How to Become A Stock Broker South Africa

A stockbroker is an agent or firm that charges a fee or commission for executing buy and sell orders for an investor.

Below are steps to Become A Stock Broker South Africa

Study the South African financial market.

Stock brokers also are called equity traders, investment analysts or portfolio managers because they primarily are responsible for advising their clients about their best investment options after researching the market.

Weigh your qualifications.

Anyone who has the legal right to work in the (RSA) and has a good grasp of the stock market can become a stock broker in South Africa.

But because of the complex nature of the business, experience as well as a strong educational background are desirable attributes for all candidates.

Obtain your license.

Under South African laws, you need to hold a license in order to represent a client. To obtain your stock broker license, you must first pass a regulatory exam called the Registered Persons Exam (RPE), which is provided by the South African Institute of Financial Markets (SAIFM).

Find a vacancy with a South African employer who can offer you some training in stock brokerage.

Although the JSE offers online stock exchange courses for budding stock brokers, you may be able to secure employment with a company that is willing to train you from scratch.

How long does it take to become a broker in South Africa?

The South African Institute of Stockbrokers is in the process of registering a formal, three-year university qualification for the financial markets, and is currently working with the University of Johannesburg and government to put the course together.

What qualifications do you need to be a stock broker?

There are no set qualifications if you want to become a Stockbroker, although most employers will expect you to have a degree (normally class 2:1 or above). Your degree could be in any subject, but economics, business, finance or accountancy may give you the edge.

Is stockbroker a dying career?

Yes, the stockbroker career is experiencing a slow but sure death. For the most substantial part, this can be attributed to the advent of technology.

The role of stockbrokers is to act as middlemen between investors and firms. They facilitate the buying and selling of stocks for investors for a commission.

Is stockbroker a good career?

If you enjoy sales, are a self-starter and have an interest in the world of finance, a career as a stockbroker may be a great fit for you.

With a high earning potential and fulfillment from developing your own base of clients, a stockbroker can be a good career for a hardworking and ambitious individual.

Are stockbrokers rich?

The average stockbroker doesn’t make anything near the millions that we tend to imagine. In fact, some lose a lot of money through their trading activities.

The majority of companies pay their employees a base salary plus commission on the trades they make. That’s because they’re supposed to earn more in commissions.

Is a stockbroker a hard job?

Working as a stockbroker sounds like a glamorous career, but the fact is that many first-year brokers drop out of the business because the job usually requires long hours, can be overly stressful, and the business requires a substantial amount of dedication.