Re:
Stockbroker's in the traditional sense are a thing of the past. What most people view to be stockbroker's are 1 of 2 things...
1) A high networth stock trader/wealth advisor. Because of the drop in commissions and the push toward fee-based financial planning, stringent education requirements, and Elliot Spitzer, stockbroker's generally won't work with clients under $1,000,000 in networth. That isn't to say a Financial Advisor who does financial planning won't assist them with Mutual Funds, Separate Accounts, ETF's, REITS, Annuities, etc, etc, etc won't work with people under 1 million...but there's not enough profit related to cost for a broker to work with someone under 1,000,000 or MORE. The time it takes to review, oversee, then contact, etc is spend managing portfolios, whereas most of the industry now requires keen intellect on understanding ALL products and the volatility of stocks has forced advisors to either A)specialize in stocks above a certian networth OR B) develop systems to do so that automates the process.
2) Be a trader for a firm.
Glamorous jobs. Yet the internet, scottrade, ameritrade, etrade, etc have dropped commissions rates so low that compensation for Stock Portfolio management comes from annual fees, which depend on asset value. Normal rates are 1% of the portfolio. On a $1,000,000 that's only $10,000, but it would take considerable time to FIND stocks, REVIEW them, PITCH them MONITOR them, CONTACT the client, and FIND new clients such that 10k per potential client isn't enough, UNLESS you're selling to the clients ALL the same stocks so that when you review what they have, it's easy to make a widespread decision.
Is it possible to do it without a degree? Anything is possible. There might be a 50% or only a 10% chance that someone can make it...but if you want it, there's a way. That's the "rub." You have to want it. Eventually the stars will align...if that's what you want. Someone playing the odds who only sees things as they are NOW, might not make it...since you're relying on PRESENT reality to create a FUTURE position. Someone without a degree won't do well advising clients who more money than you do, and possibly more money than you ever will (high net worth, decamillionaires). It's a respect factor, it's also the complexity of the industry. External books can fill alot of gaps, but it's the degree that gives you insight into the path that you follow as a broker/trader/advisor. Also, credentials are quite a bit these days in the Financial Services industry. To get your CFP now, you MUST have a bachelor's degree, and is second only to the CPA test in terms of difficulty.
People mistake what Financial Services professionals are truly meant to do. It isn't about returns; that's secondary. Anyone who understand active management versus passive management, will understand that the goal of active management isn't to best the index, but to maintain consistent returns. Having +15% one year, and -20% the next isn't what most people can handle, more over, if you've got 10 years to retirement, and you rely on one specific index, you might be in that 10 yeat time frame when it goes flat, as the markets have periodically over time. Plus, if you're in retirement CONSISTENT returns, although less than index are preferred, as monthly income will come from income from investments and not a drawdown in capital.
If you're investing and get +15% one year and -20% the next, in year 1, you withdraw 5% for income, you net 10%. In year 2, your balance actually declines by 25%, (-20 + -5). That's hard to stomach if you've got little earning power left and could potentially live to 90+.
But I digrees, I'm off topic.
The possibility of what we CAN do is written into the NOW. It's written in US. A year from now, even a month, NO one will remember what personal declarations you made except you. So if you're dream is to be a toptrader, mentioning it, going for it, and doing it will manifest if you stick to it OVER TIME. Anything is possible, but it would take dedication and steps, depending on what level you want to go to.
FYI. Phones are a thing of the past in financial sales. Since you have to register for the DNC list, and most people you'd prefer as clients are hiding behind that list, I don't know many people utilizing phones. Maybe AFTER they've drummed up clients via seminars, webinars, web leads, lead producing companies, referrals, networking, fliers, etc, but never just yanking the yellow book out and banging away. Some people resort to knocking door to door, but that doesn't cover enough ground, so your potential client ratio has to be much higher. Back before DNC laws, I cold called for Northwestern Financial Group (Or Life Insurance Co.). 300 per day. Contact ratio was 50% or less. Had to stay late to get people at home, and you're basically selling yourself out, or begging to see them. They were a mutual company, captive agents, so you always wanted to sell some Life Insurance, DI, and LTC. Not very well-rounded financial planning. Kind of a hellish, no pay internship, but I learned alot. That shouldn't be the method these days, with DNC lists, so most companies resort to lead generation, but even those aren't guaranteed or 100%.
A-Unit
