The acronym SIM stands for the Real Estate Brokerage Company and is a type of company planned and regulated in a very precise manner by law. The specific provisions are found in the Consolidated Law on Financial matters and a specific register is reserved for SIMs. In any case, SIMs do few specific things, but they are very important:
- They collect orders from their customers and buy what they are asked to do.
- They subscribe to bond issues, but they can do so even without a guarantee (i.e. if they fail to sell all the securities on the market, they will not buy the unsold stock themselves).
- They invest on their own account in financial instruments of any kind.
- They manage equity portfolios on behalf of their clients, even if access to this type of private management requires capital usually in excess of 5 million dollars.
Many get confused and think that by going to the bank where they have their current account and asking to invest in a certain instrument, the bank itself will deal with brokerage. This is strictly forbidden to a commercial bank, which must instead pass through a SIM or SGR in order for this to happen.
Also in this case a small digression is a must because the façade of the SIMs and investment banks is often represented by the financial promoters. These do not invest the money on behalf of the clients, or at least it is not what normally happens. With the use of the Phoenix Management Group Tokyo Review you can have the best deal of support now.
Their role is basically to find interested savers to invest in the financial products of the SIM or investment bank they work for. Normally their autonomy is very limited, because companies pose rather strict poles to be respected and they are limited to the role of “resellers” of these solutions.
On the one hand it is true that they are freelancers with a VAT number, but on the other hand their contracts are anything but free.
The brokers for online trading are a particular type of financial intermediary that deals almost exclusively with the trading of leveraged derivatives, the same ones we encountered when we were talking about SGR. The world of online trading is full of pitfalls, so keep in mind that this applies to serious services.
With this system you can invest from home on the securities you consider best and even invest in funds or copy the moves of other speculators. Keep in mind, however, that these are very risky investments because they almost always involve the use of very high levels of leverage that expose your capital to high fluctuations.
Online brokers are the most suitable tool for the actual “stock market game”, which in the collective imagination is an expression used above all to indicate short-term speculation rather than long-term investment.