A designation given by the Federal Reserve System to commercial banks or broker/dealers who meet specific criteria. Among the criteria are capital requirements and meaningful participation in the Treasury auctions. Chicago Board of Trade glossary
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Usually refers to the select list of securities firms that are authorized to deal in new issues of government bonds. Bloomberg Financial Dictionary
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See Treasury securities primary dealer Euroclear Clearing and Settlement glossary
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Dealers who are authorized by the central bank to deal in the primary market for government securities. Primary dealers are normally required to play a significant part in auctions and act as market makers in the secondary market as well as keeping the central bank well informed of market conditions and developments. Primary dealers are also known as primary distributors, jobbers, SVTs (in France), underwriters and lead managers.
► See also Primary Markets.
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primary dealer UK US noun [C]
► FINANCE, ECONOMICS a bank or other financial organization that can deal directly with a country's central bank when it makes government bonds available: »
The government debt market is highly influenced by the primary dealers' fiduciary obligations to the Federal Reserve.
Financial and business terms. 2012.