In a broker-dealer relationship, it is essential to understand pivotal role of the best brokerage services has to play. The broker will facilitate the execution of transactions based on your instructions. A broker is entitle to offer investor education, research, financial tools and personalized information about financial products and services, including recommendations about whether to buy, sell or expand your company.
The top brokerage services in Kolkata generally do not charge a separate fee for these services because these services are part of, and should be considered incidental to the brokerage services. In a broker-dealer relationship, the broker will not have discretion to buy and sell for you (except in some very limited circumstances). This means that you will provide approval for each investment before it is executed and you will make individual buy, sell and hold decisions. When a broker recommend to purchase, sell, hold or exchange, the broker must have a reasonable basis for believing that the recommendation is suitable for you.
However, when acting in a brokerage capacity, the broker does not have a fiduciary or investment advisory relationship with you, and any obligations to disclose information regarding the business, conflicts between our interests and yours, and other matters are more limited. Further, the brokers are paid by you for rendering the some best brokerage services.
When handling a brokerage account, your Financial Advisor must have a reasonable basis for believing that any recommendation is suitable for you, but will not have a fiduciary or investment advisory relationship with you. The broker act as your investment advisor only when he has entered into a written agreement with you that describes his advisory relationship and his obligations to you. As a service seeker you are also entitled to receive a disclosure document about advisory services that describes, among other things, the business, the services a broker provide and advisory fees, personnel, and potential conflicts between interests of both parties.