A market maker is a broker that quotes both sides of the market and takes the other side of client trades internally, then manages the resulting exposure itself. This arrangement can offer wider spreads with no commission, consistent liquidity and small fixed lot sizes. The description of the business model is not by itself evidence of fair or unfair treatment; execution quality is what should be measured.
Forex glossary
Market Maker
Related term
ECN Broker
ECN (electronic communication network) describes an execution arrangement where client orders are routed to a pool of liquidity providers and matched against ot…
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