How can I become a Stockbroker in 2021/ Requirements-Cost and Salaries

Even though stockbroking is a major source of financial freedom, starting a career as a stockbroker may pose a challenge. So, ”How to become a stockbroker in 2021” is a must-read for you.

Basically, the World Scholarship Forum has your best interest at heart, and seeing you achieve your career dream is our satisfaction. Hence, this post will give details on how to become a stockbroker in 2021.

It will also explain the stockbroking degree and other educational requirements you need to excel in this career path. Finally, you will get information on training, cost and how much you will earn as a stockbroker.

Well, people buy stocks every day yet you may not find physical stores on every corner that sells stocks. So, being a stockbroker is vital. The market is fertile and a genuine source of cool passive income. Now, let’s get you into a career path you would love.

What is Stockbroking?

Stock is a type of security that shows proportionate ownership in the issuing corporation. It is also known as “shares” or ”equity”.

So, stockbroking is a service that gives retail and institutional investors the opportunity to buy and sell equities.

In a nutshell, stockbroking is the professional activity of buying and selling stocks for clients.

Who is a Stockbroker?

Similar to a broker, the definition of a stockbroker is someone who buys and sells goods on behalf of others. Well, the difference is what a stockbroker buys to resell stocks, shares, and equities.

Basically, stockbrokers buy and sell stocks and other securities on behalf of clients; those clients might be individuals or institutions. Stockbrokers receive a commission which is compensation for making the transaction for the client.

Due to the complicated nature of investments and other factors, stockbrokers must pass exams in order to become licensed to legally buy and sell securities.

What do Stockbrokers do?

Basically, a stockbroker starts his day early before the stock market starts. Majorly his goal is to find clients who need stocks and shares he has and sells to them.

The work of a stockbroker starts immediately he has even just one person that needs help in investing. So, to excel he must find and sustain your client’s interest.

Also, a stockbroker’s job continues after he finds a client because he needs to give proper investment advice. A stockbroker must have a strong understanding of the stock market. He should be able to analyze a portfolio.

Furthermore, because the earnings of a stockbroker come from his ability to close a deal: a stockbroker who gives better advice gets more money for his client.

Subsequently, the client will do more trades with you which transcends into more commission, which is more money for you as a stockbroker.

How do I become a Stockbroker?

Ironically, there is no required degree to become a stockbroker. However, our aim is to get you to be a stockbroker with a difference. One who will scale the corporate ladder in no distant time.

So, even though you may need just your high school diploma to start, this full guide will help you advance and excel in the Stock Broking career path.

Full guide on How to become a Licensed Stock Broker.

#1. Get a High School Diploma.

Like we said earlier, to excel as a stockbroker who has the license and can practice as a professional, a high school diploma is essential.

So, to become a stockbroker pay attention to details in high school courses especially mathematics, accounting, consumer education, and entrepreneurial skills.

However, if you are yet to complete high school, you may try taking online summer classes. Also, you may enroll in other credit recovery strategies to meet up requirements and graduate high school.

#2 Obtain a Bachelor’s degree

Once you meet the requirements for a high school diploma, enroll and complete your coursework to earn a bachelor’s degree.

Although there are no particular major educational disciplines for students who wish to become stockbrokers; it is advisable to earn a degree in the business or financial field.

Basically, working in a brokerage firm needs you to have a good knowledge of statistics and financial accounting. So, common degrees for you to obtain include

#3 Get Experience

The best way to know if you are ready is to practice what you have learned. So, get experience in stockbroking. One way to do that is to complete internships for brokerage firms and investments.

Normally, brokerage firms and investment banks hire summer interns to work for them. Subsequently, these internships may become extended job interviews and recruitment processes.

Consequently, successful summer interns have a significant advantage over others doing job searches.

#4 Sit for Licensing Exams and Pass

Usually, to become a stockbroker with a license, you must sit for the necessary exams. Basically, you will need a sponsor which may be the Financial Industry Regulatory Authority, a registered firm, or any regulatory authority.

Now, you must take and pass the Series 7 and Series 63 exams. While the series 7 exam covers financial topics relating to the trading of many types of securities, 63 covers securities as well as state rules and laws.

What exams do Stockbrokers sit for?

You may start your career journey with just a bachelor’s degree. However, to get a license you must sit for Series 7 and Series 63.

While the Series 7 exam earns you a certification to make you a Certified Financial Planner, the other Series 63 certification earns you a Chartered Financial Consultant title. Alongside other state licensure requirements, you must pass the above exams.

Also, to be an investment advisor, you will sit for Series 65 and pass it before you can get a license to practice in the stockbroker career path. This exam awards a certification and earns you a Chartered Financial Analyst title.

Actually, you may choose to write series 63 and Series 65 in one sitting (Series 66).

Furthermore, certifications are available to increase your relevance and keep you on top of your game.

What training or requirements do I need to become a Stock Broker?

Being a share broker demands you meet some requirements. So, we will see these requirements in different facets.

  • Stockbroker License requirements
  • Educational Requirements for a Stock Broker
  • Skill requirement to become a stockbroker
  • Training Requirement to become a Stockbroker.

Stockbroker License Requirements

Usually, to become a professional stockbroker, you must obtain a state license and, to get a license; most states require a high school diploma, bachelor’s degree, internship, and work experience before they can issue a license.

Also, some states may need on-the-job training and demand you provide a sponsor. This boils down to experience.

Hence, you need to gain enough experience from either fellowships, internships, or volunteering to work in brokerage firms.

Educational Requirements

Actually, students who seek to become professionals in stock brokering must pursue an undergraduate degree. Preferably, a degree program in:

Basically, a bachelor’s degree in business that covers a wide range of business-related courses is essential.

Actually, this degree will allow graduates to gain familiarity with securities and trading stocks.

Also, it will provide insight into aspects of a company such as marketing, operations, and ethics. Furthermore, a business degree should cover

  • Introduction to Marketing
  • Business Law
  • Managerial Accounting
  • Introduction to Finance.

Well, this is another great choice of degree for stockbrokers. Basically, Stock-brokering involves a lot of financial accounting and the transfer of funds.

So, to be a share broker, a degree in finance though less comprehensive than a business degree is a good choice.

Usually, this degree will introduce you to subjects you may encounter as a stockbroker such as investments, risk management, and financial analysis.

Therefore, an ideal degree in finance must cover the following:

  • Valuation of Securities
  • Investment Banking
  • Financial Accounting
  • Business Quantitative Analysis

Skill Requirement for Stock Broker

Well, a rich stockbroker is one that has the ability to close deals with clients. The more your clients keep coming back, the more commission you make which means more money.

So, to become a stockbroker, it is advisable to acquire, learn or imbibe the following skills.

It takes good communication skills to become a stockbroker. Basically, trading security is a complicated topic. Getting people to part with their money and do business with you requires a special kind of communication.

So, you must explain your investment advice in layman’s terms. In other words in simple English using clear terms Actually, communication at this point doesn’t require vocabulary so you must mind your choice of words.

In summary, excellent communication skills will allow your clients to better understand your advice and help build both trust and bond.

From the foregoing, it is clear that upon employment no one will hand clients over to you. You must be able to market yourself and network to build a portfolio.

In fact, your sales skills are essential to convince people, earn their trust and get them to continuously do business with you.

Well, good communication and sale skill is important to get clients. However, numerical skills will decide if you can retain clients or lose them to better brokers.

Since securities are valued by numbers, it is important to understand what they mean. This will help you explain it to your clients.

So, don’t panic if you think you lack any of these basic skills. Interestingly, they could be acquired through study. So click the button below to enroll for one or more of these skills.


What does it Cost to Become a Stock Broker?

Basically, there is no static price range to become a stockbroker. However, from the requirements above you may need about $34,080-$75,240 for a four-year degree program to earn a bachelor’s.

In addition to undergraduate degree costs, you may spend about $129 dollars or $99 a month for a standard full-time or continuing education high school diploma program respectively.

Are there Schools for Stockbrokers?

While there are no universities offering stockbroking as a degree program, there are universities offering degrees in finance and business. These are the basics you need to excel as a stockbroker.

So, below are universities where you can get a degree in business or finance to meet the educational requirements of becoming a stockbroker.

Alaska Pacific University Anchorage

Basically, this university offers both online and campus programs that award Post-Bachelor’s Certificate in Investment and Security.

With an acceptance rate of 60% and a student population of 906, Learn how to become posits that their tuition fee for in-state students and out-state students is about $19,500.

Carnegie Mellon University Pittsburgh PA

Interestingly, it offers a master’s degree program in investment and securities which are available both on-campus and online for distance students who intend to be stockbrokers.

Learn to become posits that tuition fees for both in-state and out-state students are about $48,030 with an acceptance rate of 88.3% and a student population of 13, 355.

Gannon University Erie PA

Similar to Alaska university, Gannon University offers a post-bachelor’s certificate program in Investment and securities.

With tuition fees as low as $27,760 for both in-state and out-state students, this program is available for campus and distance students.

In fact, this school for stockbrokers degree in finance and business has an acceptance rate of 65.81% and a student population of 4,862.

University of San Francisco San Francisco CA

This university offers a master’s degree program in investment and securities. Basically, it has an acceptance rate of 70.46% and a student population of about 11, 934.

However, to get this degree you may spend a total amount of $40,996 for both in-state and out-state students.

Interestingly, this degree program is available both online and on-campus.

University of Northern Iowa Cedar Falls IA

This university has one of the lowest tuition fees for undergraduate degree programs. Basically, it offers a bachelor’s degree program in investment and securities for as low as $6,648 for both in-state and out-state students to learn to become posits.

In addition, this degree is available both online for distance students and on-campus

What does it take to be a Wall Street broker?

Well, Wall Street is home to the major U.S stock market and also home to a large number of stockbrokers. Basically, some of these wall street brokers like other stock brokers work in offices as seen in career paths for stockbrokers.

Others work anywhere in the world. Majorly recruiting investor clients and then placing orders to buy and sell stocks on their behalf.

In addition Wall Street houses large firms like Citigroup incorporated, Goldman Sachs, Morgan Stanley, Lehman Brothers amongst others. It is one of the most famous in the world known for its role in the international financial system.

Actually, the analysis above is for you to know how important it is for you to become a Wall Street broker as a stockbroker. However, to become a stockbroker in Wall Street, first, you need to gain an undergraduate degree in either business, finance, or economics.

Yous must concentrate on courses such as calculus, individual investment, microeconomics, and macroeconomics. Also, courses like securities and financial reporting provide and equip you with the basics required for this position.

Others Association you should identify with

What is a Stock Broker’s Salary?

Basically, all factors that influence the take-home pay of employers are in favor of stockbrokers. Aside from being a means of generating passive income, the need for stockbrokers is growing faster than the national average.

However, the actual income of a stockbroker relies on many factors some of which are the basic skills discussed above.

In fact, we will look at the salary of stockbrokers by analyzing career concentration for stockbrokers.

What can I do as a Stock Broker?

Even though, stockbrokers may switch careers choosing a career concentration as a security trader is a good choice.

Basically, as a security trader, you will buy and sell securities on behalf of your employers. The sole aim here is to make money for your employer.

Anyway, you may be required to take a high risk in high reward trades that is worth millions of dollars.

Interestingly, your stockbroker’s salary is about $71,550 on average.

As a personal Financial Advisor, you will get a stockbroker’s salary of $89,160 on average.

Majorly, this career path will allow you to give financial and investment advice to clients. So, your job entails listening to the client to understand their investment and financial goals.

Then, recommend financial instruments and investment strategies to best achieve those goals.

With a stockbroker salary of about $117,990, this career path is the highest-paid. Actually, just like their name, you will manage financial matters.

Basically, your work in this career path is to manage the financial goals of an organization. So, you will find ways to improve the company’s financial position.

If you choose this career path as a stockbroker, you will act as an intermediary for businesses and investors. So, you will need to raise capital and often do so by selling securities.

Actually, your daily job will be to find investors looking to buy securities in order to make a profit. Then, advise businesses and business owners on how to raise more money.

In fact, you will help them raise the capital they need. Well, your take-home salary as an investment banker is about $71550 on average.

Where do Stock Brokers Work?

Well, to become a successful stockbroker you will need to work long hours especially as a newbie in the business. However, as a stockbroker, you may work in any of the following work environments.

Online Discount Brokerage

Actually, before now it was quite impossible to invest in stocks without getting a human stockbroker or physical outlet.

However, the story has changed. So, you may now work in an online discount brokerage. This stockbroking firm will allow you to trade stocks using their online platform. This offer is available for less than $10 per trade.

Basically, because discount brokerages have broken down barriers and lowered the cost of investing for most people, the trading stock is no longer restricted to the wealthy. So, you can provide a valuable service.


Of course, with a degree in finance or business, you can work as a stockbroker in a bank either as an investment analyst or forex trade expert.

Brokerage Companies/ Investment Firms

Yes, as a stockbroker you can work in any of these financial institutions with a degree in business and finance as any of the professionals listed in the career path.

How to Become a Stock Broker FAQs

Can I be a Stock Broker without a degree?

Yes, you may be a stockbroker without a college degree. However, to get a license and practice as a professional you must sit for Financial Industry Regulation Authority Licensing exams. Its basic requirement is a college degree.

Is it hard to become a Stock broker?

No, it’s not. The article above will guide you on how to become a stockbroker. In summary, you need the educational requirement, a license, and three basic skills to excel in this career path.

How do I become a good Stock broker?

To become a good stockbroker, you will need to finish high school, get a degree, write licensing exams, get a license, acquire communication, sales, and numeracy skills and continuously renew your license to remain on top of your game.

How long does it take to become a Stockbroker?

It may take you a total number of 6 years to become a licensed stockbroker. Two years you spend to get a high school diploma and four years for an undergraduate degree. However, it may take about 8 years if you need a master’s degree to practice in your state.

What do I need to become a stock broker?

Even though there are no basic educational requirements to be a broker, to be a successful broker you may need to get a degree, get a license, go for professional pieces of training and gain enough experience alongside relevant skills.

Learn the practical ways of becoming a Stockbroker by watching this video.


Well, being able to buy and sell stocks and others requires access to one of the major exchanges such as the New York Stock Exchange (NYSE). So, there will always be stock, shares, and securities to sell. However, the world lacks stock brokers.

Therefore, it is vital for a decision to make to become one in your area today. This profession allows you to raise passive income. Not much money is ever enough. This article was put together for your benefit.

It explains in detail how to become a stockbroker. It also throws more light on requirements to become a stockbroker which borders around the educational qualification of a stockbroker, skill requirement, and stockbroker license requirement.

Now, read through to get accurate and exact information. Absolutely, all you need to become a stockbroker is right in front of you. Take action today and excel as a stockbroker.



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