A brokerage firm is a company that facilitates the buying and selling of financial securities, such as stocks and bonds, on behalf of clients. These firms act as intermediaries between buyers and sellers, helping individuals and institutions execute trades in various markets. They may offer additional services, including investment advice, research, and portfolio management. Brokerage firms can be categorized into two main types: full-service and discount brokers. Full-service brokers provide personalized financial advice and a wide range of services, while discount brokers focus on executing trades at lower costs, often with minimal guidance. Both types play a crucial role in the financial markets.