Financial Advisor Series 3

Question 1

A registered representative with only a Series 6 license wants to sell corporate bonds to a client. What must they do first?

Accepted Answer

Pass the Series 7 exam

Answer

Series 6 only covers investment company products and variable contracts; selling corporate bonds requires the broader Series 7 license.

Question 2

Which Series exam must branch office managers typically hold to supervise registered representatives?

Accepted Answer

Series 24

Answer

The Series 24 (General Securities Principal) is the standard principal qualification for supervising general securities activities and branch offices.

Question 3

Under FINRA rules, how long does a registered representative's Series 7 license remain valid if they leave a FINRA member firm?

Accepted Answer

2 years

Answer

FINRA allows a 2-year 'window' during which a former rep can re-associate with a member firm without retaking the Series 7 exam.

Question 4

The Series 26 principal license is the supervisory counterpart to which representative exam?

Accepted Answer

Series 6

Answer

Series 26 (Investment Company and Variable Contracts Products Principal) qualifies principals to supervise reps who hold the Series 6 license.

Question 5

Which exam is required for individuals who want to sell commodity futures contracts?

Accepted Answer

Series 3

Answer

The Series 3 (National Commodity Futures Exam) is required by the NFA for individuals who solicit or accept orders for commodity futures.

Financial Advisor Practice Test

Financial Advisor Practice Test

Financial Advisor Series 3