Stockbroker - What is it? features, functions, and more

Stockbroker - What is it? features, functions, and more
Posted on 09-03-2022

Broker

Individual or entity in charge of carrying out intermediations between the stock market and a specific client.

What is a stockbroker?

A stockbroker, also called a stockbroker, is an individual or entity in charge of carrying out intermediations between the stock market and a certain client, by means of a prior contract. That is to say, it is that person or company that is contracted to provide information regarding the stock market, in order to carry out subsequent movements in said sector.

This agent has information and previous knowledge that he uses in his analytical work with the aim of providing the best study and the most favorable options according to the client's request.

Stockbrokers can work independently or for an organization that assigns them the work, depending on the specific needs of the contracts they contract with their clients.

Characteristics of a stockbroker

Mentioned below are the main characteristics of a stockbroker:

  • Provide advice to your clients.
  • His salary is usually fixed and commissions determined by his operations are added.
  • You can operate independently or work for a company.
  • Their services are very important in the dynamics of market movements.
  • It can be a person or a company.
  • They have a license to carry out their operations.
  • Possesses prior specialized knowledge.
  • Analyze in detail the influential variables of the market.
  • He is under constant supervision.
  • The study and analysis carried out affect the direct result of the investment to be made.

Stockbroker Duties

The main functions of the stockbroker are mentioned below:

  • Manage and analyze the securities portfolio of its clients.
  • Provide your customers with the latest market and application information.
  • Study and analyze all market variations, in order to provide the best options.
  • Provide advice to their clients on possible strategic moves.
  • Make sure that the client understands the information so that he is aware of all the pros and cons that the possible movements may have.
  • Be aware of the new trends that appear in the market, with the aim of providing the best options.

 

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