In the financial world, prime broker vs executing broker serve different but complementary roles. A prime broker is a financial institution that offers a range of services to institutional clients, such as hedge funds, including trade execution, custody, lending, and capital introduction. Prime brokers are typically larger firms that provide comprehensive solutions for managing complex trading strategies and portfolios. On the other hand, an executing broker is primarily responsible for executing orders on behalf of clients in various markets. They may not offer the same range of services as prime brokers but specialize in executing trades efficiently and at the best possible price. While prime brokers focus on providing a broad range of services, executing brokers concentrate on the core task of order execution.