❌ Common Mistakes on the Series 65 Exam (and How to Avoid Them)

The Series 65 Exam, required for individuals who want to become licensed Investment Adviser Representatives (IARs), tests more than just financial knowledge—it challenges your understanding of ethics, law, portfolio theory, and client suitability. Many candidates fail not because they don’t study, but because they overlook key pitfalls.

Here are the most common mistakes on the Series 65 exam and how you can avoid them.

📉 1. Underestimating the Legal & Ethical Content

🔻 The Mistake:

Many candidates focus only on investments and skip detailed review of Uniform Securities Act rules, fiduciary duties, and adviser registration requirements.

✅ Fix It:

• Study state law, Form ADV, and fiduciary responsibility scenarios thoroughly
• Pay attention to exempt vs. excluded securities and transactions

🧮 2. Ignoring the Math

🔻 The Mistake:

Avoiding questions involving formulas (e.g., alpha, beta, correlation, present value) due to fear of math.

✅ Fix It:

• Memorize key formulas and practice quick calculations
• Use flashcards for formulas like Sharpe Ratio, time-weighted returns, and CAPM

💬 3. Misreading Suitability Questions

🔻 The Mistake:

Jumping to answers without fully analyzing the client’s risk profile or time horizon.

✅ Fix It:

• Read the full client scenario carefully
• Highlight key words: “income-focused,” “risk-averse,” “short-term goal,” etc.
• Eliminate answers that clearly mismatch the client’s needs

⏱️ 4. Poor Time Management During the Exam

🔻 The Mistake:

Spending too much time on the first 20 questions and rushing the rest.

✅ Fix It:

• Aim for 1 minute per question (130 questions in 180 minutes)
• Flag hard questions and return later
• Don’t leave any answers blank—there’s no penalty for guessing

📚 5. Relying on One Study Resource

🔻 The Mistake:

Only reading a textbook without using question banks, videos, or simulations.

✅ Fix It:

• Use multiple learning formats: video, audio, quizzes, practice exams
• Take full-length mock exams under timed conditions
• Review explanations for both right and wrong answers

🔄 6. Failing to Review Weak Areas

🔻 The Mistake:

Avoiding difficult topics like options, ERISA, or taxation, hoping they won’t show up.

✅ Fix It:

• Use diagnostic tools to track performance
• Revisit low-scoring topics regularly
• Focus on mastering 25–30 core topics, not just what feels easy

✅ Pass Smarter, Not Harder

Avoiding these mistakes can give you a significant edge. Build a study routine that includes practice, review, and application, not just reading.

Start with a structured Series 65 course and full prep tools at:
finra-exam-mastery.com