Looking to become a stockbroker?
If so, then you have come to the right place! Learn more about the job description, education requirements, and stock broker salary details. Moreover, this is an excellent resource for top-rated business schools within your area, as well as a comprehensive guide on how to succeed in this profession.
So, if you are serious about this career, then you have made an excellent choice. After all, being a stock broker is a profitable profession. With the right mindset, thorough knowledge of this career, and practical advice from the pros, you can expect to reach the pinnacle of your success as stock broker.
As with any career, it helps to know the best route to take that will lead you closer to it. Years back, you can become a stock broker regardless of your degree in college. Now, you should get a degree that is relevant to this job. Among these fields include Statistics, Mathematics, Economics, Finance and Accounting. Ideally, a degree in finance is suitable for those aiming to become a stock broker. You may also check this page for a list of the finest business schools in the US.
Start browsing the proceeding pages to have a better understanding of the career, potential income, and a list of reputable business schools to prepare you for this profession.
It is important to have a bachelor’s degree before you can proceed to becoming a stock broker. In fact, most brokerage firms prefer aspiring trainees who hold a degree in finance or business, as these are relevant courses to this career. Thus, be sure to select from the following fields and aim to get a degree in any of these options:
If you wish to go on an internship program, you may do so during the summer of your senior year in college. Interns also have an edge above other applicants since the former have obtained necessary skills and knowledge in this profession. As soon as you find employment after completing your degree, you can already pursue an entry level position as a stock broker. However, if you have plans of boosting your earning potential, strive to get an MBA for greater career opportunities and higher income.
A degree in MBA provides individuals with a better feel of how the business environment functions in the real world. This means, they are more capable of handling daily pressures of their job, which can take them farther in this career. Most importantly, MBA degree holders have a greater chance of getting higher salaries and more benefits, as compared to graduates of any 4-year course.
It is essential that you equip yourself with certain skills and a deeper understanding of the career, which is made possible through training. Hence, all aspiring and established stock brokers undergo series of training to develop, enhance and strengthen their professional skills. Trainees are also able to learn more about the key products and services that the firm offers. By completing your training sessions, you can obtain effective selling techniques and metods of analyzing securities.
Furthermore, employers give their trainees a chance to experience how it is like to work in various departments in the business. Intensive trainings, seminars and workshops are also provided on a regular basis to update and expand the skills of trainees.
To become a stock broker, you need to obtain proper licenses. For instance, aspiring stock brokers in the United States can get their license after passing the Series 7 and Series 63 examinations. However, you need to be aware of the licensing requirements that prevail in the area where you plan to seek employment. You also need to be sponsored by an exhange, self-regulatory organization and FINRA-member firm before you can qualify for the Series 7 examination.
The Financial Industry Regulatory Autority or FINRA administer the Series 7 and Series 63 examinations. To qualify for a license, you need to reach a minimum 72 percent marks in the Series 7 (General Securities Representative Exam) and answer correctly at least 43 of the 60 questions in the Series 63 (Uniform Securities Agent State Law Examination). To learn more about the Series 7 examination, click here.
Although there are no strict rules to become certified before you can get a job as a stock broker, most employers recommend candidates to obtain a CFA certification to boost their professional standing and position in the company. The Charter Financial Analyst or CFA Certification requires applicants to hold a bachelor’s degree and at least 4 years of professional working experience in the field.
Aside from these education and employment requirements, you should pass all three examinations to be certified. These exams include questions based on various areas such as financial markets and instruments, economics, accounting, corporate finance, portfolio management, asset valuation, and securities analysis.
Stockbrokers are expected to promote and sell their financial products to their clients. This means, aside from licenses and educational requirements, they should be able to imbibe in themselves certain traits that could help them in this career.
For instance, you need to be versatile when it comes to dealing with different types of people. Be transparent and honest to your clients, and rise above any pressures involved in your work. As mush as possible, deal with stress in a rational and logical way. If you need to take risks and make split-second decisions, assess both sides of the issue carefully since in every situation, a large amount of money is always at stake.
Selling and marketing skills are also relevant skills that every stock broker should possess. It is also important that you can make your clients feel comfortable as you explain to them various topics during a financial consultation. Learn to connect with your clients through excellent interpersonal and communications skills. This way, you can grow your client base and increase your sales over time.
When dealing with your colleagues, be sure to develop flexibility and adaptability to cultivate a harmonious relationship with the people around you. Flexibility enables you to work independently or with a group, depending on the circumstance.
There are various job opportunities that await stock brokers, depending on your performance and achievement as a sales representative. Although you will have to start by dealing with individual investors, you can progress to servicing accounts of large companies such as retirement funds, banks and financial institutions that can boost your success.
After proving yourself in this career, you may assume the position of a portfolio manager. However, you will still have to pass tests before you can become promoted to this more lucrative rank in the business. As you gain more experience and skill in the industry, it is possible to become a branch office manager who is responsible for supervising and training other sales agents.
In addition to these positions, you may even become of the members of the top management in the firm. Keep in mind that there are endless opportunities in this career, as long as you are dedicated and persevering in attaining higher positions in this profession.
In the United States, this job sector is most likely to increase by 15 percent from 2010 to 2020 because of its promising future. Based on the Bureau of Labor Statistics, the increase is due to the greater demands for this profession as more and more individuals are exploring other ways to replace their existing pension plans. Stock brokers can help them by providing financial products with better returns on their investment over time.
While the job outlook for this field is quite positive, it is still important that you strive to gain a competitive edge over other applicants and aspiring stock brokers. With the tough competition for this job, you should constantly develop your skills to secure a solid position in this industry.