What is a ‘Jobber’
Speculator is a slang term for a market maker on the London stock exchange before October 1986. Jobbers, also called “stockjobbers,” acted as market makers. They held shares on their own books and created market liquidity by buying and selling securities, and compliance with investors ‘ requests to buy and sell through their brokers, who were not allowed to do in the markets. The term “marking” is also used to describe small wholesaler or an intermediary in the retail trade goods.
Breaking Down The ‘Jobber’
Little is known about the activities of jobbers, because they kept few records, but in the early 19th century in London there were hundreds of small firms. The number of jobbers has decreased sharply during the 20th century until they ceased to exist in October 1986. This month was when the “big Bang” a major shift in the activities of the London stock exchange, has occurred. The financial sector of London was suddenly deregulated fixed commissions were replaced by negotiated commissions and introduced electronic trading.
This system of marking has turned in a decidedly modern form during the 19th century, as the range of types of securities has expanded. At least half of the members of the London stock exchange began to specialize in making a continuous market in one of the leading types of these securities. The difference between these market makers, or jobbers and brokers who dealt with them on behalf of the public was clear, but it mainly relies on the customs and traditions until 1909, when single capacity was formalized in the London stock exchange rules. By 1914, more than 600 small firms were available, along with many man-crafting. These figures steadily declined as the institutional investor supplanted the private and on the scale required ornamental capital has increased dramatically. In anticipation of the “Big Bang” there are only five major jobbing firms on the floor of the London stock exchange, although this decline does not necessarily mean loss of competitiveness provided by the system.
Jobbers left few records of their cases. Neither journalists nor other observers, has kept a lot in the way of a detailed record of their work. History of banks, stock companies and other problems have been, and continue to be, the basis of any historical records relating to the jobbers. In the center of the story Metropolitan has collected archive of interviews with former jobbers, which serves as a permanent record for the last half-century of a distinctive part of the financial life of London.