Getting Started - What FINRA is Testing

FINRA (Financial Industry Regulatory Authority) is the self-regulating exchange that administers the Series 7 exam with the co-operation of other securities exchanges and the consent of the Securities and Exchange Commission (SEC). Although the SEC could decide at any time to take over the task of determining who is and who is not fit to trade U.S. securities, it is not interested in doing that. The industry itself, through the exchanges, is just as happy to hold on to this responsibility rather than cede it to government regulators. Exam Content The content of the Series 7 exam is no mystery. A summary of all things Series 7 can be found in the ), in PDF format, prepared by the New York Stock Exchange.The Content Outline does not give you the exam questions or the answers, but it does give you the topics - and that is as good a place as any to start as any. There are five critical functions, which are each weighted differently, These functions area as follows::

F1 Seeks Business for the Broker-Dealer through Customers and Potential Customers 27% 68 questions

F2 Evaluates Customers’ Other Security Holdings, Financial Situation and Needs, Financial Status, Tax Status, and Investment Objectives 11% of test 27 questions

F3 Opens Accounts, Transfers Assets, and Maintains Appropriate Account Records 11% of test 27 question

F4 Provides Customers with Information on Investments and Makes Suitable Recommendations 28% of test 70 questions

F5 Obtains and Verifies Customer’s Purchase and Sales Instructions,Enters Orders, and Follows Up 23% of test 58 questions

TOTAL 100% 250 questions

Series 7 Exam Format


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