Building the Relationship with Your Broker

There's an old saying that the best way to get good market information is to "take a broker to lunch." It's not far from the truth.

The best way to develop a relationship with a broker is to be able to talk about money and investing when there is no commission on the line and no sale to be made. The more you learn about your broker and his or her attitudes toward money and the markets, the better your working relationship is going to be.

These meetings don't have to be regular, just often enough to get a feel for how the broker operates and to give the broker a better understanding of who you are and how you tick.
It takes more than an initial interview and subsequent phone calls to do that.

At the same time, a busy broker doesn't have all day to schmooze. When you have questions, spend a few minutes planning your call to the broker so that if he has other business to do you can be efficient and get the information you want without tying him up. Not only will he appreciate that approach, but he will be happy to take and return your calls.
By Chuck Jaffe
Chuck Jaffe is a senior columnist and host of two weekly podcasts at MarkWatch. He has also been a guest speaker on several television and radio shows.

Copyrighted 2020. Content published with author's permission.

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