Being a new broker

Chris0854

Chris0854

Hey everyone so Ive read on most of the newbie posts that relate to me and just wanted to get more (nice)feedback.
About me, Just got my 7 and 63 and its time to start building a book. I have a mentor at my firm teaching me things, but hes pretty old school so just want to hear more from more modern broker. Im not knocking the old school at all here by the way.

My questions..
So how to get Qualified leads?
How can I learn more about the overall market and the economy?
What do you look for in the news, or the paper when you wake up?
What are some things you wish you knew back when you started?

Thanks in Advance!
 
Get the Wall Street Journal delivered (yeah, I know old school). It will give you insight to the market in general. It covers ALL areas of the market...Just get it for a few months. So when a client (or future client) asks a general question (what are pork bellies or how do I play platinum?), you don't look stupid. On options, you need to know the general knowledge of puts and calls. At this time it can so confusing you could be well over your head. Tell clients they are risky, but if they want to pursue them (and they feel they have the knowledge), let them go for it...If brokerage OKs it. Have someone in the office who has experience with options handle these clients...Share the commissions with them for a year or two before you go into them headlong.

I was a Realtor...I didn't like it. I hated to have to network...But that is the biggest part of the job. I hated the phone calls...Cold calls. You should get 1 or 2 shirts with your company's logo (discreetly) on it. Wear them to many activities you attend (except religious...Very tacky). Remember the leads are not found it the office, they are out in public...Softball, Little League, youth soccer, civic groups, political meetings, etc. Invite people to lunch...Do not talk about the market (unless they bring it up...It looks real tacky). Just get the comfort level going.

Do not expect your family to be your biggest clients...It just doesn't work that way. They may be...Or just give you token support. Once you get going have your best clients refer other people. You have to LOVE TO NETWORK!! You will know soon enough if you are in the right business...
 
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Thanks for the ideas, I was actually thinking about the journal. I definitely need to get out of my shell a bit and start networking.

Cabin111 said:
Get the Wall Street Journal delivered (yeah, I know old school). It will give you insight to the market in general. It covers ALL areas of the market...Just get it for a few months. So when a client (or future client) asks a general question (what are pork bellies or how do I play platinum?), you don't look stupid. On options, you need to know the general knowledge of puts and calls. At this time it can so confusing you could be well over your head. Tell clients they are risky, but if they want to pursue them (and they feel they have the knowledge), let them go for it...If brokerage OKs it. Have someone in the office who has experience with options handle these clients...Share the commissions with them for a year or two before you go into them headlong.

I was a Realtor...I didn't like it. I hated to have to network...But that is the biggest part of the job. I hated the phone calls...Cold calls. You should get 1 or 2 shirts with your company's logo (discreetly) on it. Wear them to many activities you attend (except religious...Very tacky). Remember the leads are not found it the office, they are out in public...Softball, Little League, youth soccer, civic groups, political meetings, etc. Invite people to lunch...Do not talk about the market (unless they bring it up...It looks real tacky). Just get the comfort level going.

Do not expect your family to be your biggest clients...It just doesn't work that way. They may be...Or just give you token support. Once you get going have your best clients refer other people. You have to LOVE TO NETWORK!! You will know soon enough if you are in the right business...
More...
 
truetype said:
First, what's your niche? Find a specific nook of the financial markets where you're the go-to resource. Old fashioned dialing-for-dollars is a tough go otherwise.
More...

Hmm my niche I would say mutual funds, but I wanted to specialize in options one day.
 
truetype said:
That's not what I mean. Anyone can offer mutual funds. Become the go-to for something like PPLI, or non-traded-REITs, or whatever. Become the most knowledgeable guy in that business.
More...

Any insurance agent (series 6) can and do sell mutual funds. But what if you were the go to guy for IRAs, Roth IRAs, SEP IRAs, 401Ks. How best do I convert my IRA to a Roth IRA?? What if you knew China and Asia better than anyone in the office...

Do NOT be the guy who gathers the information into the computer and it spits out..."You need front end loaded mutual funds and annuities". Smart people will see right through you. You will not stick...

You need to network now!! Old college friends, family, high school friends, old neighbors, Facebook, your hobby friends are a start. You need to spend 4-5 hours a day (at this time) gathering the names, phone numbers, Facebook page, LinkedIn, addresses of these people. Support hospital causes, religious institutions, local universities...All these usually have big money. The big money may not be at the golf course anymore...It could be on a 20 mile bike ride. You may find it in Frisbee Golf...Society is changing. Set up a booth at a farm trade show...Or any trade show in the area where the money is at. Go in with a couple new associates...

Beware of the energy drainers!! These are people who will put $5,000. in a mutual fund, then call you every other day and want to talk for an hour. They will bleed you dry. It is for their emotional comfort they use you...Since you don't want to loose their account you feel like you need to be nice to them. But at some point you will need to have "the talk" with them about their constant phone calls. If you lose them, you lose them...They were a drain anyways. But I know of one broker who would fly from Montana to California for his biggest client. A face to face twice a year goes a long ways.

I hate when a brokerage would push their own stocks (they are the market maker). You may have to do some of this, but you will feel real dirty inside. Avoid it if possible...You want the best for your client. Even if you do not hold a fiduciary responsibility to your clients...They will know when they are being conned.

One last thing...If you are not good with networking, consider a discount brokerage firm. Places like Charles Schwab, or Fidelity either in front of the customer or on the phone (call center) may be the way to go. You may have to relocate...
 
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