Trader (finance)

<h2 id="duties-and-types">Duties and types</h2>
<p>The word "trader" appeared as early as 1863 in a universal dictionary as "trading man."<a class="footnote-ref" id="fnref:2" href="#fn:2"><sup>2</sup></a> Traders work for financial institutions as foreign exchange or securities dealers in the cash market and in the futures market, or for their own account as proprietary traders.<a class="footnote-ref" id="fnref:3" href="#fn:3"><sup>3</sup></a> They also include stock exchange traders, but not stockbrokers or lead brokers.
</p><p>Traders buy and sell financial instruments traded in the <a href="/facts/Stock_market/DyTRW5kA">stock markets</a>, <a href="/facts/Derivatives_market/vCzT9MDe">derivatives markets</a> and <a href="/facts/Commodity_markets/2vH05eJ5">commodity markets</a>, comprising the <a href="/facts/Stock_exchange/lTJvjyVW">stock exchanges</a>, <a href="/facts/Derivatives_exchange/qRQpFANa">derivatives exchanges</a>, and the <a href="/facts/Commodities_exchange/p6XJqxKk">commodities exchanges</a>. Several categories and designations for diverse kinds of traders are found in <a href="/facts/Finance/fLh1GgN8">finance</a>, including:
</p>
<ul><li><a href="/facts/Bond_market/RsFyUdRB">Bond</a> trader.</li>
<li><a href="/facts/Floor_trader/pwj5dFoc">Floor trader</a>.</li>
<li><a href="/facts/Hedge_fund/LYsk45YD">Hedge fund</a> trader.</li>
<li><a href="/facts/High-frequency_trading/QWWwQgkI">High-frequency trader</a>.</li>
<li><a href="/facts/Market_maker/7v05Fsa3">Market maker</a>.</li>
<li><a href="/facts/Pattern_day_trader/y8UJSQn1">Pattern day trader</a>.</li>
<li><a href="/facts/Principal_trade/hQGqudRB">Principal trader</a>.</li>
<li><a href="/facts/Proprietary_trading/maHKoQJs">Proprietary trader</a>.</li>
<li><a href="/facts/Rogue_trader/U3d62coF">Rogue trader</a>.</li>
<li><a href="/facts/Scalping_(trading)/rN2MwUHg">Scalper</a>.</li>
<li><a href="/facts/Stock_trader/lFUFr2T1">Stock trader</a>.</li></ul>
<h2 id="income">Income</h2>

<p>According to <i><a href="/facts/The_Wall_Street_Journal/9Pkf2cYK">The Wall Street Journal</a></i> in 2004, a <a href="/facts/Managing_director/mg4A8y5M">managing director</a> <a href="/facts/Convertible_bond/Bug5u1Ve">convertible bond</a> trader was earning between $700,000 and $900,000 on average.<a class="footnote-ref" id="fnref:4" href="#fn:4"><sup>4</sup></a>
</p>
<h2 id="see-also">See also</h2>
<ul><li><a href="/facts/Commodities_exchange/p6XJqxKk">Commodities exchange</a></li>
<li><a href="/facts/Commodity_market/2vH05eJ5">Commodity market</a></li>
<li><a href="/facts/Derivatives_market/vCzT9MDe">Derivatives market</a></li>
<li><a href="/facts/Financial_risk_management/sXAcYTh9">Financial risk management § Investment management</a></li>
<li><a href="/facts/List_of_commodity_traders/YJDVbnoM">List of commodity traders</a></li>
<li><a href="/facts/List_of_trading_losses/7xDFwz2h">List of trading losses</a></li>
<li><a href="/facts/Mismarking/5cLhgnEl">Mismarking</a></li>
<li><a href="/facts/Stock_exchange/lTJvjyVW">Stock exchange</a></li>
<li><a href="/facts/Stock_market/DyTRW5kA">Stock market</a></li>
<li><a href="/facts/Trading_strategy/uvx5KXl4">Trading strategy</a></li></ul>

<h2 id="external-links">External links</h2>
<ul><li> Trading at Wikibooks</li></ul>

<h2 id="references">References</h2>

<ol>
<li id="fn:1"><p>"Trader definition". Archived from the original on Jun 28, 2023. <a href="https://www.investopedia.com/terms/t/trader.asp" target="_blank">https://www.investopedia.com/terms/t/trader.asp</a> <a href="#fnref:1" class="footnote-back-ref">↩</a></p></li>
<li id="fn:2"><p>Verlagsbuchhandlung Pierer (Hrsg.), Pierer's Universal Lexikon der Vergangenheit und Gegenwart, Band 17, 1863, S. 740 <a href="https://books.google.com/books?id=4fZpEs-EY7sC&dq=Trader+lexikon&pg=PA740" target="_blank">https://books.google.com/books?id=4fZpEs-EY7sC&dq=Trader+lexikon&pg=PA740</a> <a href="#fnref:2" class="footnote-back-ref">↩</a></p></li>
<li id="fn:3"><p>Ulrich Becker, Lexikon Terminhandel: Finanz- und Rohstoff-Futures, 1994, S. 612 f. <a href="https://books.google.com/books?id=KwWBBwAAQBAJ&dq=Trader+lexikon&pg=PA613" target="_blank">https://books.google.com/books?id=KwWBBwAAQBAJ&dq=Trader+lexikon&pg=PA613</a> <a href="#fnref:3" class="footnote-back-ref">↩</a></p></li>
<li id="fn:4"><p>Street's Weather: Bonus Showers - WSJ.com <a href="http://online.wsj.com/article/SB113141870174290857.html" target="_blank">http://online.wsj.com/article/SB113141870174290857.html</a> <a href="#fnref:4" class="footnote-back-ref">↩</a></p></li>
</ol>

Trader (finance) open-in-new

Trader (finance)