"buy" or "sell" side firm?

Discussion in 'Trading' started by 0008, Feb 7, 2003.

  1. 0008

    0008

    A novice question:

    What is the meaning of "buy" or "sell" side firms?
     
  2. Alcoe80

    Alcoe80

    Sell side firms are the major brokerage houses - Goldman, Merrill, etc. They use their analysts to write reports to "sell" stocks to clients.

    Buy side firms are the institutional money managers - Fidelity, Janus, etc. Their analysts cover more stocks and make recommendations of stock purchases for the fund.

    Hope that made some sense.