Everything you need to know about what a broker does

Surely you’ve heard of the word “broker” by now. Maybe a close friend mentioned using the broker’s services-but what exactly does he do? So far, you probably haven’t found an answer that clarifies.

On top of that, many also make the mistake of thinking that a broker is the same as a salesperson. An agent represents a company you want to buy from, and a broker is more than that: it is the person who buys and sells on behalf of the investor.

In the lines that follow, we go into more detail about what brokerage means, types of broker and other useful information.

  1. What does “broker” mean?
  2. Types of broker
  3. How a broker can help you
  4. The difference between a broker and a sales agent
  5. How and which broker to choose?

What does “broker” mean?

The first recorded cases of semi-authorised transactions took place in Rome during the reign of Julius Caesar. But the term ‘broker’ is from Old French. Of course, there are sources that believe the term has an Anglo-Saxon origin, but “broker” comes from the word “broceur” which means “small trader/merchant”.

What does broker mean

In the 11th century, the French began to settle and trade agricultural debts on behalf of the banking community. Thus was born the first unofficial brokerage system.

But that all changed in 1602, when the Dutch East India Company became the first publicly traded business in which shareholders could own part of the business. In four centuries, investment has remained one of the greatest ways to increase wealth and support progress.

Over time, brokers have discovered more areas where they can work to make a profit and help people achieve their personal goals. Thus, brokerage developed into what it is today.

But let’s go back to modern times and define the term “broker”. The explanatory dictionary says it is a stockbroker who mediates the conclusion of commercial contracts or the performance of services.

Sounds complex, BUT, in the simplest words, a broker is an independent licensed person or institution that buys and sells on behalf of another person (i.e. you, the client). He acts as an intermediary between you and a particular investor. Brokers provide services that any business or individual needs, from insurance to credit, pensions or leasing. Then they are compensated in various ways, either by commission or payment. More specifically, brokers can be paid both by the client to whom they provide intermediation services and by the company to which they sell products. Most of the time, he is paid by only one of the parties.

Because the broker is more independent, he has products and services from more than one company, not just one. Brokers are able to help you get the best deal for your needs. Thus, they have well thought-out investment plans, specifically built for you.

Brokers can sell several products and services such as:

  • Guidance through the maze of private investments or pensions
  • Support in buying or selling homes
  • Offering a wide range of insurance
  • Websites
  • Domains

While not many people used to be able to afford to work with a M&A, these days an online brokerage is essential. This applies especially to those who do not always have the availability to handle their investments. Fortunately, now, thanks to online brokerage that allows investors to trade at a lower cost, more and more companies or individuals want to access the stock market.

Financial market – in brief

Since we are also talking about the financial market, it would be useful for you to define this term because we will be using it more throughout the text. Like any market, the financial market sells and buys goods, only it focuses more on buying, selling and holding shares, currencies, bonds and commodities, etc.

It is important to note that the financial market is not just about financial exchanges. The role of the market is to:

  • Put savings to more productive use
  • Determine the price of securities
  • Trade securities anytime, more easily
  • Lower transaction costs

The financial market is important for those who want to invest or buy, and they will always get a fair deal. It also helps lower unemployment rates because of the many job opportunities it offers.

There are several categories of financial markets, including money market, equity, investment, foreign exchange and other derivatives. Because there are many types of financial markets, there are just as many brokers. We can distinguish investment brokers, credit brokers, Forex brokers, even real estate brokers.

Now that we’ve established what the financial market is all about, we can move on to detailing the different areas in which a broker operates.


The financial market is large and rich, offering many services that everyone needs. Because of this, there are different types of brokers and brokerage firms, specialising in a particular area. We can also consider the different types of services that can be offered by a broker.

Read on to discover the types of brokers and firms, according to two important categories.

By complexity of services

We can classify brokerage firms by the flow of services offered. Thus, we can distinguish three types:

Full service

Offer various services to their client, including financial planning, research and advice. The only drawback is that these services are more expensive. This type of brokerage is perfect for those who want to go through the whole process and build a long-term relationship with the broker.


They are in complete opposition to full-service brokers. They don’t spend much time researching the market, so they don’t offer advice and you’re more on your own. The advantage is the much lower price compared to other brokers. The services of the broker offering “discount” is most often sought by experienced traders.


Online brokerage companies offer platforms with access to market makers and other necessary resources. The client has maximum control and flexibility over orders, they just don’t offer physical office locations.

We can also mention brokers that offer zero brokerage for all trading segments. This is very useful for novice or experienced traders who find commission unnecessary.

After brokerage niche

In what follows, we will tell you more about the most important specialisations of a broker.

Insurance broker

If you’re thinking of buying an insurance policy but don’t know much about HOW to do it, then you can confidently turn to an insurance broker.

Insurance brokers make money from selling insurance to individuals and businesses. He is the bridge between you and the insurer and can help you every step of the way. Because there are so many types of insurance, from health insurance to MTPL, it’s quite a lucrative business.

The contemporary M&A brokerage company can help you with calculating your insurance premium and selecting the most advantageous rate on the market. They warn you about the risks you may encounter along the way and always offer you the best solution. To underline this point better, one of the advantages of working with Casinos Broker is that we get significant discounts on our clients.

Credit broker

Have you ever dreamed of having a home of your own? Surely this thought has crossed your mind before. The only obstacle in your way, which probably terrifies you, is going to the bank for a loan.

There’s a solution for that, and that’s a loan broker. This will save you trips to the bank alone; plus the broker will make sure to show you the best deals and create a long-term relationship with your chosen bank.

If you need financing for your future plans, you can choose:

  • First Home Loan
  • Home loan
  • Personal credit
  • Car loan

Together with your broker, you can choose the best option for you. What’s more, your credit broker can take care of the efficient organisation of your application file. Casinos Broker offers you 0% commission for the services provided.

Real estate broker

Every one of us dreams of a house all to himself, with a garden, swimming pool, yard and terrace, big enough for the whole family. That’s where a real estate broker can help.

Warning: not to be confused with a real estate agent. They are two different entities that are misperceived as the same thing. This confusion stems from the fact that estate agents also hold properties from several sellers. But the differences stop there.

The brokerage company is one step ahead of the agent because they work independently. Moreover, the broker is educated in the field and is required to take an exam to prove this education. You can find out more about these differences between an agent and a broker by reading the chapter ‘The difference between a broker and a sales agent’.

But in short, the broker represents you as the buyer/client, while the agent or estate agent represents the seller. Unfortunately, the real estate market isn’t very well regulated, so the agent can provide services to you as a client. You can go to an agency when you want to buy or rent land or a property, just like you can go to a broker. The difference is that the agency will ONLY show you the products it has in its portfolio, whereas the broker can show you products from several agencies. It is in his interest to offer you the best solutions because he represents you.

For example, if you want to rent a house or land, the broker will show you several offers from different agencies. This saves you from fruitless negotiations and time. You’ll get the house you want without too much hassle.

Investment broker

Maybe you’ve woken up every now and then with a phone call from someone asking you, “Don’t wait, invest today, the market is down!” When you hear such messages, you don’t know how to get off the phone faster because often these brokers are lying to you and want to squeeze money out of you. Except the reality is much different than how it’s portrayed, even in the movie The Wolf of Wall Street.

A true brokerage company, like Casinos Broker, is the connection between you and the world. He provides assets to buyers and sellers in the stock market. Thus, the client can buy stocks and other securities on the exchanges.

If you’ve ever thought about starting a profitable personal investment, now is the time to turn to a broker.

Car leasing broker

You’ve finally found the home you’ve been dreaming of. There’s just one problem: you don’t have any quick transportation to get from one side of town to the other.

That’s where a car leasing broker could certainly help. This gives you the right to use a car in return for a monthly payment to the lender, known as a lease payment. What’s more, car leases are quicker to obtain. Your broker will make sure to guide you to the best option that suits your budget and wishes. What’s more, Casinos Broker invites you to use the lease rate calculator, just to see how you fit in.

Next stop: the most spectacular tourist destination you’ve ever wanted to visit.

Where does Casinos Broker classify?

Casinos Broker belongs to the category of full-service firms, guided by experience, passion and competitiveness. Having brought financial stability to over 10,000 clients, we pride ourselves on the rich portfolio we have. We’re ready to find you the best deal. Transparency is one of our strengths, we are honest and motivated to help you. That’s why we also offer personalised advice, specially tailored to your needs.

We are experts in efficient solutions and we are up to date with all the latest news in the financial world. Moreover, Casinos Broker specialises in several areas, those mentioned above, but not only.

We are proud to have been able to bring a smile to many customers’ lips through value for money. And to debunk the notion that full-service firms are expensive, at Casinos Broker, the first consultation is free. Following the advice you receive, you decide whether you resonate with us for future collaboration. We promise that the professional relationship we have will be long-lasting and productive.

We invite you to have a relaxed chat about your financial planning. Learn more about how to create your financial planning here.

How a broker can help you

We could go on and on about the benefits of working with a broker because there are so many. As far as you can tell from the previous paragraphs, a broker is the bridge between you and the financial market.

He speaks on your behalf and does everything possible to ensure that you get the best deal. Thus, we can say that a first advantage of a broker is that it gives you more time to focus on what matters. Say goodbye to wandering from one agency to another. You’ll also be relieved of stress because the broker will spend his time doing all the trading, while you can relax with your loved ones.

As well as talking to the company you are buying services and products from on your behalf, a broker will also try to find the best solution for your budget. They will consult with you before making a decision and make sure there are no other costs on top of it. A broker will be on your side and will help you whenever you need it. He will be with you every step of the way. So you can count on the broker that will find the right insurance for you cheaply.

What makes a broker special is also the fact that they have access to the market. Therefore, you also have access to more resources and services that can help you in the future. They’ll professionally address any issues and explain anything you don’t understand. Another important point is that the advice they offer is unbiased. They won’t take you for granted and you’ll know from the start what to expect.

Moreover, the broker is looking to form a long-term relationship with you. In this way, they will work closely with you and get to know your needs. Because he knows what your goal is, he will know what your next step will be.

The difference between a brokerage company and a sales agent

Very often, a brokerage company is confused with an agent. Moreover, many people are of the opinion that they are one and the same. Because of this unfamiliarity, people don’t choose a broker, even if it is far more advantageous. In fact, most people perceive brokers as representatives of insurance companies and others see no difference between a broker and an agent.

The difference becomes apparent when you look at who each represents.

The agent sells and buys on behalf of the company they work with. An agent may work with one company or several. Thus, the agent will only sell the products that company has in their portfolio, whether we are talking about CASCO insurance, leasing, real estate, etc. Working with an agent, you will only receive offers from that business and they represent the interests of the company they are affiliated with. The agent is more limited than a broker because it depends on certain restrictions.

Let’s move on to the broker. As you know, the broker is the person who wants to buy a service, i.e. you. He can work with more than one company and there are no limits imposed on him. So he can take out home insurance from one company, motor insurance from another and so on. From this perspective, working with a broker is much more advantageous precisely because he takes the best a company has to offer. In addition, this is why the broker can compare solutions and offer personalised advice.

On top of that, the broker needs more education in order to become a broker and to be able to practice in their chosen field. The fact that the broker passes the exams gives him an advantage over the agent because he is much better trained and has a lot of experience. The broker has a licence, which gives him credibility and an independence that the agent does not have. In fact, the agent doesn’t need that independence because he depends on the company he works for. He is limited in execution and can’t offer you more than what the company has in its portfolio, unlike a broker. The broker is not limited by the services of a particular company, that’s why independence is the biggest advantage.

Another difference is that the broker has a wider range of clients and will be able to direct you to more partner companies. You’ll benefit from better rates and conditions to your liking.

How and which broker to choose?

Now that you know what a broker is, how they can help you, and how different they are from a simple agent, here comes the most important part:

Are you ready to start working with a broker?

If so, then you may be wondering which broker to choose. The Romanian market is full of brokers competing for your attention. Of course, you choose the broker you think suits you based on your needs and how much you trust them. The important thing is that the broker is also there for you, anywhere, anytime. Communication and good understanding are vital to the success of your business.

Moreover, they must have credibility and behave professionally. It’s best to look for a broker who is impartial and has a solution for every financial need. Long experience in the industry is a good sign that the broker knows what he or she is doing. Customer opinions and their number is also a good criterion for choosing a broker.

YOU are the one who will make the decision. It matters to listen to your instincts and pay attention to the signs of a reliable broker.

Let’s see what a good broker looks like.

Casinos Broker has over 10 years of experience in this field and works independently. Since 2007, the financial market has been conquered by our company.

With over 50 trusted partner insurers, we are characterized by professional excellence, honesty, loyalty and integrity. Casinos Broker is one of those companies that make things happen.

Our mission is to assist you continuously during the intermediary contracts, providing an objective analysis of the financial market. With this knowledge, we can provide the right solution and reduce the time taken to resolve issues that may arise along the way. Time is precious, which is why Casinos Broker helps its clients save this important resource.

Casinos Broker knows all the little secrets of financial services, so it pays to hit the road with us.

We hope this article has clarified the concept of “broker”.

All that’s left is to contact us right now because everyone needs a broker in their life.