Stockbrokers can aim to trade on the New York Stock Exchange, which is the largest stock exchange in the world, the American Stock Exchange, which specializes in exchange-traded funds, along with small to mid-size stocks, or the NASDAQ, which is the “over the counter” stock exchange.
The average stock broker salary may be in excess of $175,000 for retail stock brokers and about double that figure for institutional stock brokers, while the average investment banker may take home about $850,000 in pay and bonuses.
Traits of successful stock brokers
To convince clients to trust you with their investment, you need self confidence, selling skills and the capacity to take repeated rejection. Stock brokers must have integrity, together with competence and professionalism, in order to excel.
Employers prefer to hire mature people with good interpersonal skills, who have the capacity to work independently. Successful people from other professions, who wish to make a career change, are also welcomed by employers. Employers may like to do a credit check to ensure that applicants have a clean record and a good credit history.
Essential qualifications and licenses
There is no stock broker requirement for any specialized qualification, though many stock brokers have a college degree. A college degree in business, economics or finance can be useful, and it may be necessary to have one, if you are interested in joining one of the larger brokerage firms.
Usually, people don’t become stock brokers immediately after they graduate. To become a stock broker, you need to get on the job career training with a stock broker firm and obtain a license, after passing the General Securities Registered Representative Examination. Before you can sit for this examination you have to undergo on-the-job stock broker training with a brokerage for at least four months.
After completing the General Securities Registered Representative Examination, you may also be required to take the Uniform Securities Agents State Law Examination in many states.
Unlike other careers, online career training or free career training for stock brokers cannot replace this mandatory period of working with a brokerage house and grants for career are not available for this practical training.
The Series 7 Stock Broker exam, which is administrated by the National Association of Securities Dealers (NASD), provides individuals with the qualifications needed to trade in various types of corporate securities, with the exception of commodities and futures.
Posting their profile on a stock broker listing on the Internet can help brokers to gain visibility through search engines such as Google and Yahoo and you will get more business. These listings can help clients to make a stock broker comparison, before they decide to give their business to a particular broker.
Stock broking is an amazing profession and those who persist in their efforts to succeed, can look forward to success beyond their wildest imagination.
by Ayna Miah