A stock brokerage is a company that handles the buying and selling of stocks for its clients. It is also referred to as an investment brokerage and has been one of the most important institutions in the United States.
Stock brokerage firms hold many brokerage accounts of buyers and sellers of large and small companies. These accounts all hold assets of a monetary status. For sellers, the brokers monitor the prices of the stocks and advise them of the best time to sell portions of the share. When they sell their shares at a higher price, the seller makes a profit. At this time, the respective stock broker at the investment brokerage gets paid a commission from the sale of the stocks.
An investment brokerage is also important for the buyers of the stocks. This is where the investor puts money into a brokerage account and then uses the money to buy a portion of stocks in which they are interested. The stock broker facilitates this transaction and watches the stock market to see whether or not the stock is increasing or decreasing in price.
If the stock increases at an exponential rate, the stock broker assigned to this particular account at the investment brokerage can advise the individual to sell the shares of stock they have for a profitable sum.
Overall stock brockerage firms are the institutions in which buyers and sellers come together to do transactions facilitated under the care of the stock brokers. The brokers work in the best interest of the investor and sometimes on their behalf. They conduct research, monitor stocks, and advise when necessary.