⚠️ Series 66 – Forgetting to Review State Laws

One of the most common reasons candidates lose points on the Series 66 exam is underestimating the importance of state securities regulations. Many test-takers focus heavily on federal laws and portfolio management — and then get caught off guard when detailed questions on state-level rules appear.

🧭 Why State Laws Matter:

• 🏛️ The Series 66 exam is administered by NASAA, not FINRA
• 📋 A significant portion of the test focuses on the Uniform Securities Act (USA)
• 📌 Topics include registration of agents and IARs, state filing requirements, exempt securities and transactions, and authority of the state Administrator

🔍 What You Might Overlook:

• ❌ The difference between broker-dealer and agent registration requirements
• ❌ When an investment adviser must register at the state vs. federal level
• ❌ Which transactions are exempt under Rule 147, Regulation D, or isolated non-issuer transactions
• ❌ The Administrator’s powers to issue cease and desist orders, subpoenas, or suspend registration

📘 Exam Tip:

Many of these questions aren’t simply definitional — they are scenario-based. You’ll need to analyze registration timelines, determine jurisdiction, and apply exemptions under pressure.

✅ How to Avoid This Mistake:

• 📖 Set aside dedicated time for state law review
• 🧠 Practice scenario-based questions that focus on state registration, enforcement, and exemptions
• 📄 Memorize core components of the Uniform Securities Act, including definitions, prohibited practices, and recordkeeping requirements

📥 Master State Laws for the Series 66

Don’t let the state law section catch you by surprise. Download our free Series 66 study resources and sample questions to strengthen your score where others fall short.

👉 Access the Series 66 Prep Tools at FINRA Exam Mastery