CAREER ADVICE

Cedar Rapids and Wall Street

You don’t have to work on Wall Street to be in the midst of the excitement of stock trades and other financial services. Right here in the Cedar Rapids metropolitan area there are a multitude of fulfilling careers in which you can be involved with the stock market in the form of fast-paced business deals, changes in investments, securities and commodities and one-on-one customer service and advice. If you’re interested in this type of career, you might consider being a stockbroker, also known as a financial advisor.

People from all walks of life invest, or save, their money in various ways. They buy and sell stocks, bonds, mutual funds, annuities, etc. More and more businesses offer savings plans to their employees. Many of these savings plans involve investing in the stock market. Investors need help in understanding what mutual funds, annuities and other investment options are and how they work. In many cases, people who want to save money need the help and advice of experts known as securities and commodities sales representatives or stockbrokers (financial advisors).

Because not all people have the same investment goals or amount of money to save, the financial advisor must be very knowledgeable in understanding the stock market so that he or she can explain the advantages or disadvantages in investing in various savings methods. They need to be able to suggest appropriate investment choices for their clients so that their savings can grow over time.

High school students who are considering a career working with the stock market should get a college degree. They must plan to study accounting, economics and marketing in college. While still in high school, students should concentrate on math and language arts.

A successful person in the financial services field must have, or demonstrate, sales ability and excellent interpersonal and communication skills. Stockbrokers must keep information about their clients confidential. In addition to a college degree, stockbrokers must meet State licensing requirements, pass the General Securities Registered Representative Examination and register with the National Association of Securities Dealer. It is also necessary for stockbrokers in Iowa to pass the Uniform Securities Agents State Law Examination. New employees will also receive on-the-job training. Financial advisors will continue to develop their knowledge throughout their career by taking classes so that they are always aware of the latest trends and give the best service to their clients.

According to Charlie Weber, Senior Vice President of Robert W. Baird & Company, a brokerage firm in Cedar Rapids, "It is my belief that to succeed as a financial advisor you need to provide clients with a much broader range of services. In the past we just bought and sold stocks, bonds, mutual funds and other investment securities. We now offer estate planning, financial planning, college financial planning, education and much more. In addition, we are seeing the commission for selling securities go away in favor or a quarterly fee for financial advice, which is all-inclusive. This means you can buy and sell stocks as a part of the all-inclusive fee with zero additional cost. This job can be very demanding and stressful. I deal with the stress by realizing that I can make a difference in my client’s lives. When you bring financial discipline to someone’s life, you can make a positive contribution to their well-being and happiness."

According to the 2000-01 "Occupational Outlook Handbook" which is published by U.S. Department of Labor, Bureau of Labor Statistics, career opportunities are strong. The report states, "Barring a significant decline in the stock market, the growth in the number of securities, commodities and financial services sales representatives should grow much faster than the average for all occupations through 2008." This growth is expected even though buying and selling investments over the Internet is popular. People still need the advice of experts.

Income levels are very broad, but generally vary between $30,000 and $100,000 annually. Much higher earnings are possible, based on the skill and knowledge level of the broker. Earnings are usually based on commissions and are highest when there is much buying and selling of stocks, bonds, mutual funds, insurance and other products. As the industry moves more towards an all-inclusive fee, you income will be based on how well you serve all of your client’s financial needs.

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