Fidelity Interview
Requirements for Taking the Series 7 Exam
Candidates who want to take the Series 7 exam must be sponsored by a financial firm that is a member of the Financial Industry Regulatory Authority (FINRA). The firm must file a Form U4 (Uniform Application for Securities Industry Registration) for the candidate to be registered for the licensing exam. FINRA governs the activities of securities firms and registered brokers, making sure that anyone who sells securities products is qualified and tested. The mission of FINRA is to safeguard investors. Read more: Series 7 http://www.investopedia.com/terms/s/series7.asp#ixzz4jgRzoo2b Follow us: Investopedia on Facebook
The Series 63 Exam Format
The Financial Industry Regulatory Authority (FINRA) administers the Series 63 exam. There are 65 multiple-choice questions on the exam; 60 questions are used for the final score, while the other five questions are used for pretesting into the question bank. The passing score is 72%, or 43 of the 60 questions. The candidate must complete the exam within the allotted time of 75 minutes. As of 2016, it costs $125 to take the exam. The North American Securities Administrators Association (NASAA) developed the exam along with representatives of the securities industry. Candidates for the exam need to be familiar with the Uniform Securities Act of 1956 and the NASAA Statement of Policy and Model Rules. The Series 63 is an entry-level exam; there are no prerequisites for the exam after completing the Form U-10. Read more: Series 63 http://www.investopedia.com/terms/s/series63.asp#ixzz4jgTBuPrV Follow us: Investopedia on Facebook
BREAKING DOWN 'Series 63'
The Series 63 (known as the Uniform Securities Agent State Law Examination) is a registered exam that is required of all prospective registered representatives in most of the U.S. states. The exam was developed to qualify candidates who want to work in the securities industry within a state and to sell investment products, such as mutual funds, variable annuities and unit investment trusts. The exam covers the principles of state securities regulations. Each state has its own securities regulations, called blue-sky laws, that were developed to regulate the sale of securities. Read more: Series 63 http://www.investopedia.com/terms/s/series63.asp#ixzz4jgT0Yl5I Follow us: Investopedia on Facebook
Topics Covered on the Exam
The Series 63 exam covers the principles of state securities regulations and rules prohibiting dishonest or unethical practices. Sixty percent of the questions pertain to state and federal securities acts and rules, and 40% of the questions pertain to ethical practices and business obligations. The topics on the exam include registration of persons, regulation of securities, business practices, communication with clients, and fiduciary responsibility with client funds and securities. After successfully completing the Series 63 exam, the representative is eligible to take the Series 7 and Series 6 license exams. To sell securities, broker-dealers must obtain the Series 63 license as well as the Series 7 or Series 6. Read more: Series 63 http://www.investopedia.com/terms/s/series63.asp#ixzz4jgTLY9rf Follow us: Investopedia on Facebook
What is the 'Series 63'
The Series 63 is a securities license entitling the holder to solicit orders for any type of security in a particular state. Securities agents must acquire the Series 63 license, in addition to a Series 7 or Series 6 license, to sell securities. To obtain a Series 63 license, the applicant must pass an exam and possess knowledge of ethical practices and fiduciary obligations. Read more: Series 63 http://www.investopedia.com/terms/s/series63.asp#ixzz4jgSjUdls Follow us: Investopedia on Facebook
The Series 7 Exam
The Series 7 exam is known as a General Securities Representative Exam (GS). It is a six-hour comprehensive test that is administered by FINRA, and it covers topics such as suitability of recommendations, mutual funds, municipal bonds, securities regulations and customer accounts. There are 250 scored questions in the exam with a passing score of 72%. The format for the test is a written exam that is timed beginning with a three-hour segment then a one-hour break followed by another three hours. Each segment offers 130 questions, so 10 questions are not scored. Completions of the Series 7 exam is a prerequisite for many other securities licenses such as the Series 24, which permits the candidate to supervise and manage branch activities. In 2018, there will be a pre-requisite for the Series 7 exam called the Securities Industry Essentials (SIE) exam. Read more: Series 7 http://www.investopedia.com/terms/s/series7.asp#ixzz4jgSCHBHg Follow us: Investopedia on Facebook
What is the 'Series 7'?
The purpose of the Series 7 license is to set a level of competency for a registered representative or stockbroker to work in the securities industry. The Series 7 license is a basic requirement for an entry-level broker. The Series 7 licensing exam covers an extensive range of financial terms and topics as well as securities regulations. Those candidates who pass the Series 7 exam are able to trade many securities such as stocks, mutual funds, options, municipal securities and variable contracts. The Series 7 license does not cover the selling of real estate or life insurance products. In addition to the obtaining the Series 7 license, many states require that registered representatives pass the Series 63 exam, also called the Uniform Securities Agent State Law Exam. Read more: Series 7 http://www.investopedia.com/terms/s/series7.asp#ixzz4jgRhyRXf Follow us: Investopedia on Facebook
Mutual Funds
an investment program funded by shareholders that trades in diversified holdings and is professionally managed.
