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I know there are a couple of licenses that traders tend to have. What are they?

2006-09-08 12:12:14 · 9 answers · asked by largebones2004 2 in Business & Finance Investing

9 answers

Generally, a broker is not a trader, he's an order taker. He's a cold-call salesman, not an analyst; he parrots the party line. Except for high-pressure sales, he's more of a clerk than anything. He is not generally knowledgable about market or stock direction, although his company feeds him a lot of fundamentals. How could he be when he spends all of his time on the phone? It is about the lowest position in the finance industry. Anybody can pass the Series 7 exam and become a broker.

A trader, on the other hand, is one of a select few, and are generally do their own research and are their own analyst. They are knowledgable about all areas of price action, market direction, and usually specialize in certain areas. Seemingly no matter how intelligent, more than 80% of all traders blow out their account. To be a trader for a brokerage or bank or fund is indeed a very select few.

A trader does not need a license to trade. He may or may not need a license to manage other people's money. I have two separate separate accounts that I manage and trade for others, in the Forex and in Futures, and I need no license. At some point I will, but you can see that your question is moot until you get to a certain point, or you simply wish to be a broker.

2006-09-08 14:35:31 · answer #1 · answered by dredude52 6 · 0 0

Stock Trader License

2016-12-16 10:47:07 · answer #2 · answered by deibert 4 · 0 0

1

2016-12-23 22:36:22 · answer #3 · answered by ? 3 · 0 0

Dredude is mostly right. A broker is everything he says, and a trader doesn’t need a license….unless he works for a brokerage. A broker’s main position is to “sell” the products that the brokerage has to “offer”. A trader, is the person who tries to get the best price for the stocks to be offered. If you trade for a brokerage, you need to get your series 7, and 63? (to sell in the “blue” states or similar laws) and sometimes you need your 3 (commodity bkr) and 55 (market maker) but you should have your 4yr degree, and a clean record. If you do this, and live in the right area, you can make AWESOME Bucks! You can also become a ECN trader and make excellent money. But without these licenses ...(which will also take a brokerage to back you) you can still become a private portfolio manager and make UNREAL money …..All you need is a general business license. ..and to find the private portfolios to manage! And, If all else fails...go trade your own!

2006-09-08 23:08:09 · answer #4 · answered by jazzzame 4 · 0 0

Series 7 license would be required for stocks
Series 66 would also be preferred for any investment advisory duties such as fee based wrap accounts and financial planning.

However....one could get a series 63 in place of a 66 however would be more limited in what they could do.

The 7 is a difficult test and can take up to 6 hours. I thought the 66 was tough but the 63 is not as difficult.

2006-09-08 15:38:15 · answer #5 · answered by Daniel 1 · 0 0

Series 7 and 63

2006-09-08 12:54:01 · answer #6 · answered by rajatharjani 4 · 0 0

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2015-01-25 00:19:09 · answer #7 · answered by Anonymous · 0 0

Series 7 for stocks
Series 3 for options

Those would be my two top picks.

Let's make money!

Good luck

Marc

2006-09-08 12:29:37 · answer #8 · answered by Marc H. Mayor 2 · 0 1

If you trade retail (at home) you dont need a license. If you trade for a firm, you need a series 7 (and maybe some others) which i hear is not that hard to get.

http://en.wikipedia.org/wiki/General_Securities_Representative_Exam

2006-09-08 18:58:07 · answer #9 · answered by Anonymous · 0 0

Amen to that! During Clinton's time, life was so good!!! I wish Hillary had won :'(

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2016-04-14 02:49:00 · answer #10 · answered by ? 4 · 0 0

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