Series 7 exam

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In the United States, the Series 7 exam, also known as the General Securities Representative Exam (GSRE), is a test for entry-level registered representatives, to buy or sell security products such as corporate securities, municipal securities, options, direct participation programs, investment company products and variable contracts. The Series 7 is administered by Financial Industry Regulatory Authority (FINRA), an industry regulatory agency.[1]

The prerequisite is the Securities Industry Essentials (SIE) exam, a change FINRA enacted in 2018.[2]

Structure[edit]

The Series 7 is a three hour and forty five minute exam.[1] It is held in one four-hour session. There are 125 questions on the test. Candidates have to score at least 72 percent to pass and must also have passed the SIE exam to qualify for a seat in the exam room. The SIE Exam and the Series 7 Exam are co-requisite exams. [3]

The Series 7 exam tests candidates on four functions.[1]

Test Breakdown by Function Number of Questions Percentage of Test Questions
(F1) Seeks Business for the Broker-Dealer through Customers and Potential Customers 9 7%
(F2) Opens Accounts after Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives 11 9%
(F3) Provides Customers with Information about Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records 91 73%
(F4) Obtains and Verifies Customers’ Purchase and Sales Instructions and Agreements; Processes, Completes, and Confirms Transactions 14 11%
TOTAL 125 100%

In order to take the exam, an individual must be sponsored by a member firm of either FINRA or a self-regulatory organization (SRO).[4]


Registration costs[edit]

As of October 1, 2018, the registration cost is $245.[1]

See also[edit]

References[edit]

  1. ^ a b c d "Series 7 Examination". FINRA. Retrieved 2015-03-16.
  2. ^ "FINRA Administered Qualification Examinations". FINRA. Retrieved 2015-03-18.
  3. ^ "SIE Exam |SIE Exam Tutor".
  4. ^ "Form U10 | FINRA.org". Archived from the original on 2015-04-11.

External links[edit]