A:

One major requirement before one can become a bond broker is to pass the General Securities Representative Exam, commonly called the Series 7 exam. Series 7 is an exam that allows brokers to engage in the purchase and sale of securities. Before the exam can be taken, the candidate in question has to be sponsored by a broker/dealer firm. This requirement makes it necessary for anyone who desires to be a broker to first seek internship or employment with a brokerage firm. The General Securities Representative Exam, which is offered by the Financial Industry Regulatory Authority (FINRA), is a 260-question exam that lasts for 6 hours. The exam is broken into two parts and can be taken at a variety of testing centers. The exam has a passing mark of 70% and above.

The next step after taking the exam is to find out if your state requires an additional exam. Most states require brokers to take the Uniform Securities Agent State Law Examination, commonly known as Series 63. As the name suggests, the exam deals with the laws and regulations of the state that govern financial securities.

To learn more about both Series 7 and Series 63 exams, read Series 7 – Getting Started and Succeeding at the Series 63 Exam.

This question was answered by Chizoba Morah.

RELATED FAQS
  1. Are variable annuities safe?

    As of October 2015, many life insurance companies, and those companies that sell variable annuities, have experienced economic ... Read Full Answer >>
  2. How are variable annuities regulated?

    The sale of a variable annuity is regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory ... Read Full Answer >>
  3. Is a financial advisor required to have a degree?

    Financial advisors are not required to have university degrees. However, they are required to pass certain exams administered ... Read Full Answer >>
  4. Can I use my IRA to pay for my college loans?

    If you are older than 59.5 and have been contributing to your IRA for more than five years, you may withdraw funds to pay ... Read Full Answer >>
  5. Can I use my 401(k) to pay for my college loans?

    If you are over 59.5, or separate from your plan-sponsoring employer after age 55, you are free to use your 401(k) to pay ... Read Full Answer >>
  6. If I have only a limited amount of time to study for the Series 6, what should I ...

    The Series 6 Investment Company and Variable Contracts Products Representative Qualification Examination is administered ... Read Full Answer >>
Related Articles
  1. Investing Basics

    How to Become A Self-Taught Financial Expert

    Becoming a self-taught financial expert may not be as daunting of a task as it seems.
  2. FA

    The Basics of The Series 79 Exam

    Passing the Series 79 exam is usually necessary for anyone who wants to work in investment banking.
  3. Investing Basics

    The Top 5 Coding Schools in the U.S.

    Learn about some of the country's premier coding schools offering intensive courses in cutting-edge programming languages, such as JavaScript and Ruby.
  4. Professionals

    What it Takes to be a Financial Analyst

    A financial analyst researches companies and economic conditions to make business, sector and industry recommendations.
  5. Term

    What is the Series 66?

    The Series 66 exam is one of two tests required to register as both a securities agent and an investment advisor.
  6. Your Practice

    Tips for Helping a Junior Advisor Succeed

    Bringing on new partners means helping them get acclimatized and showing them the ropes. These tips help get you started on a successful arrangement.
  7. Savings

    The Top 12 Weirdest Scholarships Available

    Cut your college expenses drastically by winning one of these off-the-wall scholarships.
  8. Investing Basics

    High-Pressure Sales Tactics You Should Be Aware Of

    Beware of financial advisors (and others) who use these common high-pressure sales tactics.
  9. Investing

    These 5 Books Will Transform the Way You Think

    Just as successful startups disrupt their industries, these writers disrupt our view of the world.
  10. Professionals

    Breaking Down Financial Securities Licenses

    Find out which exam you need to begin your career as an investment professional.
RELATED TERMS
  1. Security

    A financial instrument that represents an ownership position ...
  2. Series 6

    A securities license entitling the holder to register as a limited ...
  3. Advanced Diploma In Insurance

    A qualification earned by insurance professionals and conferred ...
  4. Associate In Personal Insurance (API)

    A designation earned by professionals looking for training in ...
  5. Associate In Reinsurance (ARe)

    A designation earned by insurance professionals looking for reinsurance ...
  6. Associate In Surplus Lines Insurance (ASLI)

    A designation earned by insurance professionals involved with ...
Hot Definitions
  1. Super Bowl Indicator

    An indicator based on the belief that a Super Bowl win for a team from the old AFL (AFC division) foretells a decline in ...
  2. Flight To Quality

    The action of investors moving their capital away from riskier investments to the safest possible investment vehicles. This ...
  3. Discouraged Worker

    A person who is eligible for employment and is able to work, but is currently unemployed and has not attempted to find employment ...
  4. Ponzimonium

    After Bernard Madoff's $65 billion Ponzi scheme was revealed, many new (smaller-scale) Ponzi schemers became exposed. Ponzimonium ...
  5. Quarterly Earnings Report

    A quarterly filing made by public companies to report their performance. Included in earnings reports are items such as net ...
Trading Center