When investors buy or sell stocks, bonds, or shares in mutual funds, they use the services of securities sales workers. These workers are also called registered representatives, account executives, or customers' brokers.
Securities sales workers relay the customer's buy or sell orders to the floor of the appropriate securities exchange or to the firm's trading department and notify the customer of the completed transaction and final price. They also provide related services such as financial counseling, the latest stock and bond quotations, and information on financial positions of corporations whose securities are being traded.
Securities sales workers can help a client accumulate a financial portfolio of securities, life insurance, and other investments geared either to long term goals such as capital growth or income or to short-term goals. Some sales workers specialize in one type of customer such as institutional investors or in certain types of securities such as mutual funds.
Beginners in this field spend much of their time searching for new customers. As they establish a clientele, they spend more time servicing their existing customers and less in seeking new ones.
Securities sales workers are employed by brokerage firms, investment banks, and mutual fund firms. Most work for a few large firms that have offices in cities throughout the country.
Places of Employment and Working Conditions
Securities sales workers are employed in cities throughout the United States, usually in the branch offices of a few large firms whose main offices are usually in New York.
Sales workers usually work in bustling, sometimes noisy offices. Beginners usually put in long hours until they acquire a clientele, and sales workers occasionally meet with clients on evenings or weekends.
Many sales workers leave the field each year because they are unable to establish a large enough clientele.
Qualifications, Education, and Training
Selling skills and ambition are necessary for success as a securities sales worker. A sales worker should also be mature, well groomed, and able to motivate people. Many employers prefer to hire applicants who have had previous experience in sales or management positions.
A college education is preferred by the larger firms. A liberal arts background with training in economics, pre law, business administration, or finance is particularly helpful.
Most employers provide training to new sales workers to help them meet registration requirements. In most firms, the training program lasts at least four months. Trainees working in larger firms often undergo a more extensive period of on-the-job training that lasts up to two years.
Almost all states require securities sales workers to be licensed. Licensing requirements usually include a written examination and the furnishing of a personal bond.
Sales workers must be registered as representatives of the firm for which they work. To qualify, they must pass the General Securities Registered Representative Examination. All states require a second examination called the Uniform Securities Agents State Law Examination.
Potential and Advancement
The demand for securities sales workers fluctuates with the economy, but currently the job outlook is good through the years to come. The Bureau of Labor Statistics estimates that demand for stockbrokers will grow by 10 percent between 2014 and 2024, indicating strong job opportunities in the field. There will be a great deal of competition for available jobs, though, because of the potential for high earnings. Job opportunities will be best for those with experience who have achieved success.
Income
Securities sales workers earn commissions on the transactions they handle for clients. According to the Bureau of Labor Statistics, the median salary for stockbrokers was $71,550 in 2015.
