Stock brokerage firms prefer to hire mature, experienced people who have already been successful in another career. Stock broker firms are always on the lookout for a hard working, entrepreneurial stockbroker trainee.
You have to pass stockbroker license exams before you can start working as a broker. You have to pass the Series 7 Examination, which is formally known as the General Securities Representative Examination.
People, who want to work in the securities industry and sell any type of securities, must take this examination after working as employees of registered stock broking firms for at least four months. They are then eligible to register with all self regulatory organizations, for stock trading.
The Series 7 Stock Broker Exam is administered by the NASD (National Association of Securities Dealers), which is the leading provider of private sector financial regulatory services in the world.
Most states also require brokers to take the Uniform Securities Agents State Law Examination, which measures the prospective stock broker`s knowledge of the securities business, record keeping procedures and customer protection requirements.
A college degree can be helpful and the majority of people in this profession have a college degree, though it is not essential to have one to become a stock broker. Employers give more importance to personal traits, than to academic qualifications.
It is essential to be highly motivated to succeed and to have excellent interpersonal and communication skills. Selling skills and the ability to handle rejection can help beginners to establish a clientele.
Brokers have to face competition for entry-level positions, which is quite intense for positions in larger companies, although more jobs are available in smaller firms.
There is a lot of turnover among beginning stock brokers, and many of them have to quit, because they fail to establish a regular clientele. However, once they are established, stock brokers can look forward to high earnings and they are very attached to their career, because of their considerable investment in training for it.
Brokers are usually paid a commission based on the stocks and other financial products they sell, so their incomes are likely to be high when there is a lot of buying and selling activity in the market and lower when there is a slump in the market.
Established brokers usually work a standard 40-hour week, though beginners, who are struggling to establish a clientele, will have to put in longer hours in office. Brokers have to be prepared to work under fairly stressful conditions.
If you are interested in being a stock broker, you can look forward to bright career prospects because, with incomes going up, people are increasingly seeking advice for investing in the stock market. Investment products are becoming more and more complex and investors need expert advice to understand their investment options and to make the right decisions.