Discount broker

A brokerage house featuring relatively low commission rates in comparison to a full-service broker.

Similar financial terms

Discount
A value lower than par value; the decreased market value of a bond resulting from its intrest rate and safety rating.

Discount rate
The loan intrest rate charged by the Federal Reserve Bank to its member banks.

Accretion (of a discount)
In portfolio accounting, a straight-line accumulation of capital gains on discount bond in anticipation of receipt of par at maturity.

Pure-discount bond
A bond that will make only one payment of principal and interest. Also called a zero-coupon bond or a single-payment bond.

Original issue discount debt (OID debt)
Debt that is initially offered at a price below par.

Bank discount basis
A convention used for quoting bids and offers for treasury bills in terms of annualized yield , based on a 360-day year.

Cash discount
An incentive offered to purchasers of a firm's product for payment within a specified time period, such as ten days.

Broker
A broker is an agent who executes orders to buy or sell securities or other assets on behalf of a client in exchange for a commission.

Brokered market
A market where an intermediary offers search services to buyers and sellers.

Commission broker
A broker on the floor of an exchange acts as agent for a particular brokerage house and who buys and sells stocks for the brokerage house on a commission basis.

Carrying Broker
A member of a commodity exchange, usually a futures commission merchant, through whom another broker or customer elects to clear all or part of its trades.

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Reset frequency

The frequency with which the floating rate changes.


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