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LeoGlossary: Market Maker

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leoglossary
@leoglossary10 months ago
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Any individual or firm who provides liquidity to a tradeable asset. This is done by putting up both buy and sell prices at the same time. The individual or firm is trading on one's own account.

A market marker seeks to limit price variation by offer a trading range for the asset.

This is commonly done by brokerage firms who seek to make money on the bid-ask spread.

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