Question: What do i have to do to become a stockbroker or a stock trader?

im a junior in high school, what exact path do i need to take to become a trader in New York or a stockbroker for a company in New York? (College in mind) Thanks and please be specific!! Oh and by the way what salary could i expect to make? (Also for any howard stern fans- how did sal the stockbroker governale make 700,000 dollars as a stockbroker?) Thanks!!!

Answer:

There is a very big difference between a stock broker and a trader. A trader can very easily become a stock broker, but it's difficult for a stock broker to become a trader. A professional trader has a stock broker by at least 10 IQ points. All traders have the same makeup, they have above average intelligence, they're good at math, have outgoing personalities and are not wrapped too tight.

In the US - You need to be an employee of a Broker/Dealer so they can sponsor you in order to become a licensed stock broker.

Firms usually want college graduates, but it is not really necessary nor really a requirement but many firms like it and make it their requirement. Bank broker/dealers usually want all the sales reps to be college graduates.

Your college major is not important, (No courses in the academic world prepares you to be a broker). But since your coming into the world of Finance, some of the more helpful majors would be Finance, Accounting, Economics or Statistics,

You should be good at math and have a decent idea about the stock market.
You should be good at selling, and it would help if you have an outgoing personality.
So if you‘re good at sales, or have a good sales background in place of a college degree, you’re part way there.
Try to get with any major brokerage firm they will put you through an in-house training program, which is primarily getting you ready to take the necessary test for licenses. You will need a Series 7 which is a General Securities Brokers test, and a Series 63 which is just for state approvals.
Most brokerage firms, except bank B/Ds, will put you on salary and once you have passed the test, they will slowly take you off salary and put you on commission basis pay out. Banks will usually keep you on salary but no commissions.
If you have your choice, you’re always better going to work for a regular B/D rather than a bank - You will learn, faster, better and the proper way of how the industry works. As a broker for a B/D you can always find another B/D that will hire you or at the worse, you can always work for a bank. But if you’re Bank B/D trained and licensed, it’s very difficult to go work for a regular B/D unless you have years of experience or believe you can bring a “big book”

There is no such "trading program for traders. If you live in or near NYC you should be trying to get a summer job in the brokerage industry especially if you can get a job clerking on the floor.

Traders are usually paid a salary but the salary is not that great if the trader shares in the trading profits. If the trader shares in the trading profits, they also share in the losses.
Stock brokers are not salaried, they are paid a commission resulting from those charge to the customer and they share in the mark ups/downs of customer principal trades.
And YES a sales rep can easily make 700,000 a year, but they have the contacts and the trade volume to generate such income