brokerage

Compensation paid to a broker.

One way to build a business is to find a market which is divided into categories in which certain feature subsets are unavailable, and to offer that subset. For example, traditional brokerages was divided into deep discount (inexpensive trades, without advice) and full-service (expensive trades, with advice). Although the markets later blended together, there was an opportunity for a service provider to decouple the two features and sell just the advice without the expensive trades.