introducing broker

introducing broker definition - finance
A person or firm that solicits orders to buy or sell futures contracts or options, but who does not accept money or other assets to pay for those orders. An IB turns the client over to the futures commission merchant who accepts the money and does the transaction. An IB must be registered with the Commodity Futures Trading Commission.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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