Market intermediary

Market intermediary – A business entity that acts as the middleman between two parties in a financial transaction. Commercial banks and other financial institutions, such as investment bank, broker-dealers, mutual funds and pension funds, are all examples of intermediaries. Market intermediaries offer a number of services to the buy side and the sell side, and charge investors advisory fees, broking commissions, proprietary trading fees, etc. while providing other benefits such as safety, liquidity and economies of scale.