Investing Basics
Brokerage Account
An account that allows you to buy and sell investments.
Also called: investment account, broker account
What it means
A brokerage account is a financial account that lets you hold cash and place trades in securities such as stocks, ETFs, bonds, and mutual funds. The brokerage firm handles the buying, selling, and custody of those investments.
Why it matters
It is one of the most basic tools people use to start investing outside of retirement accounts.