Make a market means

CFA Level II
#1

Ethics, curriculum, page 217

Andrei Kepsh is a junior research analyst at CVG. The director of research has assigned Kepsh to inititiate coverage on a local biotechnology company, GeoTech. CVG owns and makes a market in GeoTech shares.

What does make a market mean? Thanks.

#2

It means that when someone wants to buy GeoTech shares, Andrei’s there to sell them, and when someone wants to sell GeoTech shares, Andrei’s there to buy them.

#3

Thanks! Similiar to broker or dealer.

#4

yes a dealer