Investopedia

Continue to Site »

Non-Member Trader

Filed Under » , , ,
Dictionary Says

Definition of 'Non-Member Trader'

A person or entity that does not have trading privileges or an exchange membership but who trades through a current member. Non-member traders do not have the same rights as member traders, which include the ability to execute trades on an exchange and authorization to have contracts under their name.
Investopedia Says

Investopedia explains 'Non-Member Trader'

Each exchange has its own specific set of requirements potential members must meet. For example, the New York Stock Exchange (NYSE) is considered to have very strict requirements, and only allows a limited number of members to buy seats and earn the right to trade. Non-member traders might gain access through current members for speculation purposes or to hedge through derivatives to reduce risk. Some non-member traders could be subject to certain margin requirements when placing trades.

Brokerage firms that allow non-member traders and investors to execute trades at exchanges might also solicit and accept orders to buy or sell futures contracts, options on futures or retail off-exchange forex contracts.

Articles Of Interest

  1.

    The NYSE And Nasdaq: How They Work

    Learn some of the important differences in the way these exchanges operate and the securities that trade on them.

  2. Are You Under Or Overtrading?

    Under and overtrading can lessen an investor's profits. Find out how to fix these issues with a trading plan.

  3. Getting To Know The Stock Exchanges

    Here are the answers to all the questions you have about stock exchanges but are too afraid to ask!

  4. The Stock Market: A Look Back

    The past century was marked by furious economic change. What can it tell us about what lies ahead?

  5. The Birth Of Stock Exchanges

    Learn how British coffeehouses helped give rise to the juggernaut that is the NYSE.

  6. Mergers And Acquisitions: Understanding Takeovers

    In the dramatic world of M&As, battleground terms meld with bizarre metaphors to form the language of the game.

  7. Making It Big On Wall Street

    Read about some of the most glamorous Wall Street jobs and what it takes to land one.

  8. Quants: The Rocket Scientists Of Wall Street

    Blend math, finance and computer skills to command a high - and well deserved - salary.

  9. Uncovering Oil And Gas Futures

    Find out how to stay on top of data reports that could cause volatility in oil and gas markets.

  10. Trading Is Timing

    Learn how to make gains even if you don't get in at the right time.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.

  2. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.

  3. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.

  4. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  5. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  6. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.
Trading Center
Array ( )
taggroups(for debug only):
Array ( [0] => SEG (Active Traders) [1] => SEG (Active Traders:Instrument-Options&Futures) [2] => SEG (Investors) [3] => Options And Futures [4] => Markets ) time:16ms