A brokerage house or firm forms a financial institution that allows investors and traders present in the stock market to sell and purchase financial securities. Though the system is most of online now where one does not need any intermediary still there are certain areas where one has to hire a broker. For the execution of a contract within the stock market, you need to have two parties in which one is a buyer called long position holder, and the other one is seller called short position holder. Fundamentally a broker plays the role of an agent amid seller and purchaser and makes it possible for them to perform trade on different securities. For imparting such services, the brokerage houses get costs in the shape of fees or commission whenever the deal is carried out. You can have two types of brokers in the financial market as:
