A stock broker is a person who helps a person engage in the activity of buying and selling stocks. A stock broker is the principle means by which person invest in the stock market. They are also able to help individual find stocks without having to deal with the actual holder of the stocks, and allows person to purchase a stock at nearly any time.
There are a number of ways that a stock broker does this:
- A stock broker is able to purchase a selection of stocks for clients on a regular basis. They then charge an exceptionally small markup in order to purchase the stocks directly from them.
- This allows a person to purchase a stock at the current market rate, and also means that a client can purchase all of the stocks that are held in the stock broker’s catalog.
- A stock broker allows a person to sell all of the stocks they purchased from their catalog back to them at any time. This means that it is possible for a person to sell their stocks at current market rates, and means that they will not have to spend time hunting for a person who is willing to buy high valued stocks.
The other great thing a stock broker does is they generally assist their clients with the process of making informed decisions for their portfolio. One thing, that many stock brokers do, is they offer software that allow their clients to properly follow the current market rates and trends. The most popular way to do this is by offering their customers interactive websites that show:
- The current rates of stocks
- The current rate of their owned stocks
- How the stocks have performed over time
- How those stocks compare to market trends
This kind of software can even allow a person to purchase a stock by simply clicking a button. This allows a person to lock in market rates down to the minute, and means that a person does not have to call their stock broker every single time they want to make a trade. The software can even allow a person to mark down a price that they want to buy or sell the stock at. This allows a person to make trades even if they are not actively looking at their computer screen.
Stock brokers are also able to offer their clients advice about what is a good investing strategy. Brokers have a lot of knowledge of current rates, and so they are able to help their customers make the best investments. The brokers are even able to offer their clients advice on the best way to invest on a long term and short term basis.