Stockbrokers - What Makes A Brokerage The Right Firm For You?Summary: There are a great many firms of stockbrokers to choose from. How do you know which one will be right for your needs? This section tries to help you answer that question by explaining the various service levels and pricing structures.
There is of course a wide variation in potential service levels and fee structures. From almost no service to full management of a portfolio for the specific needs of an individual or family. There are also - usually - unwritten rules about what is required - or not - of a client. In short, this is a world all of its own! We can highly recommend the classic investment book, "Winning The Loser's Game" by Charles Ellis. There is a substantial section that discusses the issues that clients should be interested in and worried about. As such, it is a useful guide to being a client of a money manager or asset allocator. Admittedly, that section is aimed at wealthier clients and was written in an age long before the internet and low cost brokerages, but it is still a worthwhile read. Needless to say, whenever there is a person wanting to buy something on the stock market, there needs to be a person opposite in the trade. Therefore, stockbrokers can be seen as the grease that keeps the stock market lubricated. Without these professional middlemen (and women) buying and selling would be far more difficult and expensive. We hope that the following pages will prove to be useful to you as a guide throught the complicated maze that is buying and selling stock market assets.
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