Stock Broker Interview Questions and answers
A stock broker is a professional broker who buys and sells shares and other securities through agencies on behalf of investors. Stock exchanges are providing wide opportunities for youngsters in terms of stock broking as a career option. There has been an increase in demand of trained professionals who can meet the requirements of the investors. Various institutes offer courses in stock broking. A stock broker can find a job in a stock broking firm, investment banks or work as a dealer or an analyst.
The nature of work can become stressful but surely has good choices to offer and flourish as a professional. I would like to provide some of the important questions that can be asked by an employer:
1. What is a stock market?
A stock market is a mechanism through which company’s shares are bought and sold. It is a public market. It is used for the trading of company stock and derivatives at an agreed price.
2. What are your responsibilities as a stock broker?
A stock broker manages client’s portfolios. It mainly includes the collection of company stocks and shares that they own. He needs to contact with the client, researches companies and markets and buys and sells stocks and shares for the client. The job demands integrity of character as a stock broker needs to deal with the trust of his client in terms of money and finances.
3. How do you research companies and markets?
The best way to answer this question is by citing examples from your previous work area. Generally a team of investment analysts research for the details that help the stock brokers of the firm. Various stock based market information tools are available that can be used for extracting information. Tell about your working style and approaches you generally adopt.
4. What qualities are essential to become a stock broker?
Integrity of character is must as one has to deal with the money of others. A stock broker should be quick thinking and organized. He needs to earn the trust of his clients. He should be able to cope up with the stressful environment. Focus in the work and competency to beat the hectic nature of the job is an essential requisite. Moreover a good knowledge and understanding of the market is needed.
The above question will surely help you for preparing for an interview of a stock broker. All the Best!