The series 7 exam is a national certification that proves you have the knowledge and skills to work in a financial institution. Most banks, brokerages, and other financial institutions nationwide pass it.
If you’re thinking about taking this exam or already have your results in hand, here are some tips for studying for it:
What Is The Series 7 Exam?
The Series 7 exam is a licensing exam for those wanting to become investment advisers.
This exam is administered by the SEC and covers the topics of securities law, disclosure, and compliance with federal securities rules.
The purpose of this examination is to ensure that candidates have sufficient knowledge about how to comply with federal securities laws while also being able to advise on investments.
These investments are made by their clients in order to provide them with appropriate advice on whether or not they should invest their money in certain securities or assets.
Tips To Study For Series 7 Exam In 2023
Focus on Learning Concepts
The first step in preparing for the Series 7 exam is to focus on learning concepts.
It’s not enough to memorize terms and definitions; you need to understand why they are important and how they relate.
For example, if there is a question about taking equity investments in a company at various stages of its life cycle, then understanding this concept will help you answer the question correctly.
In addition, applying these concepts through real-world situations will give confidence that what was learned applies when faced with similar situations during practice exams or actual tests.
Take Series 7 Practice Exams
The best way to prepare for the Series 7 is by taking practice exams. Practice exams are a good way to assess your progress, identify strengths and weaknesses, and prepare for the real exam.
They can also help you ensure you understand the material before taking it on at home or in class.
The National Council of Real Estate Investment Firms (NCRIF), which sponsors this course, offers free practice tests online and offline versions that you can use anytime during the year.
If something specific about your work experience requires additional training beyond what was covered in class, then NCRIF’s website has other resources available.
Use Practice Questions To Measure And Improve Comprehension
You can use practice questions to measure and improve comprehension. Practice questions are a great way to identify areas where you need more study and those in which you’re already doing well.
For example, let’s say that after reviewing all of the information on the website, I want to see if I’m ready for the exam by taking one particular section of questions from Series 7 exams in 2023: “The Dividend.”
This section will ask ten questions about how dividends affect stock prices (and vice versa).
Since this is an area I’m not very familiar with yet but would like some more practice on before my exam day arrives, I’ll mark down which each question type gave correct answers.
Then once the testing period ends, go through each question type again using those same answers; compare those answers against what we’ve just learned so far.
Discuss why certain things happened based on what we know now versus what they originally said back then.
Use The Time Wisely, Don’t Waste It
Taking small steps over time is an excellent way to prepare for your Series 7 examination.
Don’t try to cram all at once. Don’t just do the first few questions and then stop studying until the test date rolls around.
The best way of keeping yourself motivated is by focusing on what you’re learning and why it’s important.
If you’re unsure where your strengths lie or have trouble remembering things from the class, ask someone else who has already taken this exam.
Focus on what matters most: learning how securities work within our economy so that you won’t have any problems understanding when the time comes.
Get Enough Sleep
Getting enough sleep is one of the key things you can do to ensure that your brain is firing on all ramifications.
Sleep is critical for concentration, memory, and learning new information. It also helps prevent illness and injury by clearing toxins from your body.
If you’re worried about falling asleep during class or exams or just want a good night’s rest, you might just need a nap.
Don’t Study Too Much; You Will Burn Out
You should never study for more than an hour or two at a time; even then, you should take frequent breaks.
It’s best if you can go somewhere quiet and do something unrelated to the exam: watch TV, read a book or magazine, listen to music, or do anything that will help keep your mind off.
Remember that the Series 7 Exam is four hours long with an hour break in between each section.
You might not feel like taking a break right now because everything seems so intense, but trust: don’t stress yourself out by trying too hard.
Take some deep breaths before heading back into class, then come back refreshed.
Be Realistic About Your Study Plan
You should also be realistic about your study plan. If you’re taking the Series 7 exam in 2023, ensure you have enough time and energy to study for it.
Don’t make any major life changes before taking the test, as this could affect how well you do on test day.
Eligibility and options should be your top priority as they form a large percentage of the exam.
The good news is that suitability studies force you to read about the products because you can only make investment recommendations if you know about the securities products.
A tutor can be a professional or a friend who has taken and passed the Series 7 exam. At the same time, you will increase your chances of getting good scores.
FAQ
How Long Does Series 7 Take To Study For?
When studying for the Series 7 exam, you should plan to study for 125-150 hours. Candidates usually study over 4-6 weeks. The amount of effort and time you need varies depending on your knowledge of the material.
Is Series 7 Hard To Pass?
With 125 questions to be answered in a few hours, the Series 7 exam is considered the most difficult of all securities licensing exams. The minimum score to pass is 72, which may not seem that difficult.
Can You Study For Series 7 In A Week?
Most financial institutions will give new hires Series 7 study materials and encourage them to set aside approximately 1 week of dedicated study time. In fact, test takers should spend a huge amount of time, close to 120 hours, of which at least 20-30 hours should be devoted to practice exams and questions.
How Many People Passed The Series 7 The First Time?
About 6.5 out of 10 people, or 65%, pass the Series 7 exam on their first attempt. The first pass success rate for the Series 7 has hovered between 60% and 70% over the last few years.
What Is The Series 7 Pass Rate?
On average, the pass rate for the Series 7 exam is around 65%. In comparison, about 86% of candidates pass Series 63 on the first attempt.
Why Do People Fail Series 7?
Some test takers fail the Series 7 exam because they spend too much time reading and memorizing calculations and concepts.
Does Series 7 Have A Lot Of Math?
How many math questions are there on the Series 7 exam? The exam usually has less than 10 math questions, but they are likely to be detailed and require multiple steps. A math question can also involve fitness.
How Many Times Can You Fail Series 7?
A candidate can take the Series 7 exam as many times as they like.
Does Your Series 7 Ever Expire?
Expires only if you are terminated or leave the firm and do not find employment within two years at another FINRA member firm or SRO
How Much Do Series 7 Holders Make?
As of January 30, 2023, the average annual salary for a Finra Series 7 in the United States is $74,143 per year.
Conclusion
We hope this guide has helped you gain knowledge on how long it will take to study for the series 7 exam in 2023. Remember that the exam itself is not the hardest part of this process.
Finding the time and energy to study between your day job and other commitments is the most challenging part.
If you are still unsure whether you are up for it, we recommend sitting down with a friend or family member who could give you some perspective on what’s involved in passing this test.
