The fee charged by an investment advisor or broker for buying or selling securities as an agent on behalf of a client.
Term of the Minute
- Bought Deal Underwriting
Bought Deal Underwriting is a type of underwriting where the brokerage firm acts as principal. The brokerage firm risks its own capital to purchase all of the securities to be issued. If the price of the securities decreases before the brokerage firm has had a chance to resell the securities to its clients, the firm absorbs the loss.