Have you passed the SIE Exam? Now your boss probably wants you to take another exam. To this demand, a question we hear a lot is “Why take the Series 7 exam?” Is it really going to help me later in life? Or in the near term for that matter?
In today’s post, we unpack what’s in it for you.
Why Take the Series 7 Exam?
First of all, if you work for a broker/dealer, or want to work for one in a job which requires dealing with customers, then it’s required by FINRA. Your boss actually has no say in this matter. He or she is just following the rules.
Secondly, aside from being able to do your job as a financial advisor representative, or a registered representative, you might learn more than you did at college. Most finance, or corporate finance courses in college don’t cover the broad range of topics covered in the Series 7 exam.
The amount you will learn is likely going to be more than you’ll ever need to know. After all, almost none of our students are likely to go on working with Options, although it is extensively tested.
That said, if you’re with a big potential customer, and they are about to hire you to manage their entire net worth, but first want to know what the difference between mutual funds and ETFs, you want to be able to answer that question. Even if you never plan to invest in one yourself, knowing (and understanding) a wide range of financial products adds credibility.
Job Security
Another reason why you may want to take (and pass!) the Series 7 is for job security.
It might be hard for some people to hear, but the SIE Exam is about as basic as it gets when it comes to financial industry exams. Although the Series 7 Exam is not exactly rocket science, it is a significant step up from the SIE in difficulty.
Thus, a passing grade on the Series 7 Exam signals to employers that you are generally competent enough to pass a test that many fail. In fact, we’ve tutored students at a large reputable Wall Street firm where over half the class failed on its first attempt.
Completing the Series 7 Top-Off Exam is a big achievement. Combined with the Series 63 exam, or Series 66 exam, you become a very marketable individual in the financial services industry.
You Only Have to Pass It Once
Lastly, studying for a month or two is a small price to pay for what could be a long and fruitful career.
Many of our students have gone on to various careers in investment banking, equity research, financial advisory, and brokerage. If you plan to have a career in financial services (especially with a broker/dealer) then you can rest assured that you only have to pass this exam once.
Caveat: If you leave the industry for over two years however, your license expires.
If you stay in the industry for your whole career, you only need to take “continuing education” exams to keep your license up-to-date. These continuing education exams require no studying, and are significantly easier (way, way, way easier) than the actual Series 7 exam.
In a nutshell, for a little work now, you get a license that will set you up for a lifetime in an exciting career. For some tips on how to pass, we have plenty. Reach out if you need help, or check out our Series 7 video course. In the meantime, good luck studying!