Why You Need A Stockbroker

It is a requirement that a qualified stockbroker is used to buy and sell shares on the stock market. These days brokers can offer more services than just buying and selling shares. They can track share prices, and provide valuable information on what they believe will be the next batch of movers and shakers in the market. You can receive a number of services from a broker and you will either be charged a set fee or a commission for these. From a portfolio management service at the top end to advice and share trade execution at the other these are the main services offered.


For share trade only arrangements your stockbroker will follow your instructions to the letter and execute your trades. The broker will help novice traders with jargon etc but will only execute the trade and not offer advice on it. A commission is usually charged for this service and is often calculated against the total value of the trades that you want executed. The basic service of trading shares on the market on behalf of investors is the most popular use of a stockbroker.


Second to offering basic trades is the provision of advice to investors. Providing advice is a more costly service as it involves a lot of work from the broker and considerable expertise as you will be advised on stocks that will potentially make you money. The stockbroker will also spend time with you to make sure that you understand everything that is being recommended to you. This is really important if you are a novice in share dealing and the payment will probably consist of a fixed fee plus trade commissions.


Discretionary and advisory portfolio management services are available from most brokers. The difference is that with an advisory service, the broker will create a proposal of stocks that are considered a worthy portfolio but they will not act on this proposal until you instruct them to do so. A discretional portfolio management service allows your broker to decide what your portfolio will be and trade on it without requiring any decision making from you.



If you are interested in real time share prices then go to http://www.worldlink-data.com