How to make career in stock market? Part–II.

How to make career in stock market : The article covers job opportunities in stock market and finance industry. Before starting this article you should inform some important things. The job market of india becomes very competitive day-by-day. But in india job opportunities are limited. If you want a good job or position then you have to do extraordinary things. And if you want to extraordinary things then you have to take extraordinary efforts.

You can not get speed in your career doing normal and average works. So the first request is to you that you should do the thing for that you are passionate. The founder of Apple,Steve Jobs said,”Do what you love,Love what you do”. When we are passionate about something then we do the work happily. As a result the output of the work will good and we can not get tired to do this.

So the smart work and hard work are done in same task. If you want to enter in core finance then please make sure that you are passionate about it. If you are passionate then all the things become easier to you and the best things are automatically out from you. 

How to make career in stock market?

 Ideally the main purpose of any company is  to serve well the customers or give good sevices or bring new products and new innovative techniques for the customers. To do this company needs good team members who can bring new innovative products and techniques and can serve this to the customers. There is many area in finance where you can find career opportunities in stock market and core finance. Such as

• Stock Broking.
• Asset Management Company.
• Investment Banking etc.

Let’s start with stock broking.

Stock Broking:

Basically there are two types of brokerage firms. They are

• Full Service stock brokerage firms. 
• Discount stock brokerage firms.

Full service brokerage firms provide research reports and customer relationship manager. They take more brokerage charges in return of this facilities. On the other hand discount brokerage firms(Zerodha,Upstox) do not provide the facilities like research reports and customer relationship manager.

So they take low brokerage charges. The team member of Zerodha is about 1200 and other discount brokerage firms have about same team size. And the team size of full brokerage firms is more than the team size of discount brokerage firms. The team size of full service brokerage firms is big but the workers number of core finance(equity research analyst) is less. Sales have a big portion or role in full service brokerage firms.

So the team of sales and support is big. The main position of core finance in brokerage firms is equity research analyst. Generally discount brokerage firms have not equity research analyst because they do not provide research reports to customers. But full service brokerage firms needs a team of equity research analyst who help the customers or fund manager preparing reports of equities  (companywise,sectorwise). Now come with second point.

Asset Management Company:

There are many types of asset management companies like:

• Mutual Funds.
• Hedge Funds.
• portfolio Management Services.
• Private Equity Mutual Funds etc.

All these funds and services manage customer’s fund. It means customers invest on this above funds and fund manager of this funds invests the fund in different asset classes. After asset management companies return the interest with the fund to the investors after cutting commisions. Here work of core finance are done mostly. Basically the main purpose of the asset management companies is to manage the fund of investors.

To manage the fund this companies need fund manager who decides where to invest the fund of investors. So the fund managers need some equity research analyst who can provide the manager research reports,data so that on the basis of data the manager can take decision where to invest the funds. In india hedge funds and private equity mutual funds are not so popular. But mutual funds are very popular in india. So you can get career opportunities.

Many people think that MBA is compulsory to be a equity research analyst. But it is not necessary. In Mutual fund industries in india there are many successful fund manager and equity research analyst who just did just graduation. If you did mba then it is good but it does not mean that without mba you can not be a equity research analyst.

This degrees help you just to get a position in initial stage but when you enter in corporate world then performance can get more importance than degrees. Because for the comapanies performance takes importance. Mutual fund industry in india is growing rapidly. So job opportunities are high here. In india hedge funds and private equity funds do not continue well because of two main reasons. 

• SEBI’s rules and regulations.
• Lack of investors.

 People of india are aware about finance slowly and start to invest. For this asset management company grow rapidly.  The asset management area is very lucrative and career opportunies are also high. So keep update about the area. Now come with last point.

Investment Banking:

The main purposes of Investment banking companies mainly are to bring IPO(initial public offering) and merger & aquisition of any company. They do also other things. You certain hear about JP Morgan,Morgan Stanley,Goldman scahs. They are investment banking company. But in india mainly Karvy and icici securities do the investment banking. Investment banking needs financial analysts to calculate company’s valuation.

Because if any company is merged or helped in aquisition then analysts are needed. They analyze the whole matter and make a best solution to complete the process. And when they bring any company’s ipo they have to analyze the whole sector and prepare the company’s valuation and do other important things. So there are many job opportunities in investment banking. If you joined as a manager or analyst in asset management companies or investment banking then the salary package starts from 8 lakh per annum.  

Career in stock market topic is huge.read part -I.

If you have any query related to the subject about how to make career in stock market please comment below so that the topic can be covered.

Best wishes to invest.

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