For people who aim to make a career as a stock broker in the US, dealing in corporate, municipal, municipal fund securities, variable contracts, investment company products, direct participation programs, options and various other types of securities, it is important to take and pass Series 7 examination. Success in the exam provides a license that makes a candidate eligible for dealing in various kinds of securities.
The Exam Structure
Series 7 exams are intensive ones and encompasses topics like Taxation, Regulations, Investment Companies, Retirement Plans, Derivatives, Options and Debt and Equity Securities. The test typically comprises of 260 questions and candidates are allotted a time of 6 hours to finish it. Candidates who score minimum 72% marks in the test qualify for a license. You may choose a series 7 prep course provided by various specialized institutions in order to prepare better for the test.
Tips for Succeeding in Series 7 Exam
The following tips can prove useful and improve your chances of succeeding in the test:
A study time of 80 to 100 hours is generally required for a Series 7 exam. During this time candidates generally make efforts to memorize and understand the concepts given in the text books take live exams and undertake a minimum of 1000 practice questions. It is hence important for candidates to allot preparation time in their schedules.
Understand the Concepts
While preparing for a Series 7 exam, it is advisable to understand the concepts thoroughly rather than simply memorizing them. This practice can improve the chances of succeeding in the exam. Concepts like collateralized debt obligations, exchange traded funds, mutual funds, annuities, and limited partnerships may be given special attention. A series 7 prep course can prove useful in understanding these complex concepts better.
Focus on General Subjects
Many candidates often spend a considerable amount of time on complex subjects like corporate bonds and options while preparing for the exam. These topics constitute a fraction of the total questions in the exam. It is hence advisable to focus on more general topics which are comparatively easier in order to improve your chances of succeeding in the exam.
Understand the Rule of Bell Curve
According to the bell curve approach, the first and the last 25 questions asked in the exam are generally the easiest. It is hence advisable to tackle them first before moving on to the more difficult ones.
Ensure that you use the Latest Study Material
While preparing for Series 7 exam, it is important to ensure that you use the latest study material which contains the latest concepts and regulations.
Types of Available Courses
In order to prepare for the exam, students may take the following types of online courses:
- Courses led by instructors which facilitate interaction between teachers and students.
- The on demand courses which can be taken from any place.
- Self study courses that provide study materials and aids to students.
There are many types of Series 7 exam preparation courses. These courses along with few useful tips can help you succeed in the exam.
If you wish to make a career as a stock broker, contact Knopman Financial Training. The institute offers preparatory courses for Series 7 exams that can increase your prospects of succeeding in the exam.