Jobber

Um...one who...jobs?

When we invest in financial markets, we probably do it through a broker. Or, if we’re savvy, maybe we go it alone.

But who do the brokers go through? Where do they go to buy and sell securities for all of their clients?

The answer is jobbers, who basically act as wholesale retailers of financial securities. “Jobbers” is a slang term that originated in London a couple centuries ago, and we like it because it reminds us of Jabba the Hutt, which reminds us of the greatest Star Wars movie ever. But we digress.

The term “jobber” refers to a person or company who not only participates in the London Stock Exchange, but also buys and sells those same securities on its own books. In other words, they do their own investing and act as an agent for other investment brokers. They buy and sell securities to brokers using a small spread system; they try and make a wee bit o’ cash on every transaction, and over time, those wee bits can add up to hefty chunks of change. Plus, since they’re so dialed into their markets, they can get transactions done much faster than individual brokers, which makes everyone happy.