What is electronic brokerage?
electronic brokerage is a type of financial brokerage that allows investors to buy and sell securities electronically; Online brokers are an example of electronic brokerage. This type of brokerage provides investors an easy way to access the market and buy securities. One of the advantages of this type of brokerage is that investors do not have to rely on someone else to buy, but at the same time investors can omit a higher level of services that would normally receive from traditional brokerage.
using electronic brokerage have access to online business software. Each broker will generally have a unique trading platform used by their customers, where there are real -time price quotes on stocks, mutual funds, stock exchange funds (ETF), currency, commodities or any other type of investment supported by a broker. The investor usually has easily access to the search information relatively easily so that he can examine the enemies of the novestment before the interiorby removal.
How does it work
Most of the time, customers are supposed to approach price charts and use technical indicators on the broker's website to help decide on trading. Once the trader finds the security he wants to buy, this process is very simple and the trader can often buy security or sell by clicking on the button. The trade will be processed as quickly as possible; In most cases, stores are processed in seconds.
advantages
One of the main advantages of working with electronic mediation is that customers do not have to rely on a human broker to place shops behind them. In the past, traders had to call a broker to place trade on the market, which slowed down this process and forced merchants to rely on a single individual. With electronic mediation with customers can go on this delayOnce it is needed. Since the customer does not rely so much on the broker, most electronic brokers also charge less in commissions.
disadvantages
Although it is faster and easier to use electronic brokerage, this type of trading is associated with several potential disadvantages. When working with electronic mediation, individuals generally do not receive the same level of service as if they were working with a traditional broker. By not talking to a live person, traders can omit a useful advice that could provide a broker of securities or financial advisors.