Becoming a broker

[city_youth]

Evening all, my first post on this great site.

Basically I am a second year Universtity student doing a business degree. I have done 2 internships at large investment banks. I still have another year to do at uni after this one, but I was wondering how useful would it to be to get the SII 1 & 2 certificates before I graduate? I was considering doing them this summer, is it worth paying the money to get on one of the courses offered by the various internet sites, how hard is it to teach it yourself ?

I was hoping me doing these qualifications before I graduate would show that I have gone out of my way to differentiate myself from other graduates. How effective are these certificates in getting you a job as a junior broker ?

How would I go about trying to sit the exams this summer and what is the likely cost ?

thanks

CY

 

[msrxlbp2]

What is it you ultimately want to do? Most graduate roles will put you through ther FSA exams (as you won't be able to advise clients without this) so it seems pointless for you to waste money on it now...

 

[minime69]

also be careful, once you pass the FSA exams if you dont keep up the yearly membership you loose your qualification, not sure what the time scale is tho.

 

[pelzar]

If youre not registered with a firm it is 1 year!

 

[minime69]

If youre not registered with a firm it is 1 year!

sounds right, but as long as you can prove you have had some sort of involvement in the markets they usually re-instate you.

 

[N Rothschild]

why would you wana be a broker!

 

[shadowninja]

Does he mean broker or trader?

 

[minime69]

who?

city_youth is talking about becoming a broker.

 

[city_youth]

broker or trader are both positions that I was looking into, what do they deem as using it. I was planning to do the regs and securities exams in the summer, then in jan-march 2010 for my work placement in my final year doing work experience on a trading floor/brokerage in the city. I take it this would qualify as being involved in the markets ?

 

[shadowninja]

Just trying to establish if you knew the difference, that's all.

 

[city_youth]

In fairness I think I would be suited as a broker rather buying and selling for clients than risking everything for my own personal game trading for myself.

Does anyone know if by doing a short work placement that would count as using it ?

 

[cr6196]

Today i phoned up sii with the exact same query as i am also a university student looking into this and i was also told by someone the same thing about it defaulting after one year if you arent professionally emloyed.

The response i got from the sii was that once you passed the exam that was it and the only reason you would need to retake it is if a company you worked for asked for you to do it again. So i would therefore presume the only cost would be the membership cost every year.

 

[city_youth]

cr6196 - what company are you going to take them with, bpp ?

 

[cr6196]

no planning to get books from sii and just do it...

 

[minime69]

no planning to get books from sii and just do it...

i think you have to get the books via a tutorial company.

and the FSA registration cost is around £600 ayear, best to check.

 

[cr6196]

No the Sii have their own bookshop on the site.
Ah i see, i will look into FSA registration, cheers. The intention though to do these exams tho, for me at least, is to have some sort of relevant qualification for job application rather than my vaguely relevant degree so FSA registration wouldnt be nesscessary?

 

[minime69]

No the Sii have their own bookshop on the site.
Ah i see, i will look into FSA registration, cheers. The intention though to do these exams tho, for me at least, is to have some sort of relevant qualification for job application rather than my vaguely relevant degree so FSA registration wouldnt be nesscessary?

correct, but if you dont get a job as a broker or trader, you will need to pay the mem fee so you dont loose the qualifications.

 

[cr6196]

is that the sii membership fee?

 

[minime69]

is that the sii membership fee?

i think Sii run the exams but the registration is with the FSA, so would be the FSA registration.

just for you info, the FSA introduced something called MIFID a few yaers ago, which means regulated companies can self regulate their own staff. i.e if a company that you work for believe you have the knowledge to broke then you dont need to take the exam, but you usually need another form of qualification, degree, eurex exam or something in the financial sector.

 

[Skill Leverage]

In fairness I think I would be suited as a broker rather buying and selling for clients than risking everything for my own personal game trading for myself.

Does anyone know if by doing a short work placement that would count as using it ?

I'm with Shadow, I don't think you fully understand the difference.

The word 'broker' covers any number of different jobs within finance; you have alluded towards the role of an execution-only broker, however some traders 'buy and sell on behalf of their clients', and some brokers will offer advice to their clients. Some 'brokers' are merely salesmen making 50 calls+ a day to high net-worth individuals. Not all traders are trading their own capital for their own personal game (gain?).

You don't seem to have a very focused view of your career path, therefore I'd suggest learning more about the industry before worrying about specialised topics such as exams.

SL