How Hard Is the Series 6 Exam to Pass?
Wondering about the Series 6 exam's difficulty? Get an in-depth look at its demands and effective strategies for a successful pass.
The Series 6 exam assesses the competency of financial professionals seeking to sell specific investment products. This examination is administered by the Financial Industry Regulatory Authority (FINRA). Passing the Series 6 allows an individual to register as a representative and sell:
Mutual funds
Variable annuities
Variable life insurance
Unit investment trusts (UITs)
Municipal fund securities
It serves as an entry point into the financial services industry for those focusing on these product types. To obtain this registration, candidates must also pass the Securities Industry Essentials (SIE) exam, which is a corequisite.
Understanding the Exam Content
The Series 6 exam content is outlined in FINRA’s Series 6 Content Outline, reflecting the knowledge and skills needed for the role. The exam measures a candidate’s understanding across four main job functions performed by an investment company and variable contracts products representative. These functions are weighted differently, indicating areas of greater focus.
The first function, “Seeks Business for the Broker-Dealer from Customers and Potential Customers,” accounts for approximately 24% of the exam. This section tests knowledge of broker-dealer operations, rules concerning public communications, disclosures to investors, and the offering of newly-issued securities. It covers methods for contacting customers and potential customers, along with related regulatory guidelines.
The second function, “Opens Accounts After Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives,” comprises about 16% of the exam. This part focuses on various types of brokerage accounts, required customer disclosures, and the process of building financial profiles. Understanding a customer’s financial situation and investment goals is central to this function.
The largest portion of the exam, approximately 50%, falls under the third function: “Provides Customers with Information About Investments, Makes Recommendations, Transfers Assets and Maintains Appropriate Records.” This section deeply assesses the ability to make suitable recommendations based on various client scenarios. It requires comprehensive knowledge of investment company products, including their characteristics, risks, and tax implications.
Finally, the fourth function, “Obtains and Verifies Customers’ Purchase and Sales Instructions; Processes, Completes and Confirms Transactions,” makes up about 10% of the exam. This area covers knowledge of order requests from customers, trade execution processes, and general rules for registered representatives. It also includes understanding how to process, complete, and confirm transactions accurately.
Exam Structure and Scoring
The Series 6 exam is administered via computer and consists of 55 multiple-choice questions. Of these, 50 questions are scored, while 5 are experimental questions. Candidates are not informed which questions are experimental, so it is advisable to treat every question as if it counts towards the final score.
Test-takers are allotted 1 hour and 30 minutes to complete the examination. The passing score for the Series 6 exam is 70%, meaning a candidate must correctly answer at least 35 out of the 50 scored questions.
There is no penalty for incorrect answers on the exam. Therefore, candidates should attempt to answer every question, even if unsure.
Effective Study Approaches
Preparing effectively for the Series 6 exam involves a structured and comprehensive study plan. Industry experts often recommend dedicating between 40 to 60 hours of focused study time to master the material.
Quality study materials include:
Comprehensive textbooks
Online courses
Video training classes
Flashcards
A structured study plan should involve setting a schedule and breaking down the material into manageable sections.
Practice exams are an invaluable tool for familiarization with the exam format and identifying areas of weakness. Taking practice tests helps reinforce learning and builds confidence. Reviewing incorrect answers helps understand underlying concepts and avoid repeating mistakes.
Active learning techniques, such as note-taking, summarizing key concepts, or even attempting to teach concepts to others, can enhance retention. When taking the actual exam, managing time effectively is important. Reading questions carefully and staying calm can contribute to a successful outcome.