If you’re in Equity Research, chances are that you need to take the Series 86 Exam. If it’s seems like a daunting task, you’re not alone. I tutor many, many FINRA exams and this one is definitely the hardest, in my view. If you want to know how to pass the Series 86 Exam in 90 days or less, keep reading 🙂
How to Pass the Series 86? Get the Right Study Material
Every single one of my students uses Securities Training Corporation (STC) study material. In fact, I haven’t seen any other really good Series 86 study material offered. You also might be relieved to know that as a Series 86 tutor, I have never seen anyone fail the Series 86 Exam after I’ve provided them with tutoring services.
Side Note: By no means do I guarantee a pass, but I’ve had success with my students in the Series 86 so far! Overall, the official Series 86 exam pass rate is not published by FINRA, and is therefore unknown.
In terms of STC’s study material, I believe that their practice questions are much more effective than the textbook. Various online forums, and anecdotal conversations/experience have led me to this conclusion. The textbook is fairly thin, and the questions they offer on their practice quizzes online cover material not covered in the text. All of that said, the questions seem sufficient to achieve a passing grade!
Practice, Practice, Practice…Questions
Similar to my advice for CFA Exam studying, I recommend a heavy focus on practice questions. As mentioned above, reading alone won’t get you by. Take STC’s practice quizzes at least twice each. The first time through you should expect to score well below what’s required to pass. It’s the second (and quite possibly, third) time when the concepts should be sinking in. Since there is a limited set of questions keep in mind that you will likely memorize some of the answers. The combat this, I recommend that might students score in the 90%-plus range before they take the exam. I should note that this is the score you should eventually expect after having taken the exam multiple times.
Manage Your Time Wisely
You will notice that FINRA‘s Series 86 Exam includes very involved questions. Even when you get quick at answering questions, some can take as long as three to four minutes. On the flip side, there are others that will take you less than 20 seconds. You have 4.5 hours to complete about 100 questions. These leaves you a little over 2.5 minutes per question. Although this might seem like a lot, if you get stuck on two or three really long questions, you could find yourself crunched for time. Make sure to time yourself before you take the exam. Since your practice tests will be more familiar questions, leave yourself a margin of safety (aim to finish your practice questions at least 20 minutes before the 4.5 hour mark).
All in all, passing the Series 86 exam is achievable. If you’ve made it into a job in Equity Research you’re probably already a fairly competent individual. A little studying, and a lot of practice questions should help you on your way!