Share Broker
A stockbroker may also be known as a registered representative (RR) or an investment advisor.
What Does a Stockbroker Do?
For both individuals and corporate clients, financial brokers facilitate investment dealings for their clients. In popular culture, the term “stockbroker” may be used as shorthand to describe a variety of career paths, including stock traders, investment brokers, commodities brokers, or bond brokers. A broker can also act like a financial advisor giving advice to clients on their investment portfolio and investment options to reach a financial goal. A client’s financial situation and what they’re trying to achieve will impact their best investment option. For example, a long-term investor looking for assistance with retirement planning will likely want to make different trades than an active investor looking for a quick return.
Types of Brokerage Firms
It is possible to operate independently as a stockbroker, but most brokers work for investment banks or brokerage firms, sometimes called “brokerage companies” or just “brokerages”.
Direct Access Brokerage
Discount Brokerage
Discount brokers attempt to offer the cheapest transaction
Full Service Brokerage
A full service stockbroker offers holistic, start-to-finish transaction support