In investment terminology, the term brokerage refers to the business that a broker is engaged in or the charge that a broker makes for its services. In addition, it can refer to a company that helps its clients to buy and sell investment products like stocks and bonds.
For example, a stock brokerage firm will typically transact equities for its clients in return for a fee or commission charged on each transaction, which is also known as Brokerage. The firm’s brokers may also advise their clients on how to improve their investment portfolio’s performance, assist them in managing their brokerage account, or inform them of investment opportunities that can arise from time to time. Another popular type of brokerage business is that engaged in by online forex brokers who facilitate access to the foreign exchange market via the Internet for their trading clients, who generally take currency positions on a margin basis.