Proprietary trading, often referred to as "prop trading," is a financial trading activity in which a financial institution, such as a bank or a brokerage firm, trades financial instruments, such as stocks, bonds, commodities, derivatives, or currencies, for its own profit and not on behalf of clients or customers. In proprietary trading, the financial institution uses its own capital to engage in various trading strategies with the aim of generating profits. The Volcker Rule instituted in the United States in 2008, prohibits proprietary trading by commercial banks and institutions.