Series 65 and NASAA – What You Should Know

🏛️ Series 65 and NASAA – What You Should Know

The Series 65 Exam, formally known as the Uniform Investment Adviser Law Examination, is directly developed and maintained by NASAA—the North American Securities Administrators Association. To pass the exam and become an Investment Adviser Representative (IAR), it’s important to understand NASAA’s role and how it shapes the content and structure of the Series 65.

📘 What Is NASAA?

• 🌍 NASAA is a voluntary association of state, provincial, and territorial securities regulators from the U.S., Canada, and Mexico
• 🏛️ Founded in 1919, it is the oldest international investor protection organization
• 🎯 Its mission: Protect investors and promote fair, efficient, and informed capital markets at the state level

📜 NASAA and the Series 65 Exam

• NASAA designs and updates the Series 65 Exam
• The exam focuses heavily on state securities laws, ethical practices, and fiduciary standards
• Unlike FINRA exams (e.g., Series 7), Series 65 is state-level and does not require firm sponsorship

📊 Series 65 Content Influenced by NASAA

The exam is structured based on NASAA’s outline and regulatory priorities. Topics include:

• ⚖️ Laws, Regulations, and Guidelines – State registration requirements, exemptions, anti-fraud rules
• 🧠 Ethics and Fiduciary Duty – Acting in the best interest of clients, avoiding conflicts of interest
• 📈 Investment Recommendations – Suitability, portfolio construction, client objectives
• 📉 Economic and Financial Concepts – Interest rates, business cycles, monetary/fiscal policy
• 📊 Investment Vehicle Characteristics – Mutual funds, annuities, REITs, derivatives

🧾 State Law vs. Federal Law

• The Series 65 emphasizes state law, particularly the Uniform Securities Act (USA)
• Test takers must understand how state-level registration differs from federal regulation
• Key areas:
  • IA and IAR registration
  • Broker-dealer vs. investment adviser obligations
  • Advertising, custody, and disclosure rules

🧠 Common NASAA-Focused Scenarios on the Exam

• Whether a firm must register under state law
• What documents must be disclosed to clients
• When discretionary authority requires written consent
• How to handle unethical behavior or client complaints

📝 Why NASAA Matters to Your Career

Understanding NASAA is not just helpful for passing the exam—it’s vital for your role as a trusted adviser. Most client interactions fall under state jurisdiction, and NASAA regulations are the foundation of compliance, ethics, and investor protection.

🚀 Study Smarter, Not Harder

Get familiar with NASAA’s role and the legal framework behind the Series 65. The better you understand the source of the rules, the easier it becomes to master the exam.

👉 Explore Series 65 Prep Resources

Know the regulators. Understand the law. Pass with confidence.