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The Series 7 exam is officially known as the general exam of securities representatives. It is a highly regulated exam that must be taken in an official test center. The cost to take the test is at least $ 265, with some areas in charge a little more.
Reference: https://www.finra.org/registration-exams-ce/qualification-exams/series7
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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: 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 2: Opens Accounts after Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives | 9% | - Account documentation and regulatory compliance - Customer information collection - Types of accounts and ownership structures - Determining investment suitability |
| Topic 3: Obtains and Verifies Customers’ Purchase and Sales Instructions and Agreements; Processes, Completes, and Confirms Transactions | 11% | - Recordkeeping and reporting requirements - Order types and execution procedures - Trade settlement and confirmation - Handling errors and discrepancies |
| Topic 4: Provides Customers with Information about Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records | 73% | - Investment company securities and variable contracts - Characteristics of equity securities - Debt securities and government obligations - Taxation and regulatory rules - Portfolio analysis and risk management - Direct participation programs - Municipal securities - Options and derivative products |
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