Specialist Firm


DEFINITION of 'Specialist Firm'

The firms that hire the specialists to represent companies listed on certain exchanges. Companies listed on certain exchanges will interview employees of the specialist firms, seeking out suitable people to represent them by holding inventories of the companies' stocks.

BREAKING DOWN 'Specialist Firm'

In the 1980s, there were upwards of 50 specialist firms, and most were family-owned businesses. In 2008 there were 10, due to decades of mergers and acquisitions; seven of them being stock specialist firms, while the other 3 specializing in ETFs.

  1. Ask

    The price a seller is willing to accept for a security, also ...
  2. Market Maker

    A broker-dealer firm that accepts the risk of holding a certain ...
  3. Member Firm

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  4. Member

    1. In the most general context, a brokerage firm (or broker) ...
  5. Bid

    1. An offer made by an investor, a trader or a dealer to buy ...
  6. New York Stock Exchange - NYSE

    A stock exchange based in New York City, which is considered ...
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  1. Who employs the specialists at New York Stock Exchange (NYSE)? Do they work for themselves, ...

    Before we address this question, let's review what specialists do. Specialists are people on the trading floor of an exchange, ... Read Full Answer >>
  2. What's the difference between a Nasdaq market maker and a NYSE specialist?

    What's the main difference between a specialist and a market maker? Not much. Both the New York Stock Exchange (NYSE) specialist ... Read Full Answer >>
  3. Should mutual funds be subject to more regulation?

    Mutual funds, when compared to other types of pooled investments such as hedge funds, have very strict regulations. In fact, ... Read Full Answer >>
  4. Do ETFs pay capital gains?

    Exchange-traded funds (ETFs) can generate capital gains that are transferred to shareholders, typically once a year, triggering ... Read Full Answer >>
  5. How do real estate hedge funds work?

    A hedge fund is a type of investment vehicle and business structure that aggregates capital from multiple investors and invests ... Read Full Answer >>
  6. Are Vanguard ETFs commission-free?

    While some Vanguard exchange-traded funds (ETFs) are available commission-free from third-party brokers, a large portion ... Read Full Answer >>

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