interdealer brokers

interdealer brokers
Also known as IDBs. Dresdner Kleinwort Wasserstein financial glossary
Stock Exchange member firms who act as intermediaries for anonymous trading between market makers. When a market maker wishes to complete a large trade, he may advertise the trade through an IDB. Another market maker may take the other side of the bargain. The deal is anonymous, with neither market maker knowing who is completing the other side of the trade. This is achieved by having the market makers dealing with the IDB as a principal, rather than as an agent between the two final participants. Dresdner Kleinwort Wasserstein financial glossary

Financial and business terms. 2012.

Игры ⚽ Поможем сделать НИР

Look at other dictionaries:

  • Interdealer Brokers in the Fixed Income Markets — (from the Securities Industry and Financial Markets Association’s educational piece [http://www.sifma.net/assets/files/InterdealerBrokers 0320.pdf] explaining the role of Interdealer Brokers. IDBs are specialized securities companies serving as… …   Wikipedia

  • IDBs — Abbr. interdealer brokers Stock Exchange member firms who act as intermediaries for anonymous trading between market makers. When a market maker wishes to complete a large trade, he may advertise the trade through an IDB. Another market maker may …   Financial and business terms

  • inter-dealer — UK US (also interdealer) adjective FINANCE ► used to describe arrangements and agreements between brokers (= organizations whose business is buying and selling financial products): »The inter dealer broking market recently witnessed a number of… …   Financial and business terms

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