Real estate agents represent their clients to negotiate the terms of the buying and selling of a house. Stockbrokers are agents who represent their clients for the purchase and sale of stocks and investments.
Agents have specialized knowledge and negotiate deals on behalf of their clients, also called the principal, who feel like they need someone looking out for them. Some agents have a broader power of representation, such as having power of attorney. Other agents represent their clients for a specific reason, or for a single transaction. Basically, an agent is a third party who is somehow getting a piece of the money pie.
Related or Semi-related Video
Finance: What is Acting As A Principal?36 Views
Finance what is acting as a principal Yeah unless you
want to get sent to detention we don't recommend doing
this on halloween Okay this one's really about acting as
a principal How versus acting as an agent princip al
equals owner agent equals a commission taker principal The end
result like how well or poorly and investment performs determines
success Agent whether or not a commission happens determines success
Principal The party responsible for a given system or project
or event being successful agent the party responsible for getting
people teo just spend money on that event Principal developer
The person risking capital to make say a commercial building
Make money for investors Agent the person who sold office
units in that commercial building Principal the portfolio manager the
buy side player region the stockbroker the sell side player
and well that's it in our next video will cover
acting as a shakespearean prince also challenging but the pay 00:01:23.426 --> [endTime] isn't is good
Up Next
What is an Agency Relationship? An agency relationship allows an agent to act on behalf of the individual or company who hires them. This type of r...
What does a stockbroker do? Stockbrokers use money from investors to invest in the stock market. Their first job is to go out and find these client...
Power of attorney refers to the authorization to conduct business on legal and financial matters on behalf of another party. So...choose wisely.