Do you think you’ve got what it takes to become a stockbroker?
If you want to share this profession with 4,300 others in Australia, we’ve put together this guide on how to become a stock broker in Australia to help you start your journey of becoming a stockbroker with all the information you need in one place.
What is a Stock Broker?
A stock broker is a finance professional handling the transactions for different individuals or business customers.
Putting it in a more understandable way, a stock broker is responsible for buying and selling stocks and bonds in the name of clients.
Other names used for this job title are Registered Representative and Investment Advisor.
Responsibilities of a Stock Broker
Every job comes with an extensive list of responsibilities. For a better understanding of the profession, let’s see, what does a stockbroker do every day?
- Provides the client with information for securities, government laws, market conditions and financial circumstances
- Buying and selling orders for the clients
- Analysing and giving advice about the financial market and products
- Stays up to date with the newest financial publications, stock-quotation viewer screens and reports about securities
- Informing the client about the price and number of bought contractors
With all the responsibilities covered, let’s move on to the different types of stock brokers that include full service brokers, discount brokers and bank brokers:
- Full service brokers are focused on passing important information that is available only for the clients that use the full service. They also construct a unique individual research about the financial market and give its client information about investing.
- Online brokers or direct access stockbrokers will provide you with access platforms where you can routh and chart. Furthermore, can use the market makers, electronic communication networks and multiple exchanges. The job of online brokers is informing about the latest investment news and making a list of stocks for their clients.
- The main job of discount brokers is following up with clients orders and providing them with financial and banking products.
What Qualifications Do You Need to Be a Stock Broker in Australia?
Now let’s cover all the educational requirements and personal skills needed to become a stock broker.
Latest data show that 57% of Aussies employed in financial services have at least a bachelor’s degree or higher, and the stock broker qualifications require a minimum of a bachelor’s degree from a university in finance, accounting, economics, commerce or actuarial science.
Continuing your education after that and starting a master’s university course will be a plus. You may also need registration or licensing. For more details required for the training programs and needed licence visit the Australian Securities and Investments Commission.
The complete Professional Stockbrokers Program is recognised by the Australian Securities and Investments Commission (ASIC) and will provide you with real-life pragmatic skills. After finishing the program you will fully understand the financial markets, laws and regulations. As a part of this program you can also get the Securities and Managed Investments Accreditation.
After finishing the Professional Program, you should register in ASIC and get your licence. And finally, you can legally start trading as a stock broker.
Some of the stock brokers in Australia have a Vocational Education and Training qualification.
Bonus tip: Australian sites that can help you with your pathway and qualifications are: Course Seeker, ComparED, My Skills and AAPathways.
Only having an educational background will not get you the job as a stock broker. You should also master specific skills like:
How Much Does a Stock Broker Make in Australia?
Putting all the technical questions aside, let’s move on to the paychecks. The annual entry-level stock broker salary in Australia is around AU$76,000, growing to an average salary of AU$141,000 for one year. Senior stock brokers with more than eight years of experience can make an average of AU$180,000 a year.
- Critical thinking
- Multitasking
- Mathematics
- Monitoring
- Active listening
- Working under pressure
- Financial forecasting and planning
- Laws and regulations related to financial and insurance services
- Knowledge of the stock market (ASX Limited, international stock markets like FTSE 100)
- Knowledge of trading platforms and accounting software (Trade Station, QuickBooks).
It is estimated that the average weekly pay of stock brokers in Australia is AU$2,298. However, keep in mind that this is a diverse and fluid industry where you can earn a lot of money from bonuses, profit sharing and commission.
With a 19% rise, the estimated average salary for stock brokers in 2027 is expected to be AU$168,322.
Finding a Stock Broker Job in Australia
Lastly, and most importantly, where can you find a job as a stock broker in Australia?
For a beginner, the best place to start is at a brokerage firm or investment bank and you should look for an entry-level job. Some of the companies in Australia can even sponsor you as their employee to go through the Professional Stockbrokers Program.
Looking for the perfect job-seeking platform can be a bit hard. To make the process a bit easier we recommend: JobSearch, Jora, Seek, Glassdoor, and Reddotrec, where you can find stock broker job offers.
Another thing you can do is see if the best online broker Australia hire: CMC Markets, IG, CommSec, or Westpac.
Before we wrap up, let’s cover some useful information about Australian stock brokers and the industry in general that will help you understand the real picture:
Finishing Thoughts
If you want a job where every day is more exciting than the other, you have excellent analytical skills, and can work under pressure, then becoming a stockbroker may be the perfect choice for you.
- 84% of the stock broker employees work full time
- Stock brokers work around 51 hours a week
- Only 15% of Australian stake brokers are women
- The average age of workers in Australia is 42 years
Our guide on how to become a stock broker in Australia has all the information you need, from personal skills, educational and licence requirements, to how to find a job as a stock broker.
1. What qualifications do you need to be a stock broker?
To become a stock broker, you will need a minimum of a bachelor’s degree in finance, accounting, economics, commerce or actuarial science, preferably followed by a master’s university course.
2. How much does a stock broker make in Australia?
While the annual entry-level salary is around AU$76,000, the amount grows to an average of AU$141,000, and the senior stock brokers earn around AU$180,000 a year.
3. How long does it take to become a stock broker in Australia?
As we’ve said in this guide on how to become a stock broker in Australia, a minimum bachelor’s degree is needed, which lasts for at least four years. If you add a master’s degree course as well as additional training, this means it will take you several years to become a full-working stock broker.
