Series 65

Planned by the North American Securities Administrators Association (NASAA) and administered by the Financial Industry Regulatory Authority (FINRA), the Series 65 is an exam and securities license required for individuals to act as investment advisers in the US. The Series 65 exam, referred to formally as the Uniform Investment Adviser Law Examination, covers laws, regulations, ethics, and different points important to the job of a financial adviser.

Understanding the Series 65

Fruitful completion of the Series 65 exam qualifies an investment professional to function as an Investment Adviser Representative in certain states. Other FINRA-administered qualification examinations incorporate the Series 3 National Commodities Futures (NCFE), Series 7 General Securities Representative (GS), and Series 63 Uniform Securities Agent State Law.

Financial professionals who have effectively breezed through the Series 65 exam may not act as investment advisers until licensed and registered in their state.

NASAA has completed the update of inquiries on the Series 63, 65, and 66 exams considering the 2018 changes to the tax code. Tax-related questions showing up on the exams starting in Jan. 2019 mirror the tax code changes. To sit for the Series 65 exam, a candidate doesn't need sponsorship by a member firm.

Series 65 Exam Structure

The Series 65 examination contains 130 different decision questions. Candidates have 180 minutes to complete the exam. Candidates must get 94 of the 130 inquiries right to pass (a score of 72.3%).

Test takers are furnished with an essential four-function electronic calculator. Just this calculator might be utilized during the exam. Dry-eradicate boards and markers are additionally accommodated candidates. No reference materials of any sort are permitted in the exam room, and there are serious punishments for the people who are found cheating or endeavoring to cheat.

An individual's firm can schedule a candidate to take the exam by filing Form U4 and paying the $175 examination fee. On the off chance that an individual isn't firm-registered, the candidate utilizes Form U10 to request and pay for the exam.

Series 65 Exam Content

NASAA gives refreshed information on the exam's substance on its website. The exam is structured as follows:

• Economic Factors and Business Information (15%, 20 questions): Topics incorporate monetary and fiscal policy, economic indicators, financial reporting, quantitative methods, and essential risk concepts.
• Investment Vehicle Characteristics (25%, 32 questions): Topics incorporate endlessly cash equivalents, fixed income securities, methods of fixed income valuation, equities and methods utilized in equity valuation, pooled investments, derivative securities, and insurance-based products.
• Client Investment Recommendations and Strategies (30%, 39 questions): Topics incorporate individuals; business substances and trusts; client profiles; capital market hypothesis; portfolio management styles, strategies and methods; tax contemplations; retirement arranging; ERISA issues; special types of records; trading securities; exchanges and markets; and performance measurement.
• Laws, Regulations, and Guidelines, remembering Prohibition for Unethical Business Practices (30%, 39 questions): Topics incorporate state and federal securities acts; rules and regulations for investment advisers, investment adviser representatives, intermediary sellers, and agents; ethical practices; and fiduciary obligations, incorporating communications with clients, compensation, client funds, and irreconcilable circumstances.

Features

• Inquiries on the exam have been refreshed to mirror the 2018 changes to the tax code.
• Fruitful completion of the Series 65 exam qualifies an investment professional to function as an Investment Adviser Representative in certain states.
• Themes incorporate state and federal securities acts, rules and regulations for investment advisers, ethical practices, and fiduciary obligations — incorporating communications with clients, compensation, client funds, and irreconcilable situations.