• A stock exchange member who stands ready to quote and trade certain securities either for his own account or for customer accounts. The specialist's role is to maintain a fair and orderly market in the stocks for which he is responsible.
• Is a person on the floor of an exchange who is supposed to buy when others are selling, and sell when others are buying so as to maintain and orderly market. In doing so, specialists run risks and they are compensated by the spreads.
• On an exchange, the member firm that is designated as the market maker (or dealer for a listed common stock). Only one specialist can be designated for a given stock, but dealers may be specialists for several stocks. In contrast, there can be multiple market makers in the OTC market.
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| ||Common stock|
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| ||Do not reduce: Is an instruction on an order that notifies the broker or Specialist that the client does not want the price to be adjusted for cash dividends.Abbreviated DNR. Used on a Buy or Sell Order to tell the broker not to decrease the limit price on buy-limit and sell-stop orders on the record date of a cash dividend. See also: Buy Stop Orders.|
| ||Limit order book: A record of unexecuted limit orders that is maintained by the Specialist. These orders are treated equally with other orders in terms of priority of execution.|
| ||New york stock exchange: Abbreviated NYSE. Also known as the Big Board or The Exhange. More than 2,00 common and preferred stocks are traded. The exchange is the older in the United States, founded in 1792, and the largest. It is located on Wall Street in New York CityThe largest stock exchange in the United States. It is a corporation, operated by a board of directors, and it is responsible for setting policy, supervising Exchange and member activities, listing securities, overseeing the transfer of members' seats on the Exchange, and judging whether an applicant is qualified to be a Specialist.|