Guys, what is client brokerage commissions and can someone explain its use in the context of client? S
I manage your money because you are too lazy to do it. You pay me to do this. I need to execute trades for your account with a broker. The broker charges money for that because s/he needs to feed the spouse and kids. The money that goes from your account to the broker’s account is the commission. You paid the money so you need to be entitled to any benefits from that money. If the broker gives me a kick-back and I use it to buy a new Ferrari, I have cheaated you out of the Ferrari.
Choosing between whether the Ferrari will go to you (my money manager) or the broker, I (as a client) would choose to give it to you, since I’m not going to get the Ferrari anyway!