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General TradingA

Agency Model

A brokerage model where the broker acts purely as an intermediary, executing trades on behalf of clients without taking the opposite side of the trade. The broker earns commissions rather than profiting from spreads. This model reduces potential conflicts of interest, as the broker has no incentive to trade against its clients, making it popular among institutional and professional traders.

Example

We switched to a broker operating on an agency model to avoid the conflict of interest inherent in dealing-desk execution.