Series 79

What Is Series 79?

The term "Series 79" alludes to an exam taken by financial experts who wish to become investment bankers. The test, which is administered by the Financial Industry Regulatory Authority (FINRA), surveys the capability of the people who need to work in investment banking. It guarantees that these registered representatives have the skills and information expected to act as investment bankers by testing them in several key areas. Individuals who need to take the exam must be sponsored by a FINRA member firm.

Understanding Series 79

The Financial Industry Regulatory Authority is a nongovernmental organization that controls brokers, [broker-dealers](/representative vendor), and investment bankers in the United States. To become registered with the agency, financial experts must breeze through certain exams, which test their insight, skill, and capacities in certain securities-related activities. When an individual passes, they become licensed around there of mastery.

One of the exams offered by FINRA is the Series 79 exam or the Investment Banking Representative Exam. It evaluates the level of information, skills, and ethical foundation competitors have for investment banking functions, some of which incorporate mergers and acquisitions (M&A), buyouts, and financial restructuring.

The exam is planned for registered representatives whose financial industry skills are more specific than those of individuals who take the more extensive Series 7 exam, which is planned specifically for stockbrokers. The Series 79 exam was rebuilt in October 2018. It is currently a co-requisite along with the Securities Industry Essentials (SIE) exam — the two of which must be passed to receive the Series 79 license.

New rules were enacted in 2009 to better prepare individuals specifically for investment banking activities or supervision of these activities.

Series 79 Focus

The exam is comprised of 75 various decision questions. Each question contains four potential decisions. There are additionally 10 unscored questions that show up all through the exam and are not marked. The exam is partitioned and questions are broken up as follows:

Series 79 Prerequisites

There are no prerequisites to take the Series 79 exam, in spite of the fact that competitors must likewise finish the SIE exam as a corequisite. Up-and-comers, notwithstanding, must be sponsored by a FINRA or self-regulatory organization member firm before they can take the exam. A $245 fee must be paid to sit for the exam.

Series 79 Permitted Activities

As indicated over, the Series 79 exam tests individuals on the information and skills they need to work inside the investment banking industry. The people who pass the Series 79 and become licensed can take part in the accompanying activities:

• Debt and equity offerings, including private placements and public offerings
• Mergers and acquisitions
• Tender offers
• Financial restructurings
• Asset sales
• Divestitures or other corporate reorganizations
• Business mixes transactions

Series 79 Question Topics

There are a number of various prep courses and resources accessible for up-and-comers who need some guidance before taking the Series 79 exam. Coming up next is a rundown of subjects covered by the exam.

Function 1

As verified over, this point covers the assortment, analysis, and evaluation of data. Themes incorporate trend and company analysis, securities offerings, and M&A activity. Individuals are likewise tried on the analysis of investor and shareholder data, financing opportunities for corporations, and the due diligence process.

Function 2

This function tests an up-and-comer's information on issues connecting with underwriting and new financing, along with various types of offerings and securities registration. Test takers might need to respond to inquiries concerning filing requirements, underwriting agreements, underwriting commitments, and specifics about financing bargains (record registration, billing, and settling transactions).

Function 3

The last function in the exam tests information in M&A, tender offers, and financial restructuring transactions. Applicants might be gotten some information about their insight into sell-side M&A transactions (set up, marketing, and finish), buy-side transactions, regulations around tender offers, and claims in the bankruptcy cycle.

Series 79 Exam Details

The exam is shut book. Applicants are not permitted to acquire any reference materials with them when they step through the exam. It very well may be administered at a nearby test center or delegated online. Exam centers give four-function calculators, scratch paper, pens, surrounding sound blocking earphones, and tissues (whenever required). The people who pick the online option must go through an inspection and sign-on requirements. They are given an online calculator and virtual notebook to use during the exam.

FINRA makes facilities for individuals who might need support, helps, or changes, for example, large print exam books and private testing rooms.

Series 79 FAQs

Is the Series 79 Harder Than the SIE Exam?

The Series 79 exam is generally considered more troublesome than the Securities Industry Essentials (SIE) exam. The SIE exam is ordinarily taken first and, thusly, is considered a prologue to the Series 79 exam, which tests individuals on concepts at a further developed and higher level.

What Does Having a Series 79 License Allow You to Do?

Individuals who successfully finish the exam and earn a Series 79 license work in investment banking as analysts or bankers. They are licensed to exhort clients, assist with working with debt and equity offerings, participate in mergers and acquisitions, make tender offers, conduct financial restructuring and asset sales, as well as corporate reorganizations.

What Is the Series 79 Top-Off Exam?

The Series 79 top-off exam tests individuals who need to become licensed to sell investment banking products. It is part of the most common way of earning a Series 79 license.

How Long Does It Take to Study for the Series 79 Exam?

The time it takes to study for the Series 79 exam relies upon the individual. However, it generally requires anyplace somewhere in the range of 60 and 100 hours to prepare for the exam. Intrigued up-and-comers can likewise purchase a series of prep materials for a cost.

Is the Series 79 Exam Computer-Based?

You must take the Series 79 exam on a computer, the same way you would with some other securities exam.

When Can I Take the Series 79 Exam?

You can take the exam in something like 120 days of the date on which you enlist. You must schedule an arrangement from accessible dates inside that 120-day period after you complete enrollment.

What Is the Passing Score for the Series 79 Exam?

You must get no less than 73% if you have any desire to breeze through the Series 79 exam.

How Long Do I Have to Wait to Retake the Series 79 Exam If I Fail?

You must stand by 30 days before you can revise the Series 79 exam in the event that you fail. The waiting period is extended to 180 days in the event that you fail three times in succession. Your company must re-support you before you sit down for any retakes. You are additionally responsible to pay the full fee for any subsequent endeavors to compose the exam.

The Bottom Line

Financial experts are regulated and must submit to the rules laid out by financial specialists. To be registered, these individuals must fit the bill for and finish certain exams to work in their fields. The Series 79 exam administered by FINRA permits registered representatives to work in the investment banking industry. These experts can work with a number of areas, including debt offerings, asset sales, M&A, and restructuring activities.

Features

• The exam tests information and skills in key areas, including data, underwriting, new financing, restructuring, and M&A, among different points.
• Passing up-and-comers can participate in debt and equity offerings, M&A activity, asset sales, and other investment banking activities.
• Competitors must receive a score of 73% or higher to pass.
• The Series 79 exam is taken by financial experts who need to become investment bankers.
• The exam comprises of 75 scored and 10 unscored questions and lasts more than two hours.