What does an independent broker do?
Independent brokers are stockbrokers that buy and sell a variety of stocks for their own accounts or for corporate accounts that they oversee. They also sell their services to floor brokers that are currently too busy to carry out all of their responsible trades. When working for a floor broker, independent brokers temporarily execute orders on the floor brokers behalf. They must closely monitor the status and trends of the market to make effective decisions for their clients. Independent brokers often market products and services to their existing clients.
What kind of training does an independent broker need?
Independent brokers need at least a bachelor degree in accounting, business, economics, or finance. Many independent brokers have a Master of Business Administration and they are often highly regarded in the field. Many aspiring independent brokers complete internships to gain practical experience and meet valuable contacts. Most employers provide intense on the job training to new independent brokers to enable them to learn the requirements of the firm. Large firms often provide classroom instruction on effective speaking, selling practices, and securities analysis. Independent brokers must register as firm representatives with the Financial Industry Regulatory Authority (FINRA). Registration requirements include minim experience and passing the Series 7 Examination. Majority of states also require the Series 63 or 66 Examination. Many independent brokers also gain professional certification to remain competitive in the field. Independent brokers must stay up to date with new products and services and advancements in the field. They often complete continuing education and attend training seminars and conferences throughout their careers.
What are the prospects for a career as an independent broker?
Employment of independent brokers is expected to grow about as fast as average for all professions, increasing 9% from 2008 to 2018 (1).
Job prospects are expected to be good with strong competition. Independent brokers with advanced education and professional certification as well as extensive experience will have the best job opportunities.
How much do independent brokers make?
As of January 2010, the average annual salary for independent brokers is $78,000; independent broker salaries vary greatly on location, employer, education, experience, and benefits (2).
A career as an independent broker is a great choice for people interested in performing buying and trading tasks on an independent basis. Independent brokers must have a solid understanding of a variety of buying and selling techniques and knowledge of a variety of products and services. Assertiveness, self-confidence, determination, desire to succeed and good decision-making are essential characteristics. Independent brokers must have excellent communication and interpersonal skills and the ability to work with a variety of clients.