One of the common reasons why a person looks to become a Stockbroker is the promise of fantastic Stock Broker salary that pays well. It is in fact the people’s expectation that being a broker means you are one of the top annul earner, however you need to take a junior Stock broker salary first. The usual mistake is since brokers are associated with the wall street, they are oftentimes presumed to profit millions of dollars. Yes it is true that the occupation includes exposure to a large amount of clients money, but they are still receiving way below the millions.
Actually the annual pay of a middle class broker trainee is somewhere within the $40,000 to $60,000 salary range. Take note that it is the median level, meaning, the other 50% receives lesser than that amount. The lucky half though receives extra credits for excellent performance. Let us check the average Junior Stock Broker Salary and the key factors affect pay:
Factors Affecting a Trainee Stock Brokers Salary
- Location: Like any other jobs, the geographical location affects the salary you receive. Let us take the example of the United State brokers. The pay is different per state depending on the location’s business standing. Say, the New York Wall Street Stock broker gets higher salary and commissions compared to other states.
- Position: It is a given that the higher position you have the better the salary is. What you can do increase the possibility of getting higher ranks is to invest in your education, it is recommended to read our Stock broker education requirements. The preferred course by firms is MBA so you might want to get the degree. Companies have more confidence to these graduates, since it seems that they have more tolerance to work pressure and can give more accurate split minute decisions if necessary.
- Level of Expertise: A Stock broker’s job has different levels and description depending on the individual expertise. Take note that when a broker starts as a junior, the firm will require him to undergo a series of training packages starting from product to sales orientations. These trainings will help the firm assess the broker’s potential before placing the broker to the right job position. For example if you are good with sales then you will be put as junior brokers for trading. Meaning your training is more for buy and sell of financial securities. Other branches include advisory and other services. In short, your salary depends on what professional skills you offer.
- Commission: This is the most impacting on the Stock broker’s source of income, and will help to increase a junior Stock broker’s salary. Salary is the fixed and basic pay of an individual broker. Commission based income is on top their basic pay. For successful brokers this even doubles their salary range. So the question now is, how good are you in meeting your quota. As soon as you do then the commission is automatically added in your salary.
We have checked the salary bracket and other sources of a junior Stock broker. How you can get higher pay will still rely on how you perform and how good you are in your chosen career. Take time to assess your skills and know what your strong points and utilize your interpersonal skills in gaining your client’s trust and closing the deals. Everything starts with acquiring an appointment and engaging with your prospective clients and first you begin with a junior Stock broker salary. How you get their attention and use it to your advantage will make the difference in your pay, and in your path to becoming a fully qualified high paid Stock broker.