Lesson 8. Brokers and Brokerage Houses. In this lesson you will learn about the various types of stockbrokers and about brokerage houses where you can purchase stock. Stocks are available for sale through stockbrokers. | l@ve RuBoard PREVIOUS NEXT k Lesson 8. Brokers and Brokerage Houses In this lesson you will learn about the various types of stockbrokers and about brokerage houses where you can purchase stock. l@ve RuBoard 4 PREVIOUS I NEXT k l@ve RuBoard PREVIOUS NEXT Types of Stockbrokers Stocks are available for sale through stockbrokers. You can find many listings for brokers in Appendix B Resources at the end of this book in the financial pages of your local newspaper or even in your local Yellow Pages. You will find Full service brokers Discount brokers E-brokers l@ve RuBoard PREVIOUS l@ve RuBoard PREVIOUS NEXT Role of Stockbrokers The term broker has been used to describe financial transaction agents since the seventeenth century. Brokers are part of a bigger category known as investment bankers a group that is also not new. Investment bankers have been around since at least the Middle Ages when they were responsible for raising the monies necessary for kings and queens to wage war on one another. The adjective investment describing banker only means that the banker focuses on investment as opposed to other banker functions such as retail banking which deals with such things as checking and savings for the general public. Modern standards are substantially less dramatic and violent. A stockbroker today is a person who has passed a test called a Series 7 Exam administered by the Securities and Exchange Commission SEC and as such has the necessary qualifications to buy and sell stock for his or her clients. A brokerage firm is nothing more than a firm composed of you guessed it stockbrokers. What kind of people become stockbrokers Those who obviously have some sort of interest in finance economics and the stock market. This would be necessary as the Series 7 exam is not easy and the career of a stockbroker because of the high pressure is generally pretty short about two to three years . For those reasons most brokerage houses will pay for new brokers to take classes similar
