The Series 63, 65 and 66 exams are getting a facelift. The North American Securities Administrators Association announced the exams, which are administered by FINRA, are receiving updated content around topics such as social media and cybersecurity.
NASAA, along with its testing partner Prometric, said Thursday it wrapped up a yearlong review of each test. Based on feedback from over 1,000 industry participants, as well as regulators, NASAA decided to make changes to the content and structure of the exams. The changes will go into effect on July 1, 2016.
While NASAA reviews and updates exam questions on an annual basis, the last significant update was in 2010, spokesman Bob Webster said. “Based on this review, NASAA updated the test specifications for each exam to better reflect the skills and knowledge needed by broker-dealer agents and investment adviser representatives in today’s financial industry,” he added.
- Minimized content related to RIA regulation, more focus on definitions
- Increased emphasis on advertising and correspondence, including social media
- Added cybersecurity and data protection topics
- Adjusted number of questions per topic area, but overall it is still 60 questions and you need a 72 percent to pass the test
- Updated the types of securities discussed to include more on asset-backed securities, resale restrictions, private funds and certain valuation methods
- More emphasis on different types of investments, including pooled investment vehicles
- Updated alternative investment section
- Reduced focus on broker-dealer registration and regulation
- Added increased emphasis on advertising and correspondence, including social media
- Added cybersecurity and data protection, custody obligations; and anti-money laundering topics
- Slightly adjusted the weight of some questions and shifted the number of questions in each topic
- Maintained 130 question total and a passing score of 72 percent (94 correct responses)
- Restructured content areas and combined others to increase clarity
- Expanded content around alternative investments
- Expanded areas touching on client type and ownership, as well as estate planning techniques.
- Added information around exempt reporting advisors and private fund advisors
- Increased focus on broker-dealer agent and investment advisor representative supervision
- Added increased emphasis on advertising and correspondence, including social media
- Added cybersecurity and data protection, custody obligations; and anti-money laundering topics
- Maintained 100 questions overall, but reduced the total number of correct responses required to pass to 73 out of 100; down from 75
Under the new price structure that went into effect Jan. 1, 2016, the Series 63 exam costs $125, the Series 65 exam costs $165 and the Series 66 exam costs $155.
