How to Become a Broker and Potential Earnings

How to Become a Broker: Requirements and Salary

The interest in becoming a broker seems to be growing among users approaching this field.
Even though in the 80s and 90s this trend was much more popular than it is today, there are still those who dream of becoming a professional in the industry.
Despite the positive changes over time and the increased availability of information, it is still difficult to understand what a broker does and, above all, how they manage to earn so much money.

The path to becoming a broker is certainly not easy.
It is a challenging journey, requiring constant updating and continuous practice to minimize the margin of error.
To start a prestigious and rewarding career, it is essential to follow the right path.
Here is what you need to do to become a financial broker and how much the average salary amounts to.

Financial Broker: Training, Requirements, and Salary

Who is a broker and what do they do?
A broker, also known as an intermediary, is someone who buys or sells financial assets on behalf of other individuals.
While in the past the intermediary had to be physically present in the reference bank’s branch, today there are numerous online platforms that allow this profession to be carried out, giving greater relevance to the financial broker’s classification as a freelancer.
Their tasks include not only knowing how to use the tools required by the profession but also monitoring their clients’ portfolios and assessing any potential risks.

How much does a broker earn: the average salary?
A broker’s earnings vary significantly depending on several factors, often unrelated to the intermediary’s direct will.
It is necessary to understand for which company or client the broker works.
In Italy, for employed figures, the average salary of a financial intermediary is around €30,000 per year, depending on the company, experience, and success level.

How to Become a Broker

Educational Path
To become a broker, one must follow a specific academic and training path.
The main recommendation is to obtain a degree in Economics or related disciplines.
Additionally, knowledge of finance and computer skills is essential, as most actions are carried out using digital platforms.
Problem-solving skills are also crucial for managing clients’ stock portfolios effectively.

License to Operate
Subsequently, one can apply for the required authorization to operate in Italy, issued by CONSOB.
In Italy, as in the rest of the EU, having a degree in Economics or a master’s degree is not sufficient to work as a financial broker.
This license allows transparent operations and prevents incurring penalties for operating without authorization.
Various certified entities, such as Cysec in Cyprus, the FCA in the UK, and MiFID in Europe, besides CONSOB, can enable brokers to operate according to regulations.

Key Factors for Brokers
In addition to academic training and necessary authorization, experience plays a pivotal role for a broker.
Managing various online platforms and financial instruments is equally important.
It is not a profession where one can expect to earn easily; it requires diverse skills and great responsibility.
Despite challenges, being a broker remains a fascinating profession with continuous learning opportunities due to the evolving financial landscape.