It is common knowledge that stockbrokers have lucrative jobs, but becoming one is not at all easy. A stockbroker buys and sells stocks and does so effectively by observing the trends in the market. Clients rely on stock brokers to place their investments in stocks that will earn them profits in the long run. Because of this responsibility, it is important for a stock broker to be skilled and intelligent, and at the same time they should be responsible enough to take a legitimate interest in their clients' stakes. Remember, the success of a stockbroker rests on whether his client gained profits or not.
Here is what one needs to have and go through to become a stockbroker.
- The number one requirement to have a career in the stock market is to obtain a license as a stock broker. The most important examination is the General Securities Registered Representative Examination, simply called the Series 7 exam. In other states, additional exams are needed, such as the Uniform Securities Agents State Law Examination and the Uniform Investment Advisor Law Exam. Inquire about examination fees and schedules.
- Aside from getting certification, it is important for a stockbroker to have certain skills and knowledge such as some know how on online investing. These can be gained from training with brokerage firms. Prior to taking the required examination, a few months of experience is required, so it is good to have exposure and work as a financial planner for smaller firms. One can also start training with discount brokers in the beginning of his career.
- There are also investment clubs that one can become a part of to gain more experience and get a chance to network with other stockbrokers that have more wisdom in the industry.
- Most people agree that a math-oriented degree, such as those related to statistics and economics, is a big advantage when one wishes to have a career as a stockbroker. However, formal education is not a requirement. While one is pursuing a degree, he can start his training by working part time or being a student apprentice in brokerage firms.
- If one is a student that has an interest in becoming a stockbroker, he can look for scholarships provided by brokerage firms, and take advantage of the opportunity of being hired by the company after graduation. He may also gain access to the company's trainings and seminars as its scholar.
- Stay updated on the rules and regulations governing the stock market. A stock broker should always be in the know and aware of the trends locally and globally.
- It is important to develop interpersonal and communication skills. Stock brokers are, at the end of the day, salesmen. With this in mind, one has to be very patient and persistent, and should be able to communicate well with buyers, sellers and colleagues. A stock broker should also be able to handle rejections with grace and a positive attitude. Just like other sales jobs, it takes a lot of guts to survive the stock market.