How do you get a Series 6?

May 22, 2007

  1. Guest
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    Guest Guest

    Do you have to be sponsored by a company before you can take the test, or even a class?

    Can anyone recommend good online (or in-person) classes to take?

    How long does it take the average person to study for this? How 'hard' is it? Is the exam easier/shorter than the more comprehensive 7? Would it be better to invest the time in getting the 7 (ie. same effort is expended so why not get the better license?)

    Is a "registered rep" a series 6 or is that title reserved only for a holder of the 7?

    Thanks,
    Al
     
    Guest, May 22, 2007
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  2. arnguy
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    arnguy Guru

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    That reminds of someone who asked Heifitz, "How do you get to Carnegie Hall?" His answer was "practice, practice, practice.":D Sorry, Al, I just couldn't resist getting that in.
     
    arnguy, May 22, 2007
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  3. Agent
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    A Broker Dealer must sponsor you to sit for the series 6 or the series 7. To prepare for these exams you do not *need* to be with a BD you just order the materials (to find out what is the best self study material I would check out the Registered Rep forums at http://forums.registeredrep.com).

    Classes are VERY expensive, comparatively; the classes people take are cram classes, 5 days long and review what you have already self studied (I think these are around 700 bucks.

    The registered rep title is not reserved for the 7 the series 6 holder (which I am) is also a registered rep.

    The series 6 test is 2 1/2 hours if I remember correctly the series 7 is 8 or something like that...it's considerable longer and obviously, because holding the license will allow you to trade stocks among other things, is harder both to study for and test.

    If all you want to ever work with is UIT's and MF's then you could go with the 6 however, I would do the 7 even IF all you want to do is MF's because you will understand ALL investments and how they complement or poorly contribute to the overall client’s portfolio.

    Study time is roughly 3-4 weeks for the 6, and about 2-3 for the 65 (which you will need in addition to the 6). The series 7 is about 2-3 months and 3-4 weeks for the 66.

    If you remember things well then maybe you could do it much sooner however, if you spend 3 hours a night the above numbers should reflect the time needed.

    If you are Indy, then I would check out Indy Insurance Broker Dealers. Such as The O.N. Equity Sales Company, or MTL Equity Products. Remember, most BD's have an annual production minimum to remain with them. On the low end (the ones above included) 20k all the way up to 120k GDC such as LPL. The good thing about Insurance owned Bd's is often they will waive the BD requirement if you write that amount in fixed business with their insurance company.

    Quest Capital is an Indy BD that will sponsor you for a fee and has no min production. I don't have much info on them though I have read from other advisors/brokers that it was a great place to get sponsored to get licensed and sell until they built their production up enough to move to another BD. Their website is http://www.qcwelcome.com/index.aspx (You won’t get much support/training from this type of set up though which I think is important in the securities side of things).

    Best of Luck,
    Nak4Life
     
    Agent, May 22, 2007
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  4. TheSalesWolf
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    TheSalesWolf Super Genius

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    Study and Pray...
     
  5. joshril
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    joshril Guru

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    The securities licenses are overrated and easy to pass... there is much more money in insurance than securities unless you have a ton of assets under management. Honestly, the fees you pay as an indy to transfer your licenses and all the red tape with compliance makes it hard to justify the commissions you are looking at with most broker/dealers.

    Of course, it's totally up to you, but what is your reasoning for wanting to become a RR (registered rep)? You are welcome to PM me. I have shopped all the broker dealers I could locate info on and have some price structures and tips I would be happy to share with you in private.
     
    joshril, May 22, 2007
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    Fair question. There is a (captive) company called Modern Woodmen of America who has made me an offer. They sell everything under the sun (except major med)... life, annunity, LTC, mutuals, stocks, bonds, etc. One of the requirements is that within a year (with their training) I get at a minimum 6 and 63 or at best a 7.

    I've not decided... I've not even come close to deciding... as it would be a major paradigm shift for me. However I wanted to get an idea of how hard it would be to study for and pass the exams.

    Why am I interested? Well for three reasons. First, at my age (59) most "top tier" companies that I'd be interested in (Met, NYL, etc.) won't look once, much less twice at me. They want young guys/gals to start a career and stay for 30 years... and I don't blame them... although I think it is a rather short-sighted approach. MWA has a different 'tutde' about age/service/background, etc. They don't give a damn about my age. With them it's all about conviction, committment, and ability.... at least that's how it looks to me so far.

    Second if MWA not work out, perhaps I will want to go down the Edward Jones path and open my own office? I have the personal assets to do that. I'd need a 7 for them as well (obviously)

    Third, no one wants health care. They gotta have it, but they don't want to be involved with it, they don't understand how the product works and find it too complex (for the most part.) However people DO want to make money, or at least conserve the money they have. Tens of millions of people my age (boomers) are not only getting 401K and other retirement money, but they are also coming into serious inheritances from their parent's estates. There is a growing need (a perfect storm?) for financial advisors... maybe even for some with a bit of gray hair and with a little bit of 'life experience' behind that gray hair.

    Or maybe I'm wrong.

    Thanks,
    Al
     
    Guest, May 23, 2007
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  7. salpro22
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    Prior to getting involved with insurance I contemplated becoming a financial planner and Edward Jones was at the top of my list. Ameriprise, Edward Jones, etc. all have their pros/cons, although I must admit the training, support and incentives with Edward Jones were the best (at least in the CT/MD market) I found. Let us know how it goes. If you come across some really kick-ass training material, I would appreciate it if you share it my way. I plan on looking over training material for the various series licenses for fun in the fall and could use some recommendations on books.
     
    salpro22, May 23, 2007
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  8. Agent
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    Al, the securities business is difficult to make money at, much more so than insurance IMHO. Realize that any wirehouse such as Ed Jones are primarly interested in is AUM (assets under management) and alot of it. If you have a nak4securites (sorry couldn't resist) then go get em'.

    Being that your 59 and can naturally relate (closer to their age group) to all those baby boomers that will soon be retiring, why don't you focus your agency in retirement planning ie.. Annuities, LTC Estate planning with life insurance?

    You don't need to go to ED Jones for that.

    BTW, seriously consider AG Edwards if you are thinking about joining a wirehouse in the end. Rep's speak very well of them.

    The Registered Rep forum is the forum to seek, find and ask anything about the securities business.

    Nak4Life
     
    Agent, May 23, 2007
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  9. Guest
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    Yeah, I really wasn't looking to be a stockbroker or to market/sell any kind of high-risk product. I was looking at only safe-money vehicles such as life and fixed or fixed-indexed annuities. I'd also be interested in LTC.

    I'll leave the variable stuff to younger guys who have a stronger stomach for risk than I do. I lost $300K in the dot-com bust... I'm not going down that street again.

    For what I want to do, I don't see why I'd even need a 6 or 7 license, but it's one of the 'action-items' that MWA require the first year (according to the literature they gave me. Perhaps I can get a 'bye.')

    At this point I don't know what I don't know... except that I don't see as good a future in health care ins. as I do in retirement and estate products.

    One 'sticking point' will be what MWA will and won't let me sell. They don't sell health so maybe they will let me keep those appointments. I'm still in the very first steps of dealing with them. I passed the LIMRA/Excel (http://www.exseltoolkit.com/) thing I took today. The reading comp section was easy, but the math and word-association sections were much harder than I had expected. There will be several more interviews before either MWA or I are satisfied that there is a match. I like a company that does a careful screening. I think it shows that they plan to invest some training and support in the candidate and want to make sure they get a good match. (Or I could be wrong!)

    Al
     
    Guest, May 23, 2007
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  10. Winter_123
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    The series 7 is many, many times harder than the 6. Even if one thinks that all securities exams are easy, it is a simple fact that almost half fail the exam for the 7 and half taking it are taking it a second time. Doesnt mean that it is rocket science but you do need to have a plan for studying for it and there is a lot of material. The 6 is easily doable but you have to study for it. It is probably a little harder than the insurance exam but if you put in the time you will pass. Lots of people put in major time with the 7 and do not pass. I read here the other day about some people taking the insurance exam several times before passing. They should not even consider taking the 7. The series 6 will serve you well though. You can sell mutual funds but not individual stocks.

    The thing that does not occur to you at this point is that once you become security licensed, you enter a whole new world of compliance and your broker dealer is responsbile for supervising all aspects of your business, including the fixed insurance side of any companies that you are licensed with even if it is not your broker dealers company. Unless you are really doing some securities business, it can really crimp your business style if your primary focus is insurance. They have to approve *everything*. Business cards, correspondence, advertising, etc. etc. If you are just insurance licensed and want to do a mailing program or place an ad in the paper you can just go ahead and do it provided that it is not deceptive in any way. Once you become securities licensed then you have to have prior approval by the B/D's compliance department (a/k/a/ the Sales Prevention Group) which will often take months and it will come back so watered down and reworded that it is useless. It may or may not be worth it but getting the license is only half of the picture. Living with it is another thing. At times you will feel like you went into this business to be independant but are essentially an employee answerable to the NASD for every move you make. On the other hand, if you are doing significant securities business, then it all may be worth it.

    Winter
     
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