A broker-dealer is a financial professional or firm that facilitates the buying and selling of securities, such as stocks and bonds. They act as intermediaries between buyers and sellers, helping clients execute trades in the financial markets. Broker-dealers can operate as either brokers, who earn commissions on trades, or dealers, who buy and sell securities for their own accounts. Broker-dealers are regulated by government agencies, such as the Securities and Exchange Commission (SEC) in the United States, to ensure fair practices and protect investors. They must register with the appropriate regulatory bodies and adhere to strict compliance standards to maintain transparency and integrity in their operations.