Posted in Finance, Accounting and Economics Terms, Total Reads: 26
Definition: Dealer Desk
Dealer desk is a place in a financial company where foreign currency markets work round the clock and hence it is required by the companies for round the clock trading. The dealer desk does not always mean few employees, certain companies also have firms appointed at dealers. Dealers are basically brokers that act for the employers.
The dealer desk normally exhibit price control and have full control on the information of the customer.
This kind of dealing generally do not exhibit free market dealing and hence can lead to manipulation quotes to meet their customers range.in this kind of dealing the broker/dealers set their price , the price at which they are willing to buy or sell for their customer. The normally benefit from buying at less and selling at more. They may offer fixed as well variable price. There is non-dealing also in which there is no human intervention and hence there is no price control by the broker or the dealer.
But again such kind of dealing changes the transparency of the efficient market and normally non dealing desk is preferred by the entities.