How much does the average stock broker make yearly?

Question

Is this a wise choice for a job?

Answer 1

I have a friend at Schwaub that makes 50,000

All depends on what company you work for.

Answer 2

That is a bit like asking how much does the average ____ salesman make (fill in the blank).  There is a very broad range depending on the area you work and more importantly, the skill of the broker.  It's a sales job so if you have excellent sales skills, you are likely to do well. If you don't they can be learned. And if you keep good clients and are able to build a very strong book (client list), you can earn a lot of money. The business has gotten much tougher in recent years though due to discount brokers and internet trading.

Answer 3

Hi Jo,

Like Science explained, this is a pretty subjective question, it really depends on the talent of the broker, how many clients they have, and which firm they work for.  Weak brokers probably won't break $50K per year and also won't be in the industry long, they'll go find work that they are better suited to. A talented broker can easily make $100K plus but this is a relatively small group of top-notch brokers nowadays.

Today's brokers face much more competition than they've ever had to deal with in the past. Many people manage their own portfolios because top notch investing advice is affordable. You can learn more about this at http://www.money-and-investing.com/Stock... Brokers also face a great deal of competition from Financial Planners who do much more than manage your portfolio, they can help you with tax, insurance, estate and retirement planning. As a result, Brokers are offering more services than ever before so the Broker-Planner line is blurring. To see what today's brokers and planners face in terms of competition, check out http://www.money-and-investing.com/Onlin...

Your next question after reading this might be whether I would recommend exploring a broker or a planner career. Personally, I would recommend planning. Brokers are a bit overspecialized whereas planners can become expert analysts, portfolio managers, or consultants. This is also a strong and growing field because of all the baby-boomers that are scrambling to plan for retirement.

Hope this info is useful,

Odd Lot