There is no space for routine activities in a stockbroker's career because each day is different in the stock market. The primary responsibilities of a stockbroker include communicating with the investors regarding their financial goals and opening a trading account. A stockbroker buys and sells stocks on behalf of the clients and manages all the paperwork required in the transaction. They also assist in portfolio management and are believed to be specialists in mutual funds and bond issue.
How To Become A Stockbroker In India
One can become a stockbroker in India after pursuing various academic courses. After completing class 12 or intermediate in the commerce stream, they have to pursue graduation in commerce/economics/finance. Candidates can also do a BBA (Hons) in financial markets.
An MBA in financial market will also open doors to the stockbroker profession. Along with chartered accountants, those who have an academic background in finance can also become a stockbroker in India.
Certifications To Become A Stockbroker
A candidate needs to be certified to enter the stock market. The National Stock exchange (NSE) will be conducting an online test called NSE Certification in Financial Markets (NCFM). To become a stockbroker in India, one has to appear for this online exam which tests the candidates on their finance knowledge.
There are many institutes spread across the country that provide coaching to crack this examination.
National Institute of Securities Markets (NISM), which was established by Securities and Exchange Board of India (SEBI), has developed many certifications along with a postgraduate programme in securities market (PGPSM), which helps you explore the various segments of the securities market in the country.
In order to become a mutual fund broker, the Association of Mutual Funds in India (AMFI) has to give you a certificate. The online test conducted by e AMFI has been made mandatory by SEBI. Bombay Stock Exchange (BSE) has also rolled out a Certification on Derivatives Exchange (BCDE). There is no minimum eligibility criterion to take up this certification.
Stockbroker Salary In India
A stockbroker can start with more than 2 lakhs per annum. The average salary of a stockbroker will be between 3.5 lakhs and 5 lakhs per annum. The sky is the limit for experienced candidates. Candidates will get plenty of opportunities in companies such as HSBC InvestDirect(India) Ltd, Kotak Securities Ltd and Motilal Oswal Securities Ltd.