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Introduction to FINRA Series 7 Certification Exam
The Series 7 exam, the General Qualification Representatives Exam (GS) exam, assesses the competence of a registered representative at entry-level to exercise its function as the general representative of qualifications.
The exam measures the extent to which each candidate has the knowledge necessary to perform the essential functions of a general securities representative, including sales of corporate securities, municipal securities, investment company securities, variable annuities, direct participation programs, options, and government bonds.
Applicants must successfully complete the Securities Industry Essentials (SIE) and Series 7 exams to obtain registration from the Financial Representative General.
Reference: https://www.finra.org/registration-exams-ce/qualification-exams/series7
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How to Prepare For FINRA Series 7 Certification Exam
Preparation Guide for FINRA Series 7 Certification Exam
FINRA Series 7 Certification: Tips to survive if you don't have time to read all the page
The 7 Series review authorizes the holder to sell all types of products in securities, with the exception of commodities and futures. Officially known as the General Qualifying Examination for Securities Representatives, the Series 7 exam and its accreditation are managed by the Financial Sector Regulatory Authority (FINRA).
In the United States, stockbrokers must pass the Series 7 exam to obtain a commercial license. The 7 Series review focuses on investment risk, taxation, securities, and debt securities; securities, options, pension plans, and customer interactions.
In 2019, FINRA launched a distribution on 1 October 2018. of potential securities professionals. This introductory exam assesses a candidate's knowledge of basic information in the securities sector, including basic concepts for working in the sector
The purpose of the Series 7 license is to define a level of competence for a registered representative or securities dealer working in the securities sector. The 7 Series license is an essential requirement for a novice broker. The licensing exam covers a wide range of financial conditions and matters as well as the regulation of securities.
Candidates who pass the Series 7 exam can negotiate many securities, such as shares, mutual funds, options, municipal securities and variable contracts. The Series 7 license does not cover the sale of real estate or life insurance products. In addition to obtaining the Series 7 license, many states require registered representatives to take the Series 63 exam, also known as the state uniform agent law exam.
How to study the FINRA Series 7 Certification Exam
There are two main types of resources for preparation of certification exams first there are the study guides and books that are detailed and suitable for building knowledge from ground up then there are video tutorials and lectures that can somehow ease the pain of through study and are comparatively less boring for some candidates yet these demand time and concentration from the learner. Smart Candidates who want to build a solid foundation in all exam topics and related technologies usually combine video lectures with study guides to reap the benefits of both but there is one crucial preparation tool as often overlooked by most candidates the practice exams. Practice exams are built to make students comfortable with the real exam environment. Statistics have shown that most students fail not due to that preparation but due to exam anxiety the fear of the unknown. BootcampPDF expert team recommends you to prepare some notes on these topics along with it don't forget to practice FINRA Series 7 exam dumps which had been written by our expert team, Both these will help you a lot to clear this exam with good marks.
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FINRA Series-7 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Opens Accounts after Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives | 9% | - Determining investment suitability - Types of accounts and ownership structures - Customer information collection - Account documentation and regulatory compliance |
| Topic 2: Provides Customers with Information about Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records | 73% | - Options and derivative products - Debt securities and government obligations - Portfolio analysis and risk management - Investment company securities and variable contracts - Characteristics of equity securities - Direct participation programs - Municipal securities - Taxation and regulatory rules |
| Topic 3: Seeks Business for the Broker-Dealer from Customers and Potential Customers | 7% | - Regulatory requirements for communications with the public - Prospecting and sales practices - Identification of potential customers |
| Topic 4: Obtains and Verifies Customers’ Purchase and Sales Instructions and Agreements; Processes, Completes, and Confirms Transactions | 11% | - Handling errors and discrepancies - Order types and execution procedures - Trade settlement and confirmation - Recordkeeping and reporting requirements |



