subject: Stock Market Broker [print this page] Stock Market Brokers are the persons who buy or sell order on behalf of the investors. They charge a commission for rendering the services to the investors. Most important constituent of the stock market trading is "share brokers". Investors are supposed to place the order through a recognized and authorized share broker of a stock exchange. They act as an intermediary between buyers and sellers of shares and in return they charge commission. Share brokers buy and sell shares on behalf of their customers.
Share brokers also provide advisory services. If stock brokers are also registered as a portfolio manager, they can offer PMS services. Some of the bigger brokers also publish their own research reports which are available at a cost of investors. A stock broker is supposed to give investor"s prompt and efficient service, make timely payment and give delivery of shares. Share broker is required to execute investor"s orders on the stock exchange with utmost sincerity and exercise due diligence. Brokers are also obligated to issue you contract notes indicating customer"s transactions for the day. Always be aware of your rights.
Share brokers offer two types of share trading. One is Online Share Trading and second is Offline Share Trading. In case of online share trading the customer can avail the share market and could place the orders on his own and in case of offline share trading customer goes to share broker"s place and sits before the share trading terminals and asks the dealers to place orders.
There can be disputes occur between investor and the share broker, bring the facts of the case immediately to the notice of stock broker. Follow it up with written complaints if the same is not resolved within short duration of time, write to the investor grievance cell of the stock exchange of which broker is the member with all the facts of the case and necessary documents as well. Follow it up. You can also write to SEBI if your complaint is not resolved. It is possible for you to write your complaints online. You may get the relevant details from the websites of stock exchanges.
SERVICES provided by share brokers to its clients are as follows:
Share tips:
Share brokers provide share tips to its clients. They give advice to their clients about which shares to buy, price around which to buy, time frame of holding the shares, the target price around which the share can be sold. Share brokers are mainly hired by wealthy persons.
PMS:
Share brokers take a lump sum amount from their customers and trade with that money in their own account by the help of a knowledgeable and experienced fund manager. The return rate in this case is much higher and the commission being charged by the share brokers is also high.
Share broker is the person or the firm who is solely involved into taking decisions, making investments, profits, employing a fund manager. All this is to be accomplished by share broker only. A share brokers are always in front of the trading screens. They only buy and sell on behalf of you. For this service they charge commission which is high in percentage.
Today due to globalization of economy, stock exchanges have become busy places with millions of transactions. There are so many courses available nowadays for a better future because the young generation is interested in this scenario. The qualification being asked for the courses is at least 2 years experience in a stock broking firm. There are different numbers of courses like certificate courses, CFA, one year PG diploma in capital market development, PG membership course in financial services
