The Best Study Materials To Use For The Series 7 Exam
The Series 7 exam is the most widely taken securities industry licensing exam in the world. It tests one’s knowledge of various aspects of investing, including stocks and bonds, mutual funds, variable annuities, options, and more. The test consists of approximately 200 multiple-choice questions with each question worth one point. Candidates are given two hours to complete the test but may only use a calculator for certain sections that pertain to investments involving numbers or percentages (e.g., time value of money).
The Series 7 license will allow you to sell all types of securities products – not just stocks and bonds – as well as give you access to customers’ accounts at brokerages houses around the country without having to be supervised by another registered rep first.
Applicants must be sponsored by a FINRA member firm to be eligible to sit for the exam. After you pass the S7, many states also require that you take two exams (and pay separate fees) before becoming licensed in those jurisdictions. The Series 65 or “Uniform Combined State Law Examination” tests your knowledge of state and federal securities laws. This exam typically includes the questions from the Series 63, plus additional questions covering more advanced topics, such as margin requirements.
Different states have different regulatory bodies which govern the licensing process that you must follow to become a registered broker. And every year, tens of thousands of individuals prepare for and take the Series 7 exams. That’s why it is important that you do well on this exam if you want to get ahead in the securities industry. If you don’t, potential employers won’t even bother calling you in for an interview.
If you want to increase your chance of passing this test, we invite you to continue reading as we’re going to discuss the best study materials to use for the Series 7 exam in today’s article.
Why You Need To Take The Series 7 Exam
Series 7 is a three-hour exam with 125 multiple choice questions about the securities industry. It’s required by most companies for customer-facing employees, and it ensures you understand how to handle stocks, bonds, and mutual funds.
It’s a difficult test because there are so many questions. Many people don’t finish all the questions, and some people need to take it more than once to pass. If you have a busy schedule or work full-time, Series 7 practice tests maybe your best option for studying. Why only Series 7 practice exams?
Series 7 practice tests are the closest you’ll get to the real thing. They offer explanations for why answers are right and wrong, which is especially helpful if you miss a question on your first attempt.
Practice tests are designed to simulate the actual test, so they have 125 questions just like the real thing. Some practice exams have additional features that you won’t find in an official Series 7 exam or other Series 7 study material.
Other than that, self-directed learning is another type of Series 7 training material you can choose. Many people learn better by studying on their own, so they don’t need to attend class or complete an online course. You can use practice tests before, during, or after studying Series 7 materials on your own schedule for maximum convenience.
Test-takers typically finish Series 7 practice exams in under an hour. This is more than enough time for most people to answer all 125 questions, although some exams are even shorter. You can take practice tests on your phone, tablet, or computer to study at the office, school, or anywhere.
Series 7 exams require you to know everything about finances and securities. A full-length practice exam isn’t something you should attempt without extensive Series 7 education. Answering 125 questions in three hours is difficult for most people, and it’s even more difficult if you don’t know the material.
In addition, you also need to work on your timing. To be specific, you should set up a plan for completing each question so that you won’t run into time issues. It’s best to leave at least 1 minute per question so that you’ll still have time to go back and check your work later on. Some students actually allot more than 2 minutes per question because it takes at least 30 seconds just to read the question and another couple of minutes to mark down all the key information in the question.
For the Series 7 exam, it’s best to have a strong foundation in mathematics because about 30% of the questions will deal with percentages and fractions. You should also familiarize yourself with how certain calculations are done. For example, if you need to know what 1 plus 1 is, then you can simply add 2 together without having to write any actual numbers. However, if you need to know how much 1 million is, then you can’t divide it into 1000 pieces. Instead, it’s written as 1000000 or 10 ^ 6.
Another reason why you need to take the Series 7 exam is that this is a requirement for many individuals who want to become a registered representative of a broker-dealer. And anyone looking to take the Series 7 needs to prepare for it. It’s nearly impossible to pass without studying and taking practice exams. Of course, there are other requirements in order to sit for the examination such as passing a background check and a drug screen. Once someone has passed the Series 7, they are known as a registered representative or “stockbroker,” and may sell any type of security in accordance with their firm’s regulations.
What Are The Best Preparation Courses To Take For The Series 7 Exam
One of the first things that you should do is to take classes in investing. You can take classes online or on-campus to become more familiar with the general knowledge questions that could show up on the Series 7 exam. There are a number of different courses that you can take, but it’s important to find the one that’s right for you. For example, The Trilogy of Personal Finance covers markets, investments, and other personal finance topics like retirement planning.
Once you get the knowledge, then you should get some experience. You can’t substitute experience for knowledge and vice versa. However, the lack of either one will make it harder to pass the exam. The most optimal way to get practical experience is to actually start working in a brokerage firm. But if you can’t do that, then try finding other ways to gain the skills like watching videos and taking practice exams.
Training courses are available online, in-person and even at the testing center when you take your exam. Some have mixed reviews about how much important passing the Series 7 exam is for getting a job on Wall Street after all it’s not really that hard if you have the proper training.
Since the Series 7 exam is so important, it’s a good idea to take classes in investing before you take the exam so you know the general knowledge questions that could show up on it.
Click on this link to enroll in ProfessionalExamTutoring.com’s Series 7 video course today.
Is Series 7 A Difficult Type Of Exam
The Series 7 exam is difficult because it has so many tricky problems. You have to know everything about stocks, bonds, options, etc. This exam tests you on your understanding of the financial markets and it has four sections: Financial Reporting & Analysis; Investments; Corporate Finance; and Securities Regulation. The other exams are easier than the Series 7 because they don’t test you on knowledge of these topics. It’s the only exam that exclusively tests your understanding of securities, so you have to know a lot.
The Series 7 is offered in paper and pencil and electronically. It used to be that only some firms allowed the electronic version, but I believe all firms allow it now. The difference between paper and pencil and electronic is negligible because online exams simulate the testing experience nearly identically. If you pass one, you will also pass the other.
There are only 8 pre-set testing locations in the United States so if you live in a small town, you might have to travel far. When I took my Series 7 exam, I had to drive two hours away.
The test is difficult and they do not allow calculators on it (except on certain portions). This means you must master the math concepts behind the questions they give you in the exam so you can do it in your head.
Check out this link to learn more about how hard the Series 7 exam is.
Additional Tip: How To Be Composed During The Day Of The Test
One of the most important things to remember while taking a tough exam is to maintain your composure. One way to do this is by using a method known as “positive self-talk”. This is where you tell yourself that everything will be fine and that you have the intelligence to solve any problem. You can also use this technique when you’re feeling stressed or anxious as well as when you’re trying to overcome fear.
Finally, the Series 7 examiners want you to be thoroughly prepared for any questions, so they will often give several directions in one question to try and confuse you. Make sure you read each question carefully before answering it so that you don’t overlook anything. If you can do this, you will avoid falling into the trap of falling for their tricks.