Generally, a person who holds themself out on the financial markets on a continuous basis as being willing to deal on own account by buying and selling financial instruments against their proprietary capital at prices defined by them. Market makers ensure that there is sufficient liquidity in the markets.

A market maker is typically a large bank or financial institution.

The FCA Handbook glossary sets out the full definition of this term. When considering this term in the context of financial services, reference should be made to the FCA Handbook glossary definition of market maker.