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Investment representative vs sales trader

The differences between investment representatives and sales traders can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both an investment representative and a sales trader. Additionally, a sales trader has an average salary of $108,427, which is higher than the $65,361 average annual salary of an investment representative.

The top three skills for an investment representative include money management, mutual funds and financial services. The most important skills for a sales trader are equities, derivative, and institutional clients.

Investment representative vs sales trader overview

Investment RepresentativeSales Trader
Yearly salary$65,361$108,427
Hourly rate$31.42$52.13
Growth rate10%10%
Number of jobs35,91419,736
Job satisfaction--
Most common degreeBachelor's Degree, 78%Bachelor's Degree, 85%
Average age4343
Years of experience66

What does an investment representative do?

Investment representatives, also known as financial advisers, usually work in a bank, investment company, credit institution, or other financial firm. They handle the marketing and promotion of financial services and give clients investment advice. They do this is the phone or through face-to-face transactions. This position requires someone to be customer-oriented, communicate effectively, and know how to handle a crisis.

What does a sales trader do?

A sales trader is responsible for evaluating and monitoring the stock market performance to advise the clients on which financial instruments are best to buy or sell. Sales traders review the clients' account portfolios and determine their risk appetite to choose the best investment options for their financial goals and objectives. They also research stock prediction and conduct statistical analysis to maintain consistent cash flow for the accounts. A sales trader must have excellent communication and analytical skills, especially in generating financial and investment reports for clients' discussion and reference.

Investment representative vs sales trader salary

Investment representatives and sales traders have different pay scales, as shown below.

Investment RepresentativeSales Trader
Average salary$65,361$108,427
Salary rangeBetween $37,000 And $112,000Between $63,000 And $185,000
Highest paying CityNew York, NYNew York, NY
Highest paying stateNew YorkNew York
Best paying companyAmerican Century InvestmentsMerrill Lynch
Best paying industryFinanceFinance

Differences between investment representative and sales trader education

There are a few differences between an investment representative and a sales trader in terms of educational background:

Investment RepresentativeSales Trader
Most common degreeBachelor's Degree, 78%Bachelor's Degree, 85%
Most common majorBusinessFinance
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Investment representative vs sales trader demographics

Here are the differences between investment representatives' and sales traders' demographics:

Investment RepresentativeSales Trader
Average age4343
Gender ratioMale, 72.1% Female, 27.9%Male, 82.4% Female, 17.6%
Race ratioBlack or African American, 5.9% Unknown, 4.2% Hispanic or Latino, 12.4% Asian, 9.9% White, 67.4% American Indian and Alaska Native, 0.2%Black or African American, 5.5% Unknown, 4.1% Hispanic or Latino, 11.5% Asian, 12.4% White, 66.2% American Indian and Alaska Native, 0.2%
LGBT Percentage6%6%

Differences between investment representative and sales trader duties and responsibilities

Investment representative example responsibilities.

  • Act as an investor center product coordinator; provide guidance on product and sales techniques for manage account solutions and annuities.
  • Manage and strengthen customer relationships through cross-selling and up-selling to maximize retention and income generation by contacting existing and prospective customers.
  • Re-Obtain previously hold FINRA licenses.
  • Sell fix and variable annuities.
  • License financial adviser & insurance producer register with both FINRA & the state of Massachusetts.
  • Answer inquiries with regards to equities, options, mutual fund, fixed-income and unit investment trusts.
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Sales trader example responsibilities.

  • Price, trade and risk manage equity derivatives including OTC single stock options and list options.
  • Manage business, sales, marketing, international negotiation and communication for a commodities business.
  • Administer institutional equity accounts and expedite customer order flow for the NYSE, NASDAQ and OTC marketplace.
  • Trade exchange list and OTC stocks, fixed-income securities and equity derivatives, prior to company sell to UBS.
  • Develop relationships with institutional clients in equities primary and secondary markets.
  • Transact institutional equity and derivative trades on behalf of alternative investment funds.
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Investment representative vs sales trader skills

Common investment representative skills
  • Money Management, 46%
  • Mutual Funds, 28%
  • Financial Services, 2%
  • FINRA, 2%
  • Customer Relationships, 2%
  • Market Trends, 2%
Common sales trader skills
  • Equities, 8%
  • Derivative, 7%
  • Institutional Clients, 6%
  • Trade Execution, 6%
  • Client Relationships, 5%
  • Equity Trades, 5%