InvestorWords.com

A situation in which a broker acts as agent on both sides of a given transaction. If the broker has a buy order and an equivalent sell order, he/she can "cross" the orders. This is common in the case of large orders, but is legal only if the broker first offers the securities to the public at a price higher than the bid price.

• Tax Implications of Different Types of Investments
• ETF Wraps
• Are student loans a good idea?
• Understanding Wills and Trusts
• Mutual Funds and Your Portfolio
• Introduction to Commodities

Featured Advertiser