What is the creator of the market?

The

market creator is a special type of broker whose function is to "create" the market for specific stocks. The creator of the market will have a certain number of shares in its inventory for explicit purpose to sell them to a person offering them to buy them or add to their inventory by purchasing shares offering shares. In some cases, the market creator can only compare the buyer and seller of shares of shares. The potential shares seller determines the price for which the share will be sold; This is ask or the required price . The potential buyer of the shares will be offered or offer for which the shares will be purchased. These two prices are rarely equal and the market creator will only trade if there is a sufficient difference to bring profits in sale. On severely traded events in which hundreds of thousands of shares trades in a single day, the market creator can still achieve nice profits, even though this difference is very small.

The

NASDAQ market consists of more than 300 market creators. As the market creator receives profit from every sales, whether the market is rising or declining, the right to be the market creator like Nasdaq is worth a large amount of money. The opportunity to become a market creator is very rare and usually purchased right. It is not easy to decide to become a market creator and start as such.

To ensure an effective and efficient market, there are 14 market creators on the NASDAQ. Every market creator competes with other market creators for each proposed stock agreement. The intention is that the market thus remains competitive and fair for everyone. The New York Stock Exchange has a seller who plays similar roles. However, on the exchange of securities in New York, these sellers are referred to as market specialists and not market creators , even if they serve exactly the same purpose.