If you have heard stories about people who have made a fortune from stockbroking you may be asking yourself ” how do I become a stockbroker? ” To become a stockbroker you will need to have a good academic record – sound communication and excellent numeracy skills are essential.
Although there is no right or wrong route to become a stockbroker a grade B or above in GCSE maths and sound A Levels put you in a good position to embark on an undergraduate degree in finance or economics, which will put you ahead of the game with recruiters.
Please note, however that many stockbroker firms will accept applicants with undergraduate degrees in any subject as long as they can display excellent numeric and analytical skills in a basic entry exam.
Following the completion of the undergraduate degree you would need to apply to become a trainee stockbroker. This can be with a specialist broker firm or with an investment bank. The on the job training you receive will be invaluable to you and will count towards the 3-4 years experience required towards your FSA (Financial Services Association) approved qualification such as The Securities and Investment Institute (“SII”) Level 3 Certificate in Investments or Chartered Financial Analyst (CFA©) Charter in Financial Analysis.
Following the completion of such a qualification and nomination by your employer you will be recognised by the FSA with an FSA Approved Person Status. This certification is required by all stockbrokers within the UK.
Once certified, the options are open to you. There is the possibility to work within a specialist Stockbroker firm or an investment bank or even start your own firm. You may wish to work within the highly rated London Stock Exchange or move to one of the other international stock exchanges such as the New York Stock Exchange or Tokyo Stock Exchange.
In any of the above-mentioned situations the hours can be long and unsociable and the role very stressful, however the reasons to become a stockbroker are usually financial as the salary can range from £25,000- £35,000 for a trainee stockbroker right up to £1 million plus for the few right at the top of their game,