| Stockbrokers are people who deal with
| |
| | Similar roles
|
| stock & bonds.
| |
| | Roles similar to that of a stock broker
|
| Function
| |
| | include investment advisor, financial
|
| A stock broker sells or buys stock on
| |
| | advisor, and probably many others. A
|
| behalf of a customer. The stock broker
| |
| | stockbroker may or may not be also an
|
| works as an agent matching up stock
| |
| | investment advisor, and vice versa.
|
| buyers and sellers. A transaction on a
| |
| | The Certified Financial Planner
|
| stock exchange must be made between two
| |
| | designation initially offered by the
|
| members of the exchange - a typical
| |
| | American College in Pennsylvania is
|
| person may not walk into the New York
| |
| | considered by many to be the next
|
| Stock Exchange (for example), and ask to
| |
| | educational step a stock broker can take
|
| trade stock. Such an exchange must be
| |
| | in order to be considered a legitimate
|
| done through a broker.
| |
| | and ethical financial consultant.
|
| In addition to actually trading stocks
| |
| | Tips for using a stock broker
|
| for their clients, stock brokers may also
| |
| | Some people prefer to use and pay for the
|
| offer advice to their clients on which
| |
| | services of a broker because they feel
|
| stocks, mutual funds, etc. to buy.
| |
| | more comfortable making decisions about
|
| Online
| |
| | their finances with the interactive
|
| Some newer brokers offer transaction
| |
| | guidance of a licensed professional.
|
| services online in the form of a website
| |
| | When using a stock broker for financial
|
| interface. They usually offer low
| |
| | guidance, one must be made aware that
|
| commissions, as low as one or two USD,
| |
| | they do get paid on a commission, based
|
| and fast transaction rates, up to two
| |
| | on the stock/mutual fund they sell, and
|
| seconds. The latest development has been
| |
| | also through Class Distinction/Operating
|
| the introduction of entirely free stock
| |
| | Expense Fees/Services Fees/Shareholder
|
| trading.
| |
| | Fees. Thus, a conflict of interest arises
|
| History
| |
| | concerning a stock broker who offers his
|
| Philadelphia was the center of American
| |
| | her service as a financial planner,
|
| finance during the first forty years of
| |
| | because their revenue is generated as a
|
| the new United States. In 1790, the
| |
| | direct result of your investment in the
|
| country's first stock exchange was
| |
| | stock/mutual fund that they broker to
|
| founded there and Chestnut Street was
| |
| | you. Thus your return on investment may
|
| home to the nation's most powerful
| |
| | not be as great, and the advice they give
|
| financial institutions. However, in the
| |
| | you might not be in your best interest.
|
| 1820s a shift to New York City began and
| |
| | However, some mutual funds and stocks can
|
| for more than one hundred and fifty years
| |
| | only be purchased through a broker: in
|
| Wall Street has been synonymous with the
| |
| | such cases their services are required to
|
| stock brokerage business. A number of
| |
| | purchase the financial instrument in
|
| firms rose to prominence over that time
| |
| | question.
|
| with the top-ranked brokerages in the
| |
| | A word of warning: If you receive a call
|
| early 1950s being:
| |
| | offering you shares at what seems an
|
| Merrill Lynch & Co. Inc.
| |
| | unfeasibly good deal (e.g., an imminent
|
| E. F. Hutton & Co.
| |
| | IPO which will cause the price to 'go
|
| Bache & Co.
| |
| | through the roof'), then you are probably
|
| Paine Webber & Company
| |
| | being contacted by a boiler room. These
|
| Francis I. DuPont & Co.
| |
| | are typically not registered with the FSA
|
| Dean Witter Co.
| |
| | and could be in a foreign country where
|
| Goldman Sachs
| |
| | fraud laws are lax. If you suspect that
|
| Bear Stearns
| |
| | you have been contacted in this way, see
|
| Since the 1980s stockbroking firms have
| |
| | Boiler room for more information.
|
| also been allowed to be market makers as
| |
| | The pitch follows this pattern:
|
| long as the appropriate Chinese walls are
| |
| | Privileged information- this takes the
|
| put in place.
| |
| | form of a tip, insider knowledge he is
|
| With the advent of automated stockbroking
| |
| | not allowed to divulge of a big
|
| systems on the Internet the client often
| |
| | corporation going to invest in a minnow
|
| has no personal contact with his/her
| |
| | or in this case a takeover by a company
|
| stockbroking firm. The stockbroker's
| |
| | he is allowed to mention.
|
| system performs all the stockbroking
| |
| | A good story related to a product in
|
| functions: it obtains the best price from
| |
| | demand: oil, digital video etc.
|
| the market and executes and settles the
| |
| | The need to get in early at a privileged
|
| trade.
| |
| | price.
|
| Today, most of the once well-known
| |
| | He will hold the block of shares giving
|
| corporate brand names including mid-sized
| |
| | you time to research the company.
|
| firms such as Smith Barney have been
| |
| | There is a 12 month period when you are
|
| swallowed up by global financial
| |
| | not allowed to sell.
|
| conglomerates. Discount brokers (such as
| |
| | When he phones again he assumes you are
|
| E-Trade, Scottrade, and TD Ameritrade)
| |
| | going to buy, asks for your national
|
| have taken a large share of the business
| |
| | insurance number to prove your identity
|
| by offering highly discounted
| |
| | and transfers you to administrator who
|
| commissions, but the companies do not
| |
| | takes details for a stock purchase
|
| offer investment advice in return--all
| |
| | application.
|
| they do is execute orders.
| |
| |
|
