Intermediate broker

The Jolly Contrarian’s Glossary The snippy guide to financial services lingo.™ →Go uptown Index — Click the ᐅ to expand: Glossary Tell me more Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

In the world of exchange-traded instruments, a broker who occupies the dun netherworld between a client-facing executing broker and the exchange or CCP-facing clearing member. May or may not be affiliated with the executing broker.

Of interest because:

• An intermediate broker it might prolong a clearing chain beyond the permissible number of links under EMIR
• It may present a risk-weighting problem to you under CRR if you don’t pass on all solvency relates losses as contemplated in Art 306(1)(c) of that glorious regulation.

See also

• Brokers and dealers
• EMIR
• CRR
• Exchange-traded derivatives