While there is a no official pass / fail rate released, a previous study suggested that around 14% of candidates fail the exam on their first attempt. 529 savings plans, local government investment pools) (LGIPs). A Series 7 sales professional can sell all types of stocks, stock options, bonds and any other related securities products. Two common FINRA licenses are the Series 6 and Series 63 securities licenses, which are popular among insurance sales professionals. You can register to take your Series 63 exam online in the same way you would register for a Series 6 exam. When readers purchase services discussed on our site, we often earn affiliate commissions that support our work. Complete one 65-question exam on just chapters 1 and 5. The licensing requirements for each state to become an insurance sales professional are different. You need to know that USA and NASAA are state level, while Act of 1933, Act of 1934, and Investment Advisers Act of 1940 are all federal law. register to take your Series 63 exam online, Mutual funds (closed-end funds on the initial offering only), Municipal fund securities (e.g. The other exams you’ve passed, like the Series 6, Series 7, and Series 79, are FINRA exams. To take the Series 6 license exam, you must first register to become a member of FINRA by using the online form that is available through the FINRA website. While the NASAA creates and maintains the Series 63 exam, the exams themselves are administered by FINRA. Starting October 1, 2018, aside from being sponsored by a FINRA-Accredited Firm, you must also take SIE Exam as a co-requisite for the Series 6 Exam. If you move from one state to another, you must take your new state’s Series 63 exam to begin working in the securities or insurance industries in that state. Please go to the Instagram Feed settings page to connect an account. What is the Securities Industry Essentials Exam? Review the answer and explanation after each question. In contrast, Series 63 does not require SIE Exam. These types of questions are confusing by nature. You’ll also need to learn legal exemptions and exceptions that differ slightly by each situation and can be very confusing. For example: an endowment plan is not a security, but you don’t need to know what it is. A new exam called the Security Industry Essentials (SIE) exam will be implemented, which will eliminate the duplication of content in all of the Series exams. If you’ve spoken to industry veterans about this exam, they may have said “it’s easy” or that “you’ll breeze through it.” But before you take the Series 63 for granted, you should know a few things about it so that you prepare efficiently and pass comfortably. Remember that bigger numbers apply at the federal level. Staff Only | Accessibility | Link Policy | Privacy and Legal Disclaimer | Open Data Plan, Kaplan Financial (Bisys Education Services), North American Securities Administrators Association. Information on this page has been gathered by a multitude of sources and was most recently updated on July 2020. The laws with years in their name are federal regulations. If you complete 500 questions, you should be well on your way. For example, federal recordkeeping requirements are longer, and fines are larger at the federal level than at the state level. The below numbers are a general average of licensed individuals, but the range could include extremes on the higher, or the lower side. These two chapters account for 60% of the exam. What Other Licenses Do Insurance Sales Professionals Need? If one of these exceptions from association or employment with a FINRA member firm applies, you may register to take the required exam by submitting a Form U10 to FINRA online. Exceptions and numerical requirements within the law differ for firms and individuals. On October 1, 2018, FINRA will change the co-requisite or pre-requisite a candidate must meet to take any of the Series exams. Your goal is to score 80% or better. Before joining Knopman Marks, Marcia was Director of Annuity Products and Business Development at CUNA Mutual Group, where she developed and marketed industry-leading annuity products and retirement solutions and implemented distribution relationships. Since these exams are both large and have some overlapping material, we have put together an article for each exam separately. These, in addition to your state’s insurance licenses, are the gateway to getting started in your new career. Examples of these types of securities are mutual funds, variable annuities, and indexed life insurance. Information on how to apply for a FINRA examination. In order to sell securities or variable insurance in any state in the US, you will need both the Series 6 and Series 63 licenses. For more information on the upcoming SIE exam, check out our article: What is the Securities Industry Essentials Exam? We wish you the best in your new career. Recognize whether the question is asking about state or federal regulation. Complete one 65-question online exam on all topics. But, in general, you need more than a Series 6 and Series 63 license to sell insurance in your state. Market Order vs. Limit Order vs. Stop Order: What’s the Difference? Take this exam in “test mode,” reviewing the questions you got wrong at the end. Free Series 63 Sample Exam Questions. Instead, a representative of a broker-dealer is called an “agent.” And did you know a state, a corporation, or another entity could be a “person”? We’re here to offer guidance and answer questions every step of the way. In order to take a FINRA (Financial Industry Regulatory Authority) examination, you must be associated with or employed by a FINRA member firm unless you wish to take the Series 63… FINRA is the primary licensing body for securities sales professionals, but it is not the only administrative body in the industry. Any Series 6 licensed sales professional is allowed to take the Series 7 exam, should they want to broaden their ability to sell a variety of securities. Some questions will include double negatives. It’s extremely in-depth and will help you pass the first time. The Financial Industry Regulatory Authority (FINRA) is the regulatory body responsible for maintaining and administering all of the licenses associated with the securities industry. Any job that requires the sale of securities also requires acquiring a FINRA license. StateRequirement and its members and affiliates are not responsible for any losses, monetary or otherwise. Skim Units 2 and 3. For example, the investment side of a whole life insurance policy might be a mutual fund, which is made up of a variety of different securities.