Stockbroker

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Enterprising, Social, Conventional
There are many career paths you can follow in the fast-paced world of the stock market. In general, stockbrokers buy and sell securities (for example, stocks and shares) on commission on behalf of private and commercial clients.

A stockbroker will work with a range of clients, from individuals to large companies. Their role is to manage and look after their clients' investments. They will also advise clients on when to buy or sell their shares or holdings.

A stockbroker is a financial services professional who facilitates securities transactions, specifically stocks. Stockbrokers help investors buy and sell shares through a brokerage account. Stockbrokers may be employed by firms or investment banks.

They advise clients on investment strategies and buy and sell securities on their behalf.

The portfolio manager in the Investment Department of a stock brokerage firm assesses the client's financial position. The analyst in the Research Department analyses companies listed on the stock exchange. The information is then compiled to help the portfolio manager invest clients' funds, which is carried out by the Institutions and Client Services Departments.

The stockbroker working in the office represents the popular image of the stockbroker. There are several categories of brokers:

  • Unauthorised employees "execute" orders from the trading desk to dealers
  • the authorised employee carries out buy and sell orders with traders from other brokers
  • the institutional broker takes and carries out buy and sell orders by phone from companies, and provides companies with market information
  • an arbitrageur does the same job as the institutional broker, but deals with foreign institutions

The Derivatives Department trades in the futures and options market, an area so unpredictable that these traders are often said to be born with a "nose" for the job. The broker trades in this market and a strategist applies knowledge and experience to the market to develop new strategies.

The Corporate Finance Department lists shares on the Stock Exchange and the Administration Department does the paperwork for all the other departments - a task that can become quite pressured at times.

Important skills are computer literacy, ambition, a competitive attitude and determination.

Stockbroker: what do they do?
Buy and sell stocks and other securities on behalf of clients, executing orders in a timely manner. 93%
Advise clients on investment strategies and the right time to buy or sell. 91%
Analyze financial markets and publicly traded companies to identify opportunities. 89%
Evaluate clients' financial status and investment objectives. 87%
Manage and monitor clients' investment portfolios. 85%
Execute buy and sell orders through brokerage platforms. 85%
Maintain records of transactions and account documentation. 81%
Monitor market movements to recommend adjustments to portfolios. 79%
Comply with stock market regulations and firm policies. 77%
Write reports on investment performance to present to clients. 75%