The Series 7 exam is your gateway to buying and selling a wide range of securities and offering investment advice. Passing this exam shows you have the skills and knowledge needed to work as a registered representative in the securities industry.
If you’re considering a career in securities sales, understanding the Series 7 is the first step. This guide covers what the test involves, who needs to take it, and how you can prepare to succeed. You’ll find clear answers to help you get started in this field.
The Series 7 exam is officially known as the General Securities Representative Qualification Examination. It assesses whether candidates have the knowledge to perform the core duties of a registered representative, also called a stockbroker. The test is required for professionals who want to buy and sell a wide range of securities in the US.
Passing the exam, along with the Securities Industry Essentials (SIE) exam, is necessary to obtain registration as a general securities representative.
Although sometimes referred to as a Series 7 license, it’s actually the exam that you need to qualify for registration. You’ll also need sponsorship from a FINRA-member firm to take the test. Once you’re registered, you can sell most securities, except for commodities and futures.
Series 7 also does not cover real estate or life insurance products. In most states, you also need to pass the Series 63 exam to meet state-level requirements for selling securities.
Investment adviser representatives don’t need to take the Series 7 exam unless they want to branch out to selling securities. Find out what qualifications are required in this guide on how to become a registered investment adviser.
The Series 7 exam tests your ability to perform the main job functions of a general securities representative. Each question relates to one of four key areas that reflect daily tasks in the securities industry.
Here’s a breakdown of the major job functions and how many questions you can expect from each area:
|
Function |
Number of items |
Percentage |
|
Seeks business for the broker-dealer from customers and potential customers |
9 |
7% |
|
Opens accounts after evaluating customers’ financial profile and investment goals |
11 |
9% |
|
Provides information about investments; makes recommendations, transfers assets, and maintains records |
91 |
73% |
|
Obtains and verifies customer purchase and sales instructions; processes transactions |
14 |
11% |
|
Total |
125 |
100% |
FINRA provides a complete content outline, which you can download for free.
The Series 7 exam is a computer-based test made up of multiple-choice questions. You will see 135 questions in total, but only 125 count toward your score. The rest are unscored pretest questions, which are mixed in at random and used by FINRA to test new questions for future exams.
Starting October 27, 2025, however, the number of pretest questions will be reduced from 10 to five. Answer every question as if it counts, since you won’t know which ones are pretest items.
You have three hours and 45 minutes to complete the exam. To pass, you need to get at least 72 percent or 90 out of 125 scored questions correct. The Series 7 exam is designed to measure your readiness for the daily responsibilities of a general securities representative.
Here’s an overview of the Series 7 exam format:
|
Total questions |
135 (125 scored, 10 unscored) |
|
Duration |
3 hours, 45 minutes |
|
Passing score |
72% (90 out of 125 scored questions) |
|
Question type |
Multiple choice |
|
Delivery method |
Computer-based |
|
Unscored questions |
5, randomly placed throughout the exam |
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The Financial Industry Regulatory Authority (FINRA) develops and administers the Series 7 exam. FINRA is a self-regulatory organization that oversees broker-dealers and licenses representatives, and enforces industry rules.
FINRA operates under the US Securities and Exchange Commission (SEC), which enforces federal securities laws and oversees both FINRA and the broader securities markets. While FINRA manages the exam process, the SEC ensures compliance with national standards.
For state-level requirements, the North American Securities Administrators Association (NASAA) is involved. NASAA creates exams such as the Series 63, 65, and 66, which may be required with the Series 7. It also handles state securities regulation.
Here’s a summary of each agency’s role:
|
Regulator |
Responsibilities |
|
FINRA |
Develops and administers the Series 7 exam; licenses registered representatives; enforces rules for broker-dealers |
|
SEC |
Provides federal oversight of FINRA and the securities markets; enforces broader securities laws |
|
NASAA |
Oversees state-level securities regulation; sets content for exams that often accompany Series 7 |
You must take the Series 7 exam if your job involves recommending, handling, or receiving payment for securities transactions for a broker-dealer. This applies to anyone who helps clients with buying or selling different types of securities, including:
Roles that typically need the Series 7 exam include:
If your work includes recommending investments, taking trade orders, or earning money from securities sales, you are required to hold the proper license. For most, this starts with passing the Series 7 exam.
There are also roles, however, that do not require the Series 7 exam. These include:
The need for this exam is based on your job duties, not just your job title. If your responsibilities match broker-dealer activities under SEC and FINRA rules, you will need this qualification. Always check your job description and daily tasks to know if the Series 7 applies to you.
Does your RIA still need Series 7? Find the answer in this GoRIA podcast hosted by our very own Chuck Failla.
To obtain general securities representative registration, you must pass the Securities Industry Essentials (SIE) exam and the Series 7 exam. These exams are co-requisites, so you can take either one first. The natural progression, however, is taking the SIE test first because it doesn’t require sponsorship.
Here’s a step-by-step guide on how to take the Series 7 exam:
You need to be linked to a FINRA-member firm before you can take the Series 7 exam. The firm must file Form U4, also known as the Uniform Application for Securities Industry Registration, for you. This filing starts your registration process and includes a background check as part of the application. Your firm also covers the exam fee, which costs $300 per attempt.
Most firms provide or pay for the necessary study materials, including online courses, practice exams, and guides. They also give test-takers time to prepare for the exam. Take advantage of these benefits.
When studying, focus on the four main functions of a securities representative, including product knowledge, customer account opening, information provision, and record-keeping.
Once your sponsoring firm has completed the necessary candidate information, FINRA will send you an email with instructions on how to enroll for the exam. Follow these to complete the process. You will also receive instructions on how to schedule your exam at a Prometric testing center. You will be given a 120-day window to do this. Schedule your appointment as far in advance as possible.
Go to the testing center to take the exam. You'll need to provide a valid government-issued photo ID with a signature, such as your driver's license or passport. It is recommended to arrive 30 minutes early to complete the check-in process. Staff will escort you to the testing room and provide any necessary materials like scratch paper and a calculator.
As mentioned, you need to get 72 percent of your answers right to pass. The results are displayed on your computer screen immediately after the test. If you pass, the report will state "pass,” but you won’t receive a numerical score. If you fail, the report will include a numerical score and details about your performance on each section of the exam. This helps identify your weak areas for future study.
You must wait 30 days before you can retake the Series 7 exam for the next two attempts. After the third failed attempt, you must wait 180 days to retake the exam. There are no limits to how many times you can take the test, but each attempt requires payment of the registration fee.
The Series 7 exam sets a high standard for professionals in the securities industry. It is recognized for its depth and difficulty, making it a key milestone for anyone looking to build a career in financial services. Passing the exam shows you are ready to take on complex responsibilities and serve clients with confidence.
Clients also trust professionals who have passed the Series 7 because it reflects strong knowledge and ethical standards. Holding this qualification shows your commitment to acting in your clients’ best interests and following industry rules.
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