Can I Switch from Series 6 to Series 7?

If you’re a licensed Series 6 holder, you may be wondering if you can switch to the Series 7 license to expand your role in the securities industry. The answer is yes, but the process requires you to pass the Series 7 exam, as the two licenses cover different areas of the financial services industry.

Differences Between Series 6 and Series 7

• Series 6: The Series 6 license, also known as the Investment Company and Variable Contracts Products Representative Exam, allows you to sell mutual funds, variable annuities, and other investment products that are classified as packaged securities. This license is typically held by individuals working in roles like mutual fund sales or insurance sales.
• Series 7: The General Securities Representative Exam (Series 7) allows you to sell a broader range of securities, including stocks, bonds, options, and municipal securities. It provides you with more flexibility and opens up more opportunities in the financial industry, including the ability to trade in most types of securities.

Can You Transition from Series 6 to Series 7?

Yes, you can transition from Series 6 to Series 7 by following these steps:

1. Meet Eligibility Requirements:
   • To sit for the Series 7 exam, you must first be sponsored by a FINRA-member firm. This is true even if you already hold the Series 6 license.
   • Some firms may allow you to take the Series 7 exam while you’re employed, or you may need to apply to take the exam on your own.
2. Study for the Series 7 Exam:
   • Unlike the Series 6, the Series 7 exam is more comprehensive and covers a wider range of securities. You will need to invest time in studying the material to fully prepare for the exam. The topics will include:
     • Equity securities
     • Debt securities
     • Options trading
     • Regulatory requirements
     • Investment banking
   • You may want to take a preparation course to ensure you’re well-prepared for the exam.
3. Take and Pass the Series 7 Exam:
   • The Series 7 exam is a 6-hour exam with 125 multiple-choice questions. It is divided into two sections:
     • Section 1: The first section covers topics like securities and market regulations.
     • Section 2: The second section focuses on different types of securities and their transactions.
   • You must score 72% or higher to pass the Series 7 exam.
4. Maintain Your Series 6 License:
   • While the Series 7 will allow you to perform a wider range of securities activities, you may continue to maintain your Series 6 license. However, once you have passed the Series 7 exam, you’ll be qualified to engage in all the activities that the Series 6 license covers, along with more advanced investment products.

Conclusion

Switching from Series 6 to Series 7 is absolutely possible, but it requires passing the Series 7 exam. The Series 7 will expand your career opportunities and allow you to work with a broader range of securities. If you’re ready to take the next step, begin by reviewing the Series 7 exam materials and preparing for the test with the guidance and resources offered by FINRA or your employer.

At Finra Exam Mastery, we offer expert-led Series 7 preparation courses to help you make the transition smoothly. Sign up today to get started on your path to advancing your financial career!