A stockbroker is a financial professional who buys and sells securities for their clients with the aim of maximizing investment returns. These clients might be individuals, large corporations or institutional investors. The best stockbrokers are usually excellent sales people with a talent for working with people.
Stockbrokers have a wide variety of job responsibilities. For example, on any given day, you might be responsible for analyzing the markets, touching base with existing clients or selling yourself to new ones. The world of finance is fast-paced and quite competitive, but if you have what it takes you can make an excellent income.
Most brokerage firms want their brokers to hold a bachelor’s degree in finance, economics, business or accounting. You certainly need to have an understanding of numbers and the financial markets. Some of the most prestigious firms might even require you to hold an M.B.A.
Stock Broker Training
After you have completed your degree, you’ll want to try to find an internship with a financial firm while you study for your licensing exams. These internships are highly competitive, even if the work is not altogether very glamorous. Even so, the opportunities here are substantial. Many interns build relationships with senior traders who act as mentors as they begin their career. In some cases, you may even be offered a position after you’ve completed your internship.
Once you’ve completed your internship you will want to begin studying for your certification. In order to obtain your certification, you’ll need to pass your Financial Services Authority (FSA) exams.
Your most difficult years as a stockbroker will come when you are first starting out in your career. In order to keep your job, you’ll need to work very hard to build a solid clientele. In fact, many brokerage firms will expect you to build a “book of business” that contains at least 100 to 200 clients within your first two years. This process usually leads to long hours and can be quite stressful in the beginning. However, if you are determined then you can reap huge financial rewards that will pay off well into the future.
Stockbroker jobs are very competitive. Financial firms are usually looking for brokers who have already established themselves in the industry, as opposed to taking on the risk of a newcomer. This is one reason why developing contacts within the industry is so important when you are first starting out.
Stockbroker jobs usually pay a modest salary of around £32,000 to £64,000 per year. If you do your job well then your bonuses and commissions can be many times greater than your base salary. The best stockbrokers can earn well over £1,000,000.
If you want to become a stockbroker , then you should start learning as much as you can about two different things: the financial markets and salesmanship. Each subject will be valuable in different ways once you start out in your career. For those individuals with a burning desire to succeed in the financial industry, the sky truly is the limit!