How to get a Financial Advisor License
This is a trained professional that offers advice on investments and financial planning for their clients. When they have their license it will help to assure their clients that they have the knowledge that is required for different areas of the job. A financial advisor license can be issued in the United States by passing the tests for Series 66 and Series 7 licenses. A financial advisor has to have a license to sell bones, insurance, real estate, or stocks. Without a license they cannot suggest any of these financial products to their client.
Together, the two tests are called the Uniform Combined State Law Examination. They are given by the Financial Industry Regulatory Authority (FINRA).The test is taken to ensure that a financial advisor knows what the rules are for public investing. In order to pass the Series 66 test you would need to receive a seventy-five or higher and for the Series 7 test you would need a score of seventy or higher. In order to receive the license to be a financial advisor you have to pass both exams.
You must have a sponsor before you can take the Series 7 examination. At this time you should have a job in financial services field so usually your sponsor is your employer, who pays the fees for the course. You do not have to have a sponsor for the Series 66 examination but since both examinations are normally taken together the employer will usually pay all fees. After getting a sponsor for the Series 7 examination you have to complete the form U10 and for the Series 66 examination you have to fill out form U4. The examination fees and forms are then sent to the FINRA. While waiting for the examination you should take the time to study as the examinations can see overwhelming. You can find in print and online many different resources, including practice tests, to help you study.
After sending in the forms, you will receive in the mail a Notice of Enrollment, which is a form that confirms registration for the exam and expiration date. This means that both of the examinations have to be passed before this day, which is normally one hundred twenty days from when you registered. On this same notification you will find out where to take the examination. You will have to call the location to make an appointment to take the examinations. The examinations will take several hours to finish and are usually administered by the computer. They are not given on the same day. You can retake them if you fail as long as it is before the end of one hundred twenty days.
This article is penned for TERRNA GROUP, a company that is among the leading financial services headhunters in North America. The company does financial advisor recruiting for some big ticket Wall Street and Chicago financial companies.