What is the 'Series 14'

The Series 14 is an exam and certification for professionals seeking to become licensed compliance officers for member firms. Anyone who seeks employment as a head compliance officer or who will be managing more than 10 compliance officers in the United States must complete the exam. The Series 14 is more formally known as the Compliance Official Qualification Examination (CO).

Breaking Down 'Series 14'

The Series 14, according to the Financial Industry Regulatory Authority (FINRA), which administers the test, "assesses the competency of an entry-level compliance official candidate to perform his or her job as a compliance officer. The exam measures the degree to which each candidate, who will supervise 10 or more people engaged in compliance activities or are responsible for the overall day-to-day compliance activities of the firm, possesses the knowledge needed to perform the job responsibilities." The Series 14 was created by NYSE Regulation. Its purpose is to "codify, clarify and give specificity to compliance obligations."

Series 14 Topics and Responsibilities

Series 14 Exam topics include the various industry regulatory agencies, the supervision of sales and customer accounts, the operation of both primary and secondary trading markets, and financial responsibilities for FINRA and NYSE-member firms.

The Series 14 is a comprehensive and difficult exam along the lines of the Series 7 for general securities brokers. Compliance officers are responsible for making sure that firms are obeying the regulations that keep customer accounts safe, employees in good standing with regulatory authorities, and otherwise following the rules that keep the doors to the business open.

Series 14 Exam Structure

The exam consists of 110 scored questions divided into nine categories. Three hours is provided for its completion. A score of 70% or better is required for passing. The Series 14 has no prerequisite exam and costs $350. For more, see FINRA's Series 14 - Compliance Official Exam (CO) informational page.

  • Section 1: Regulatory Agencies (3 questions)
  • Section 2: Markets and Operations (20 questions)
  • Section 3: Broker-Dealer Operations (10 questions)
  • Section 4: Credit Regulation/Capital Requirements (7 questions)
  • Section 5: General Supervision (20 questions)
  • Section 6: Investment Banking (15 questions)
  • Section 7: Registration (9 questions)
  • Section 8: Sales Practice-Customer/Employee Accounts (16 questions)
  • Section 9: Sales Practice-Solicitations (10 questions)

For more, see FINRA's Series 14/Compliance Official Qualification Examination content outline, which elaborates on the test sections and provides sample questions.

RELATED TERMS
  1. Series 42

    The Series 42 is an exam and license for financial professionals ...
  2. Series 27

    The Series 27 is a securities license entitling the holder to ...
  3. Series 28

    The Series 28 is an exam for professionals seeking become licensed ...
  4. Series 11

    The Series 11 is a securities license that allows holders to ...
  5. Series 63

    The Series 63 is a securities exam and license entitling the ...
  6. Series 62

    The Series 62 certification provides registered representatives ...
Related Articles
  1. Personal Finance

    The Series 79 Exam: What It Is And When You Need It

    If you're getting into the field of investment banking, you'll need to know all about the Series 79.
  2. Financial Advisor

    Introduction to the Series 65 exam

    The Series 65 is required in many states in order to be a fee-based advisor. Find out what it is and whether you need it.
  3. Insights

    FINRA Files Plans to Change Series 7 and Other Exams

    New details have emerged on the Securities Industry Essentials Exam required for becoming a registered representative.
  4. Financial Advisor

    Sell-Side Analysts Need Series 86/87 Exams

    Though these tests are not particularly difficult or comprehensive, passing them is mandatory to work as a sell-side analyst.
  5. Financial Advisor

    Series 63, Series 65 Or Series 66?

    When joining the world of investment professionals, you must take the right exams.
  6. Personal Finance

    What to Expect on the CFA Level I Exam

    The Level I exam for the Chartered Financial Analyst designation can be challenging. Here's what to expect.
  7. Personal Finance

    Prepare For Your CFA Exams

    Find out how to get yourself ready for these lengthy and often daunting exams.
  8. Financial Advisor

    Breaking Down Financial Securities Licenses

    Find out which exam you need to begin your career as an investment professional.
  9. Personal Finance

    What To Expect On The CFA Level III Exam

    The Level III exam is one of the toughest exams for the CFA. Read this to give yourself a little insight.
  10. Personal Finance

    What To Expect On The CFA Level II Exam

    This article will help you understand the nuances of the CFA Level II exam.
RELATED FAQS
  1. The FINRA Series 6 and Series 7 exams: The differences

    Learn about the regulatory exams needed to become a registered representative and the main differences between the Financial ... Read Answer >>
  2. What are my options if I fail my Series 63 exam?

    Find out what options are available to a person who has failed the Series 63 exam, a test that many states require for licensing ... Read Answer >>
  3. How many people fail the series 63 exam every year?

    How many stock brokers failed the Series 63 exam before they passed successfully? Here is what you need to know before taking ... Read Answer >>
Hot Definitions
  1. Economies of Scale

    Economies of scale refer to reduced costs per unit that arise from increased total output of a product. For example, a larger ...
  2. Quick Ratio

    The quick ratio measures a company’s ability to meet its short-term obligations with its most liquid assets.
  3. Leverage

    Leverage results from using borrowed capital as a source of funding when investing to expand the firm's asset base and generate ...
  4. Financial Risk

    Financial risk is the possibility that shareholders will lose money when investing in a company if its cash flow fails to ...
  5. Enterprise Value (EV)

    Enterprise Value (EV) is a measure of a company's total value, often used as a more comprehensive alternative to equity market ...
  6. Relative Strength Index - RSI

    Relative Strength Indicator (RSI) is a technical momentum indicator that compares the magnitude of recent gains to recent ...
Trading Center