1: series 7 exam
2: how series 7 exam works
3: series 7 exam vs SIE
4: rules of series exam.
Opening information:
Series 7 exam means testing of the qualifications on the specific topic
level about some things or some matters.
The testing would be on anything that is completely related to choice based on the qualifications.
So this article contains information about what is Series 7 exams in the stock market, how the Series 7 exam works, and what is the difference between the Series 7 exam and SIE, finally rules of the Series 7 exams.
1: series 7 exam
When someone becomes a doctor without writing exams. It’s like giving a knife to a murderer’s hand to protect the people or the enemy of the murderer.
This is how this is stupid. So it doesn’t matter when someone has something, if they didn’t know anything regarding his work or career or anything, then it’s useless to have which is zero worth it.
That’s the same applies to brokerage in the stock market when someone doesn’t know anything about stock and bonds, next about its brokerage rules and laws.
It creates huge problems for the stock market, and the stock market Investors are completely cheated and Fraud in their investments.
Because of not knowing the lack of rules and laws of all other organizations’ requirements and it’s standards. This makes the people or company lead public Investors into hard losses.
This malpractice comes from the uneducated and unqualified broker. So whenever someone qualified in college or anything by writing exams they got a degree.
Likewise, when someone wants to qualify as a stockbroker, they need to write a brokerage exam, which is a series 7 exam. The Series 7 exam is a stock broker exam for a person who wants to become a broker involved in stock market activities.
The person who passed 72% of the mark in the series 7 exams could able to get the license to trade public real securities instead of a college degree.
Next, let’s dig into how the series 7 exam works and what are the things they had to follow it.
2: how series 7 exam works
The Series 7 exam contains 125 to 250 multiple-choice questions and the exam person has to finish the exam in three 3 and a half hours. Where extra 15 minutes would be for checking the answers. Totally 3 and third quarter hours.
Once the employee or employer passed the series 7 exam. They have gotten a license from the FINRA.
The FINRA means financial industry-regulated authority, the FINRA is a regulated organization that works under the Security and Exchange Commission (SEC) to rule and regulate the brokers.
The FINRA won’t provide a stock broker license to a person who lacks the series 7 exam marks.
On the other hand, those who had a stock broker licensed through the series 7 exams, would have the authority to sell and buy corporate securities and bonds but not a commodity.
The people who sell Securities without licensed rights would be strictly misleading the federal laws so that they would be punishable and penalties by the FINRA and SEC.
Series 7 exam helps the employee to be involved in security activities with the right license. But that doesn’t mean the series 7 exam is the end exam for all the brokerage industry.
After the Series 7 exam, there are Series 24, series 26, series 31, series 63, series 65, and Series 79 extra… each series exam had each level of rights of involvement in Securities markets.
To clear the confusion of any series 7 exam and SIE exams let’s dig into the key difference between the exams.
3: series 7 exam vs SIE
First of all, SIE means security industry essential exams, where this exam is a basic and foundation exam for all brokers.
Today FINRA required the SIE exam before the series 7 exams to provide the security license to the stock brokers.
The key difference between the SIE and series 7 exams is, that SIE is a basic test knowledgeable exam about the market securities, and the series 7 exam is an exam after the SIE exams to become licensed on the security may.
But the series 7 exam had several rules in it. So let’s dive into it a little bit.
4: rules of series exam.
The people who didn’t pass on Series 7 exam the first time. Would have a chance to write the exam again within the next 30 days.
But when one person failed the exam continuously in 3 attempts. He or she had to wait more than 30 days to enter or write the series 7 exams.
The time would be 6 to 10 months depending on the number of attempts you failed at the series 7 exams after the 3 continuous fail.
Market rule: #100199
Series 7 exam is considered in market rule, anyone who wants to sell general Securities to the public people must be required to pass it. Any malpractice or cheating would be completely punishable by the Financial industry regulated authority (FINRA) and the Security and Exchange Commission (SEC)
If your investors and not comfortable or align investing with based on market rules please learn about how to regulate your investments under your control with the use of Rule investing.