Do you need Series 79 if you have Series 7?
You might not need the Series 79 if you have a Series 7 license, and you want to sell a broader range of securities than those associated with investment banking. However, Series 7 license holders usually earn their Series 79 licenses if they plan to focus investment banking as registered representatives.
The Series 79 exam is 75 questions and takes 2.5 hours while the Series 7 is made up of 125 questions and takes three hours 45 minutes to complete.
Although the Series 79 is designed for junior-level bankers, it proves to be one of the most difficult exams offered by FINRA, particularly for test-takers who do not have education and work experience in accounting and finance.
Because you'll be taking the exam on a computer, you'll get your results right after you complete the test and will be told instantly whether you passed or failed. You will also receive a printed copy of your Series 7 score.
- Step 1: Take and Pass the SIE Exam. ...
- Step 2: Secure a Sponsorship. ...
- Step 3: Study for the Series 79 Exam. ...
- Step 4: Take and Pass the Series 79 Exam.
When it comes to the tests, Series 7 covers municipal fund securities, corporate securities, solicitation, and more. It has about a 65% pass rate. Comparatively, the CPA exam covers business concepts, financial accounting and reporting, regulation and auditing/attestation. Both are broad, difficult tests.
As a result, the Series 66 exam is considered by most to be an "easier" test. It will, like the Series 65, qualify the individual to act as an IAR, and it fulfills the requirements of the USA for state registration. Note that candidates can take the 66 or 7 in any order, but both must be completed in order to register.
Take your time studying. A failed Series 79 exam is not good for you, or your boss. The Series 79 top-off is a challenging exam so don't be surprised if it takes you more than a month to study.
The Series 79 Top-Off Exam typically requires 50–75 hours of total prep. New investment bankers should expect to commit around 75 total hours (3–5 weeks while working full-time).
What is the passing score for the Series 79 exam? The Series 7 passing score is 73%. What is the passing rate for the Series 79 exam? FINRA announced that the passing rate as of April 2019 was 87%.
Why is the Series 7 so hard?
It is a corequisite of the SIE exam, which tests you on general securities topics. By contrast, the questions on the Series 7 exam are detailed and related to the day-to-day activities, responsibilities, and job functions of stockbrokers. Therefore, it can be considered a challenging exam.
Permitted Activities
A candidate who passes the Series 7 exam is qualified for the solicitation, purchase and/or sale of all securities products, including corporate securities, municipal fund securities, options, direct participation programs, investment company products and variable contracts.
Is the Series 7 Exam Difficult? Clocking in at 125 questions to be answered in three hours and 45 minutes, the Series 7 exam is considered the most difficult of all the securities licensing exams. The minimum passing score is 72, which may not seem that difficult.
The Series 79 Exam
The Series 79 is focused on the investment banking area of expertise and was created by industry professionals. In order to sit for the Series 79 exam, a professional will need to be sponsored by a broker-dealer. Please request our White Paper for more information on the process of registration.
You need to spend 80-100 hours studying for the FINRA Series 7 exam if you have a finance background and about 150 if you don't. The first thing you should do is lay out a study plan that ensures you put those hours in. Give yourself enough time to take breaks from study to let concepts percolate.
To address the ongoing challenges facing exam candidates by the COVID-19 pandemic, FINRA is adopting an interim accommodation request process to allow candidates to take additional FINRA exams online, including the Series 24, Series 57, Series 79 and Series 99 exams. This change is effective on February 24, 2021.
Anyone who is a stockbroker must hold the Series 7 license. While also intense, this exam is generally believed to be significantly less difficult than the CFA. Its focus is also much narrower; it tests you on your knowledge of the concepts and functions of a registered representative.
The exam is approximately 30% math (e.g. options, margin and convertible bonds). Some candidates feel strong in the math and will plan to score well there, allowing for a slightly weaker performance on the regulations. Other candidates “fear” the math – that's okay too.
Generally, you'll need a Series 7, a Series 63, and possibly a Series 79, 86, or 87 license, which you can only acquire after you are employed and sponsored by a financial firm. However, you can improve your resume by passing the Securities Industry Essentials Exam (SIE) before you are hired.
| Job Title | Range | Average |
|---|---|---|
| Registered Client Associate | Range:$44k - $72k | Average:$54,699 |
| Certified Financial Planner (CFP) | Range:$49k - $127k | Average:$70,701 |
| Financial Planner | Range:$45k - $100k | Average:$64,342 |
| Compliance Officer | Range:$52k - $106k | Average:$77,325 |
What is the pass rate for the Series 7?
On average, the pass rate for the Series 7 exam is around 65%. Comparatively, about 86% of candidates pass the Series 63 on their first attempt.
It depends on the license. You might not need the Series 6 if you have a Series 7 license and you don't plan to sell life insurance. If you have a Series 3 license and decide to stop selling commodity futures in favor of mutual funds, you'll need to earn the Series 6.
The new Series 7 is harder, kind of
One of the fallouts from pulling general industry knowledge questions from all qualification exams is that the Series 7 just became more difficult. The exam no longer includes all the simpler questions that now make up the SIE, yet the passing score is still the same: 72%.
Is the Series 7 Exam Difficult? Clocking in at 125 questions to be answered in three hours and 45 minutes, the Series 7 exam is considered the most difficult of all the securities licensing exams. The minimum passing score is 72, which may not seem that difficult.
Is the Series 7 Certification Exam Hard? Though it may seem a bit daunting, especially if you have no industry experience, the Series 7 is, in fact, a medium difficulty exam. With enough study time and the right guidance, anyone can get their Series 7 license, regardless of previous experience.
The California Bar Exam is notorious for being the most difficult bar exam in the United States. In February 2020, the California Bar Exam had an overall pass rate of only 26.8% due to California's high minimum passing score and large candidate pool.
