: Career Path & Qualifications

    Discover the career path the most fixed income traders follow and learn more about the qualifications needed and the average salary they earn.
RELATED FAQS
  1. Why won't my broker allow me to sell one stock and buy another on the same day?

    There are two likely reasons why a customer would be unable to buy and sell a stock in the same trading day. For simplicity's ... Read Answer >>
  2. What happens when the lender of the borrowed shares in a short sale transaction wants ...

    In a short sale transaction, shares are borrowed from the lender by the short seller and sold in the market. The lender of ... Read Answer >>
  3. What qualifies a person as a day trader?

    As of Sept 28, 2001, the NASD (now, FINRA) and NYSE amended their definitions of day traders. A new term that they use is ... Read Answer >>
  4. When short selling a stock, how long does a short seller have before covering?

    There are no general rules regarding how long a short sale can last before being closed out. A short sale is a transaction ... Read Answer >>
  5. Why are most brokerage firms owned by banks?

    Learn about the differences between investing with a bank-owned brokerage firm or with an independent broker. Get real answers ... Read Answer >>
  6. Why does my broker allow me to enter only day orders for short selling?

    Put simply, brokerage firms restrict short sales to day orders because of the complexity of the short sale transaction and ... Read Answer >>
Hot Definitions
  1. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  2. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  3. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  4. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  5. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  6. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
Trading Center