Futures Commission Merchant - FCM

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DEFINITION of 'Futures Commission Merchant - FCM'

A merchant involved in the solicitation or acceptance of commodity orders for future delivery of commodities related to the futures contract market.

INVESTOPEDIA EXPLAINS 'Futures Commission Merchant - FCM'

A futures commission merchant is able to handle futures contract orders as well as extend credit to customers wishing to enter into such positions. These include many of the brokerages that investors in the futures markets deal with.

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