A career in the stock market is an excellent option because of economic development and liberalisation, new work prospects have arisen in a variety of organisations. A stockbroker may work for a variety of agencies and companies both in India and abroad. They may find lucrative employment opportunities in areas such as Insurance Companies, Broking Firms, Mutual Funds, Investment Banks, Investment Consultancies and so on.
A stockbroker acts as an agent on behalf of their clients, making stock transactions. A securities sales agent, or a securities and commodities sales agent, is another name for them. “Stockbroking” is the practice of buying and selling stocks or other securities. Discount brokers, real estate brokers, and full-service brokers are the three types of stockbrokers in the sector.
Students aspiring to become a Stock Broker can pursue various Stock Broking courses or Finance Courses from some of the top Stock Broking colleges in India such as Mumbai University, RA Podar College of Commerce & Economics etc.
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Stockbrokers can earn an average salary ranging from INR 2 LPA – 7 LPA depending on their specialisation and experience.
2.1 Discount Broker
4.1 Certificate Course in Stock Market
4.2 BBA Finance
4.3 MBA Finance
8.2 Experience Wise
How to Become a Stock Broker: Quick Facts
| Industry | Finance |
| Eligibility |
An applicant for the position of sub-broker must have a 10+2 degree, regardless of the marks obtained in the qualifying test. For being a broker, the candidate must have achieved a graduation degree in the concerned field. |
| Average Starting Salary | INR 2 LPA – 3 LPA (approx.) |
| Employment Opportunity | Insurance Companies, Broking Firms, Mutual Funds, Investment Banks, Investment Consultancies and so on. |
Types of Stockbrokers
Stockbroker work profiles are restricted to the financial sector, making it a narrow career choice. The following are some of the most popular Stockbroker work profiles:
- Discount Brokers: A discount broker is a stockbroker who charges lower commissions on buy and sell orders than a full-service broker. A discount broker, on the other hand, does not provide investment advice or conduct research on behalf of clients.
- Real Estate Brokers: A broker is a licenced real estate specialist who usually represents the seller of a property in the real estate industry. When working for a seller, a broker's responsibilities can include the calculation of the market value of property following which the property will be listed and advertised for sale.
- Full Service Brokers: On top of a wide range of investment options, full-service brokers provide a variety of services such as market analysis, investment advice, and retirement planning. As a result, investors should expect higher commissions on their trades. Brokers are compensated by their brokerage company based on their trading volume and the selling of investment securities.
Steps to Become a Stock Broker
The various steps to be followed for becoming a Stock Broker have been listed below for further reference:
- Decision Making: The students shall decide well in time if they wish to take up their career in the field of Stockbroking. Candidates must determine whether or not they are qualified for such a demanding and daunting job because it is a very focused job that demands complete attention.
- Subject Choices: An applicant for the position of sub-broker must have a 10+2 degree, regardless of the marks obtained in the qualifying examination, according to the eligibility criteria. To be a broker, an applicant must have earned a bachelor's degree in the relevant area.
- Entrance Exam: After completing these stockbroking courses, you must have registered with the Securities and Exchange Board of India (SEBI). To join, you must first pass a written entrance exam, in which you must complete training in subjects such as accounting, capital markets, equity and portfolio analysis, and so on. Membership is only granted after a thorough examination of the applicant's ability to work as a broker. Some of the popular entrances conducted are BSE Certification on Securities Market, BSE Certification on Central Depository and so on.
- After Qualifying Exam: As a condition of membership, you must deposit a certain amount with the stock exchange as insurance. After an evaluation of your ability to work as a broker, you will be granted membership. You must obtain a BSE derivatives exchange certification as well as an NSE Financial Markets certification.
Stockbroking Courses
Any candidate who wishes to have a career as a stock broker can pursue any one of the following courses:
Certificate Course in Stock Market
- After finishing their 10+2 studies, students can choose to take a certificate course in the stock market. It's a one- to three-year certification programme that focuses solely on the Indian stock market.
- This course teaches students how to understand the various types of stocks and how to use an efficient trading strategy to make a profit at the end of the year.
- By offering the definitive guide to the Market and other variables associated with the market, the Certificate Course in Stock Market discloses both the academic and technical aspects of the Stock Market.
- One of the key goals of the course is to develop successful and serious stock market candidates who can keep up with the international stock markets.
Admission Process
The majority of admissions are made by the direct admission process. The application procedure for this course is outlined below –
- Interested candidates must apply online at the colleges' official websites that offer the Certificate Course in Stock Market.
- Some colleges have an evaluation process that is completed offline. In this case, candidates must fill out the application form in person at the college's office.
- The college authority may compile a merit list based on the candidates' performance in the previous qualifying test.
- To ensure their acceptance, the eligible applicants will be required to undergo counselling sessions held by the respective college.
Eligibility Criteria
To be considered for admission to the Certificate Course in Stock Market, applicants must meet the following requirements:
- Students must achieve at least a 60% grade in their 10+2 Standard or equivalent.
- Students must complete their basic education at any accredited college or board.
BBA (Finance)
- The BBA in Finance, is a three-year graduate programme in finance. There are two semesters in each year. The BBA Finance graduation programme is divided into six semesters, each of which lasts six months.
- The aim of the BBA Finance course is to provide students with both practical and theoretical knowledge of various financial components such as investment and insurance. Students in the BBA Finance programme are expected to make well-informed estimates and projections in the areas of investment and insurance.
Admission Process
The majority of admissions are made by the entrance based process. The application procedure for this course is outlined below –
- Students must complete the 10+2 class with a minimum of 50% to be admitted to the Bachelor of Business Administration in Finance programme. The percentage required for admission may differ from one university to the next.
- Some universities admit students solely on the basis of their 10+2 class grades, while others need a joint entrance exam for admission to the BBA in Finance programme.
- Following the preparation of the examination merit list, applicants are admitted solely on the basis of their entrance exam merit.
Eligibility Criteria
To be considered for admission to the BBA in Finance, applicants must meet the following requirements:
- Candidates who have completed 10+2 will enrol in the Bachelor of Business Administration in Finance programme.
- To be admitted to most institutes, students must achieve a minimum of 50% in their 10+2 classes.
- The percentage requirements for certain institutes are as high as 60%.
How to prepare for the Entrance Exam?
If the aspirant wants to pass the entrance exams with flying colours, he must thoroughly prepare. For the benefit of the students, the following recommendations have been made:
- Keep up with the most recent exam trends to help your exam preparation.
- The most recent exam syllabuses are available on official websites.
- So that you don't get confused during the test, practise all forms of questions, including MCQs.
- If there is a negative marking, don't depend on guesswork.
- Create a daily newspaper reading habit to keep updated on current affairs, and make reading a habit.
- Study the subjects you've prepared thoroughly before the final exam.
- Before the final test, carefully review the subjects for which you have studied.
- Sit for practise exams to get a feel for how the real exams will be run.
MBA (Finance)
MBA Finance is a two-year programme in India's top MBA Finance colleges that focuses on providing education related to managing the financial aspects of a company. MBA Finance programmes are developing at a faster pace than ever before, in order to satisfy the ever-increasing demand in both the financial and corporate sectors.
Admission Process
The bulk of admissions are made on the basis of an entrance exam. This course's implementation process is illustrated below –
- Choose the colleges to which you want to apply and study their entrance exams. Make an application for such entrance exams. It is recommended that you take the CAT since almost all colleges consider CAT ratings.
- The MBA entrance exam must be prepared for and taken. The student must be fully prepared because the college where he or she will study will be determined by the results of this test.
- Students are shortlisted for colleges based on their entrance exam results. The college will create a cut-off list, and you must have met the cut-off to advance to the next round of the admissions process.
- Colleges use Group Discussion (GD), Written Ability Test (WAT), and Personal Interview to further assess a candidate's ability and skills (PI).
Know More: MBA Finance Admission 2023
Eligibility Criteria
Applicants must meet the following conditions to be eligible for admission to the MBA in Finance:
- A Bachelor's degree in any discipline from a recognised university or college with a minimum grade point average of 50% or an equivalent CGPA score.
- Students from SC/ ST/ PWD backgrounds are given a 5% discount.
- Candidates in their final year are still qualified to apply for the course, but their acceptance will be contingent on their final performance.
How to prepare for the Entrance Exam?
If the aspirant wants to pass the entrance exams with flying colours, he must thoroughly prepare. For the benefit of the students, the following recommendations have been made:
- Keep up with the most recent exam trends to help your exam preparation.
- The most recent exam syllabuses are available on official websites.
- So that you don't get confused during the test, practise all forms of questions, including MCQs.
- If there is a negative marking, don't depend on guesswork.
- Create a daily newspaper reading habit to keep updated on current affairs, and make reading a habit.
- Study the subjects you've prepared thoroughly before the final exam.
- Before the final test, carefully review the subjects for which you have studied.
- Sit for practise exams to get a feel for how the real exams will be run.
Apart from the above-listed courses, there are many more courses that can be opted for by students who wish to pursue a career in the field of Stockbroking. These have been listed below:
How to Become a Stock Broker Abroad?
As there is no prescribed course for pursuing a career as a Stock Broker, Students from any background can become a Stock Broker. However candidates can pursue finance courses like BBA and MBA.
BBA and MBA in Australia
- Admission Process: Admission courses in Australia are done on the basis of IELTS Score which should be more than 7.
- Educational Requirement: A candidate should have obtained at least 70% in the last qualifying examination.
Top Colleges in Australia
Many universities offer courses to study about career as a Stock Broker some of which are:
| College Name | Average Fees |
|---|---|
| RMIT University | INR 21,10,000 |
| University of Queensland | INR 36,50,000 |
| Monash University | INR 32,30,000 |
| Macquarie University | INR 31,20,000 |
| Swinburne University of Technology | INR 26,70,000 |
| La Trobe University | INR 30,90,000 |
| University of Tasmania | INR 25,30,000 |
BBA and MBA in UK
- Admission Process: Admission to any course in the UK is done on the basis of IELTS Score which should be more than 6.
- Educational Requirement: A candidate should have obtained at least 70% in the last qualifying examination.
Top Colleges in the UK
There are many universities that offer study in Stock Broker some of which are:
| College Name | Average Fees |
|---|---|
| University of Greenwich | INR 18,80,000 |
| Teesside University | INR 14,90,000 |
| University of East London | INR 18,70,000 |
| University of Manchester | INR 34,30,000 |
| King's College London | INR 34,60,000 |
| University of Leeds | INR 30,80,000 |
| University College London | INR 36,70,000 |
BBA and MBA in US
- Admission Process: Admission to any course in the US is done on the basis of IELTS Score which should be more than 6.5.
- Educational Requirement: A candidate should have obtained at least 70% in the last qualifying examination.
Top Colleges in the US
There are many universities that offer study in Stock Broker some of which are:
| College Name | Average Fees |
|---|---|
| The University of Illinois at Chicago | INR 36,60,000 |
| University of Texas at Arlington | INR 32,70,000 |
| Texas A & M University | INR 44,80,000 |
| Cleveland State University | INR 24,00,000 |
| The University of Texas at Austin | INR 48,30,000 |
BBA and MBA in Canada
- Admission Process: Admission to any course in Canada is done on the basis of IELTS Score which should be more than 7.
- Educational Requirement: A candidate should have obtained at least 70% in the last qualifying examination.
Top Colleges in Canada
| College Name | Average Fees |
|---|---|
| University of Toronto | INR 39,50,000 |
| University of Alberta | INR 22,90,000 |
| Memorial University of Newfoundland | INR 12,60,000 |
| York University | INR 29,10,000 |
| University of Regina | INR 21,30,000 |
| Niagara College Canada | INR 18,70,000 |
| Thompson Rivers University | INR 15,50,000 |
| Simon Fraser University | INR 22,50,000 |
Benefits of Career as a Stockbroker
The advantages of working as a stockbroker are undeniable, and they entice applicants to apply for the position. These advantages are listed below for your convenience:
- Salary: At the initial stage, the candidates who are selected as Stockbrokers are given approximately INR 2-3 lacs per annum. This further increases with an increase in work experience and expertise.
- Job Security: Job protection is one of the advantages of working as a stockbroker. Stockbrokers will still be in demand as long as there are capital markets. Even with the advent of algorithmic trading and day trading, this remains true. As a stockbroker, you'll never have to think about getting laid off. This is particularly true if you are popular in the financial industry and become well-known.
- Positive Impact on the Career: A career in the stock market is an excellent option. Because of economic development and liberalisation, new work prospects have arisen in a variety of organisations. A stockbroker may work for a variety of agencies and companies both in India and abroad.
- Unique Experience: The potential for career development is a significant benefit of becoming a stockbroker. You will be able to work your way up the corporate ladder to higher positions. If you follow certain basic educational criteria, you might be able to find a way into management. A career in stockbroking is almost never a dead end.
Skills Required to become a Stockbroker
The various skills required for the post of Stockbroker in India have been mentioned below:
| Patience and Confidence | Analytical Mind | Communication Skills |
| Excellent Business Acumen | Logical Thinking Skills | Ability to solve issues |
| Mathematical Skills | Service-Oriented | Team Work |
Average Salary of a Stockbroker
The pay of a stockbroker increases over time as they gain more experience and training in the industry. A Stockbroker's salary is determined by a variety of variables, including experience and efficiency. For Stockbroker and other relevant job positions, the following salary levels are provided:
Specialization Wise Salary
| Specializations | Salary |
|---|---|
| Selling Agents | INR 3,00,000 |
| Buying Agents | INR 3,00,000 |
| Real Estate Consultant | INR 3,25,000 |
| Commercial Broker | INR 3,50,000 |
| Mortgage Specialist | INR 4,00,000 |
| Brokers | INR 4,50,000 |
Experience Wise
| Job Profile | Salary of a Fresher | Salary of an Experienced Professional |
|---|---|---|
| Sub Broker | INR 1-3 lacs (approx.) | INR 4-6 lacs (approx.) |
| Stockbroker | INR 2-3 lacs (approx.) | INR 5-7 lacs (approx.) |
How to Become a Stockbroker: FAQs
Ques. What are the works constituted for a Stockbroker?
Ans. A stockbroker acts as an agent on behalf of their clients, making stock transactions. A securities sales agent, or a securities and commodities sales agent, is another name for them. “Stockbroking” is the practice of buying and selling stocks or other securities.
Ques. Can a career as a stockbroker be beneficial in recent times?
Ans. With India's market increasingly rising, it's clear that those who deal in market shares will have rewarding careers with plenty of space for advancement. A career in the stock market might be a fantastic option.
Ques. What is the eligibility criteria for Stockbroker jobs?
Ans. Regardless of the marks obtained in the qualifying exam, a candidate for the position of sub-broker must have a 10+2 degree. To be a broker, an applicant must have earned a bachelor's degree in the relevant area.
Ques. To which industry does the job of a stockbroker belong?
Ans. The job of a stockbroker belongs to the Finance Industry.
Ques. What is the average initial salary for a Stockbroker?
Ans. The average initial salary for a Stockbroker ranges between INR 2-3 lacs (approx.).
Ques. What are the various types of Stockbrokers?
Ans. Discount brokers, real estate brokers, and full-service brokers are the three types of stockbrokers in the sector.
Ques. Where can these professionals find suitable employment opportunities?
Ans. They may find lucrative employment opportunities in organisations such as Insurance Companies, Broking Firms, Mutual Funds, Investment Banks, Investment Consultancies and so on.
Ques. What are the main skills required for Stockbrokers jobs?
Ans. The most specific skills required for Stockbroker jobs in India include Patience and Confidence, Mathematical Skills, Excellent Business Acumen, the Ability to solve issues and so on.
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