With steady increase in Indian market, stock brokering has become a promising career option.
WHAT IS STOCK MARKET/STOCK TRADING ?
In simple terms a stock market is any exchange that allows people to buy and sell stocks and companies to issue stocks. A stock represents the company's equity, and shares are pieces of the company. When people talk about buying and selling stock, they mean that they've bought or sold one or more shares of a particular stock which is know as stock trading.
WHO IS STOCK BROKER ?
Prior to understanding about what the stock brokers do, you need to know who is a stock broker. Whenever you want to buy or sell shares from the stock exchange you have to do so through registered stock brokers.
A stock broker is a professional individual who executes buy and sell orders for stocks and other securities through a stock market, or over the counter, for a fee or commission.
DIFFERENCE BETWEEN BROKER AND TRADER -
Traders, on the other hand, tend to buy or sell securities based on the wishes of a portfoliao manager (or managers) at an investment firm
JOB RESPONSIBILTIES -
-Research the financial markets
-Report to the clients
-Monitor the clients’ investments
-Consult investment analysts
-Pitch for new clients
-Approach to the stock markets
-A written confirmation about the transactions made in a day
-Transfer of funds from trading to bank account
-Provide various options to trade
Some of the entrance exams that are available in this field are given:
- BSE Certification on Central Depository
- BSE Certification on Derivatives Exchange
- BSE Certification on Currency Futures
- BSE Certification on Securities Markets
Eligibility required to work as sub-broker:
-Candidate has to qualify their 12th examination.
-The minimum age required is 21 years.
- Candidates, those with economics, commerce, business and finance qualifications can enter in this profession.
SKILLS REQUIRED TO BE A STOCK BROKER -
While looking for a job, we search about the responsibilities, scope, qualification etc required for a particular. But we often forget the most important factors i.e career interest, Aptitude and personality, needed to be considered, while applying for a job.
Some of the basic aptitude, personality and interest required to succeed in this career are-
- Good business acumen.
- Ability to solve complicated issues
- Good Communication skill
- Good mathematical skills
- Analytical mind
- Patience & Confident
- Responsible attitude
- Logical Thinking
THINK YOU POSSES THE ABOVE QUALITIES?
CERTIFICATION AND COURSES-
Aspiring candidates can take up this courses after passing their 12th examination or completing their graduation degree-
Some of the big broking firms prefers: Chartered Accountants (CAs) and Chartered Financial Analysts (CFAs).
Top colleges in India where you study stock broking:
1. All India Centre for Capital Market Studies-Nasik
2. Institute of Company Secretaries of India- New Delhi
3. Institute of Capital Market Development- New Delhi
4. Mumbai Stock Exchange Training Institute- Mumbai
5. Institute of Chartered Financial Analysts of India (ICFAI)- Hyderabad
6. Institute of Financial and Investment Planning- Mumbai
Apart from being a stock broker, candidate who are a member of stock exchange or SEBI can also work as-
- Financial Advisers
- Securities Broker
- Investment Advisor
- Capital Market Specialists
- Independent Agent
- Security Traders
- Securities Analyst
- Financial Managers
- Security Sales Representative
As a stock broker you can work into following sectors-
- Broking firms
- Large Businesses
- Insurance companies
- Investment banks
- Pension funds
- Traditional banks dealing with broking firms
- Magazines and Newspapers
- Investment consultancies
- Mutual funds
The salary of the stock broker will be depended on their qualification & performance.
The starting salary of the stock broker may be arises in between Rs. 2 to 3 Lakh per annum.
As you gain experience, then you can earn Rs. 5 to 7 Lakh per year.
Some of the brokering companies pay bonus in addition to the salary on the basis of the performance.
You can also earn in crores on the basis of your skills.
In abroad, you can getting a starting salary from £24,000 to £35,000 a year.
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