Brokers turn to margin trading

Article Abstract:

UK private client stockbrokers have become increasingly involved in margin trading in 1995. The brokers themselves have been undergoing a period of consolidation. Margin trading accounts allow clients to borrow using portfolios for security. UK rules are not as clearly defined as are those in the US . Companies offering this service include Killik and Co Stockbrokers, Shore Capital, and Fidelity Brokers also aims to offer such a service.

Security brokers and dealers, United Kingdom

Execution-only brokers: specialised stockbroking services exist for those who only want to buy or sell shares. But competition is increasing between brokers offering to provide a range of options for the share-dealing public

Article Abstract:

There are execution-only stockbrokers available for those who only want to buy or sell shares. Such stockbrokers make their living from buying and selling in large volumes. Large operators who offer such services include Fidelity and ShareLink, as well as high street banks and building societies. There are also more traditional stockbroking firms and share dealing bucket shop type operators.

Playing the market: no matter what the requirements for managing a portfolio, there is a stockbroking service to suit

Article Abstract:

Stockbrokers can offer a dealing-only service where orders a placed by phone or post, advisory services where the broker gives advice or information, or portfolio management where the portfolio is actively managed by the stockbroker. Brokers vary greatly in their charging structures and the Securities and Futures Authority, the regulatory body, will undertake monitoring.