The new Series 7 and the SIE exam

Welcome to the NEW Series 7
     FINRA has introduced a new licensing structure for people entering finance. The new structure brings on new challenges and possibly an alternative method for evaluating new candidates. For the first time, the new Series 7 encompasses a prerequisite SIE exam that can be taken prior to being employed by a FINRA Broker-Dealer. This SIE exam tests your basic Securities Industry Knowledge and will have a passing score of 70%.
Your score on this exam will most likely be a part of the application process and will be compared to other candidates. The “old “ way of studying for the Series 7 with just the goal of just passing and not worrying about your score is likely a thing of the past. You will need to have a more solid understanding of the material and the basic inner workings of Broker-Dealers. How well you do on the SIE should give the hiring manager an idea of how easily you will pass the Series 7 top off exam once you are hired. Firms spend money on training new candidates and have a strict timeline to bring new hires up to speed. Any delay in that process costs time and more money and at the very least embarrassment for the new hire if they should fail the exam. The greater the spread above the passing 70% the more likely a candidate is to pass the Series 7 on the first try and the more comfortable the firm will feel about hiring them.
After passing the SIE exam and being sponsored by a FINRA Broker-Dealer a candidate is then eligible to take the top off exams. Series 6 is for selling investment company products, Series 7 is for selling general securities, Series 57 is for those looking to trade equities and the Series 79 is for Investment Banking. Once you pass those then you are registered and can perform those functions. If the exam is failed there is a 30 day waiting period and the new hire cannot perform anything more than clerical functions until the exam is passed.


Kenneth F.

Series 7, Series 24, Series 66 - All Financial/FINRA Licensing Exams

400+ hours
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