scalper business definition
- A market maker who assigns excessive markups or markdowns on security transactions. Such activity is in violation of National Association of Securities Dealers rules.
- An investment adviser who takes a position in a security before publicly recommending the security for purchase. The scalper then sells the security at a profit after the recommendation has caused investors to buy the security and push its price higher. This type of activity must be disclosed to buyers.
- An in-and-out trader who attempts to profit on relatively small price changes.
- An individual who purchases something thought to be in short supply and then attempts to resell it at far above the purchase price: A scalper standing outside the stadium was offering to sell two World Series tickets.
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