Series 6: 2.2.4. Prime Brokerage Accounts

Taken from our Series 6 Top-off Online Guide

2.2.4.  Prime Brokerage Accounts

Because hedge funds and other institutional investors use a number of brokers for trading, they sometimes open accounts with a prime broker. A prime broker does not engage in trading activity. Trading is done by the customer’s array of executing brokers, which are brokers that process a buy or sell order on behalf of a customer. The prime brokerage is the place where all t

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