Power Broker

DEFINITION of 'Power Broker'

An individual who, through his or her connections, is able to influence the decisions of other parties. A power broker is typically an industry insider, and is familiar with other individuals and groups able to exert influence or make decisions. Power brokers may be elected officials, business leaders or individuals who are "connected".

BREAKING DOWN 'Power Broker'

Because of the influence power brokers have on an organization's decision makers, they are able to command high fees and the attention of individuals, organizations and companies looking to make headway with a particular project or goal. For example, industry lobbyists and media personnel familiar with the ins and outs of a particular issue are able to reach and influence decision makers faster than those who are unfamiliar with key players.

RELATED TERMS
  1. Undue Influence

    A situation in which an individual is able to persuade another's ...
  2. Market Power

    A company's ability to manipulate price by influencing an item's ...
  3. Give Up

    A procedure in securities or commodities trading where the executing ...
  4. Beneficial Owner

    1. A person who enjoys the benefits of ownership even though ...
  5. Deep Discount Broker

    An agent that mediates sales and exchanges between securities ...
  6. Executing Broker

    The broker or dealer that finalizes and processes an order on ...
Related Articles
  1. Trading

    How To Choose The Right Online Trading Broker

    The online broker market is becoming more competitive, but differences exist in services that can help traders choose the broker that’s right for them.
  2. Trading

    Is Your Forex Broker A Scam?

    While the forex market is slowly becoming more regulated, there are many unscrupulous brokers who should not be in business.
  3. Trading

    Is Your Broker Acting In Your Best Interest?

    Learn the clues you'll need to determine whether you've chosen a reputable professional.
  4. Investing

    Brokers and Online Trading

    How do you find the right broker for your investment needs? Start by reading our broker tutorial.
  5. Trading

    How Forex Brokers Make Money

    Forex brokers set their prices based on commission, spread, or a combination of both. Traders have to be cautious in the thinly regulated forex market.
  6. Trading

    The Best Low-Cost, Web-Based Trading Brokers

    With this table, investors can differentiate between top low-cost, web-based trading brokers by price, capabilities, and offerings.
  7. Trading

    Price Shading In The Forex Markets

    This practice puts brokers ahead of their clients, but it doesn't have to be a negative for traders.
  8. Trading

    How Brokerage Fees Work

    What you need to know about fees when choosing between a full service and discount broker.
  9. Trading

    Forex Broker Guide: Broker Support

    Live Chat SupportSince the forex marketplace is open nearly 24 hours a day, seven days a week, a broker's customer service should be available during the hours that the trader might need help; ...
  10. Managing Wealth

    5 Misconceptions About Discount Brokers

    While discount brokers are the perfect choice for some investors, their business model could be detrimental to others.
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. How does an insurance broker make money?

    Discover how an insurance broker makes money. Insurance brokers are important in helping people find the right insurance ... Read Answer >>
  3. What does "in street name" mean, and why are securities held this way?

    In almost every instance when you buy or sell securities with a broker, your name is not actually on the stock or bond certificate. ... Read Answer >>
  4. How much will it cost me to become a casual investor on my own?

    Understanding the costs associated with becoming a casual investor is important if you want to be successful. It is important ... Read Answer >>
  5. What is a common strategy traders implement when using the Elder-Ray Index?

    Read about the important buying and selling conditions that are recommended by Dr. Alexander Elder when using his Elder-Ray ... Read Answer >>
  6. How does a broker decide which customers are eligible to open a margin account?

    Learn how brokers have the sole discretion to determine which customers can open margin accounts, and understand the rules ... Read Answer >>
Hot Definitions
  1. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
  2. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
  3. Brexit

    The Brexit, an abbreviation of "British exit" that mirrors the term Grexit, refers to the possibility of Britain's withdrawal ...
  4. Underweight

    1. A situation where a portfolio does not hold a sufficient amount of a particular security when compared to the security's ...
  5. Russell 3000 Index

    A market capitalization weighted equity index maintained by the Russell Investment Group that seeks to be a benchmark of ...
  6. Enterprise Value (EV)

    A measure of a company's value, often used as an alternative to straightforward market capitalization. Enterprise value is ...
Trading Center