Especially if you’re going to grad school, keep your grades up. The better your grades, the more – and better – schools will open up to you. Not to mention knowing what you’re doing when you hit the exchange floor!
This is your best bet if you’re not looking to get your MBA and want to get going as quickly as possible. But know that relaxing is totally a viable option. Plenty of people take a couple of years off, go back to get their MBA and get in the game a little bit later. Also: people are more likely to trust a 28-year-old with their money than a 22-year-old, so feel free to keep that red solo cup and package of ramen in your hand for a second or two more.
Again, feel free to take a few years off between undergrad and your MBA. Getting some viable work experience (even if it’s menial labor at a bank or a firm) will make your options grow tenfold as well. Showing that you already have a grasp on what you’re doing or want to do will get programs to take you more seriously.
Try William Bernstein’s “The Four Pillars of Investing: Lessons for Building a Winning Portfolio,” or Mark Hebner’s “Index Funds: The 12-Step Program for Active Investors. “[3] X Research source The Wall Street Journal or NY Times financial section won’t hurt either! You probably know a half a dozen people who at least dabble in investments. Ask them about what they know! The only reason you need an education now is that that’s the current academic trend. Back in the day, it was just people who took an active interest in it. So tap into all your resources as soon as you can, as often as you can.
Be a full-service broker. This would be working at a firm like Merrill Lynch or Morgan Stanley. [4] X Research source In order to succeed here, you must be very sales-oriented. [5] X Research source They will set you up with a space, get you trained and give you a salary to start off until you pass the trial period. Be a discount broker. Charles Schwab or Fidelity are two examples of discount brokers. [4] X Research source If you’re more service-oriented, this is for you. You will generally always be on salary, making less commission, but mainly assisting those who come to you, buying and selling but not giving advice. [6] X Research source Be a bank broker. This is pretty straightforward – you work at a bank. The bank’s customers come to you to buy fixed annuities and to make other, often more conservative, choices. Discount brokers generally have to know a little bit about everything (rollovers, stock options, margin accounting, derivatives, bond ladders, etc. ), whereas full-service brokers usually specialize in one area, like IRA rollovers or employee stock options. [4] X Research source Full-service brokers are responsible for finding their own clients. However, they also are given workspace and a salary to start off. With discount brokers, you pay your overhead costs and make less commission. [7] X Research source It’s really a give and take.
A big firm can often offer you a competitive training package, making you feel more firm in your grounding and alleviate your financial start-up woes. However, you may feel like you’re a teeny fish drowning in a large pond. A small firm can give you the attention you desire and feel more personable (in addition to offering a higher commission rate), but they may not be able to offer you the clientele or training of a larger program.
The Series 7. Formally known as the General Securities Registered Representative Examination. This test is given by the Financial Industry Regulatory Authority (FINRA) and is the most difficult test you will take (lasting 6 hours). After passing it, you’ll be a “registered representative,” or stockbroker. [8] X Expert Source Michael McCutcheon, PhDCareer Coach & Psychologist Expert Interview. 24 February 2021. You have the authority to sell all securities and investments except for real estate, life insurance, and commodities futures. [9] X Research source It costs $290. 00 currently. [10] X Research source The Series 63. This one is just about conducting business and the various laws that govern transactions. It’s a lot shorter (75 minutes) and much easier. [7] X Research source [3] X Research source This one costs $96. 00[10] X Research source [11] X Expert Source Michael McCutcheon, PhDCareer Coach & Psychologist Expert Interview. 24 February 2021.
The Series 65. Your firm may require you to become a “Registered Investment Adviser. " You must take the 65 for them to use professional management platforms. The Series 66. Just a combination of the 63 and 65. The Series 3. This test is required to sell commodities futures contracts. The Series 31. To sell managed futures funds, you’ll need to take this test. It’s usually obtained in lieu of the 3. [7] X Research source
Pass a background check (anything beyond a minor traffic violation may disqualify you)[7] X Research source Get a fingerprint card Complete paperwork for both state and federal levels
The majority of people who drop out drop out now. The money doesn’t come in like they want to, they’re not good salesmen, they can’t stand the long hours prospecting, they get dropped because they don’t make enough for the firm, whatever. If you can get over this hump, you’re golden.
Cold calling or door-knocking. You literally grab the phone book (those surprisingly do still exist) and start making phone calls with a smile plastered on your face. You could also get a list of names from the county clerk for a neighborhood and go door-knocking. Yes, dogs may chase you. A list of possible clients. You can either buy these from a marketing firm or your employer may give them to you. Considerably better than being accused of trespassing. Going through your own network. Hitting up friends, friends of friends, long lost uncles of friends of friends, joining exchange clubs and various organizations to hit their members, etc.
The amount of money you bring home will increase with each year. The easier your job gets, the more money you’ll make, surprisingly enough. It’s really getting the ball rolling that’s the hardest part. Initially you’ll be working all the time. Whenever you can get to clients, you’ll be working. That means nights, weekends, and holidays. But when you have a firm client base, you’ll find yourself working 6 hour days and taking time off whenever you need. It just could take years to get there. [7] X Research source
Again, if you’re not a super salesman, a discount broker or bank broker may be more up your alley. Sales is not for everyone. You could also start at a bank or discount, build your network, and then go to a full-service broker.
This is where getting a mentor comes in handy. There are psychological tricks of the trade that all the pros use to keep people from quite literally hanging up on them or banging the door in their faces. Needless to say, you’ll develop quite the thick skin.
You need an established client base to do this. A very, very large client base. For this reason, CPAs and tax preparers often have a leg up in this department. It’s something to aspire to, for sure. After a while in the game, this is a definite possibility. [7] X Research source
