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Series 65 or Series 66

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Dec 29, 2010 1:28 am

I am planning to be an independent RIA in Missouri. I came to know that I need to write series 65 and series 7. Would you recommend to write series 7 and series 65 or series 7 and series 66? Any recommendation to go with Kaplan or Pass the 65?

Initally I will be have having less 20 clients managing their funds and AUM will be less than 1MM. Any recommendation on fee structure. I am also currently a CFA level 3 candidate. I am planning to open this RIA using deep value strategy

Any advice will be greatly helpful

Dec 29, 2010 4:13 am

drk, my thoughts would be to take the 66 which is inclusive of the material in both the 63 and 65.  In fact, most of the firms now just recommend everyone take the 66 as well.  You may feel the 65 is a bit easier, but being a Level III CFA candidate, I can't imagine you're going to have issues with the 66.  It's filled with legalese and double-negatives, so it's a bit tricky, but you should be fine.

Also, why go the RIA route instead of an IAR under a B/D's RIA given the assets you will initially manage?  I'm assuming you meant 20 clients at $1 mm EACH?  If it's less than $1 mm in TOTAL AUM, you'll need to prospect for more clients ASAP.

Dec 29, 2010 4:52 am

I thought for 66, you need to clear series 7. But for series 7, don't you need a sponsorship for B/D? That's why I am in a dilemma. With out a sponsorship, how can you get series 7?

The reason I did not go under a IAR route through a B/D is, you need to sell their stuff which sometimes do not fit into my philosophy of deep value investing. The total AUM is less than $1MM initially as I am planning to build a public track record. I am also very picky of which clients I want to serve as I want to have investors who typically have 2-3 yrs time frame (Which is very rare these days)