SERIES 6 EXAM ASKS QUESTIONS ON PROSPECTUS REQUIREMENTS

The Series 6 exam asks questions on an applicant's knowledge of the process for bringing new issues to market, This topic includes requirements to give copies of the new-issue prospectus to purchasers or prospective purchasers. It also includes knowledge of the preliminary prospectus and the timeliness of information.

The Series 6 exam tests applicants on their knowledge of providing a prospectus to persons purchasing mutual funds. Applicants must also have working knowledge of the process for bringing new issues to market, including the requirement to use due diligence and give full disclosure.

Applicants must be familiar with preliminary prospectuses, underwriting agreements, selling group agreements, and blue-sky laws regarding new issues.

The Series 6 exam tests applicants on their knowledge of the difference between prospectuses and official statements, the latter being used for new issues of municipal securities.

Make sure that you are familiar with these topics before you sit for the Series 6 exam. You can find these topics listed in FINRA's Content Outline for the Series 6 exam under paragraph 1.2.

Here is the link to FINRA's Content Outline for the Series 6.

Bob Eder's book is available from Amazon in both paperback and Kindle e-book versions. 

Here is the link to Bob Eder's book, Study for the Series 6 Exam, on Amazon.

Bob Eder received his Juris Doctor (J.D.) degree from the University of Utah, Quinney College of Law in 2001.

SERIES 6 EXAM CONTAINS 12 QUESTIONS ON SEEKING BUSINESS FROM POTENTIAL CUSTOMERS

FINRA publishes a Study Guide for its Series 6 exam covering investment companies and variable contracts. Section One  is entitled "Seeks Business for the Broker-Dealer from Customers and Potential Customers." Section One exam questions therefore constitute 24 percent of the Series 6 total questions.

Section One has two parts, 1.1 and 1.2. Part 1.1 covers important rules dealing with how a representative should engage in communications with retail customers. These rules cover written correspondence with customers whether in print or electronic format. Certain communications are considered to be aimed at retail customers as differentiated from institutional customers. FINRA has important rules about what a representative may say or not say. The rules also detail obligations to keep written records of these communications, and these records must show written approval by a registered principal of the broker-dealer and the date that the approval was given.

Bob Eder's Study for the Series 6 Exam devotes its Chapter One to rules governing communication with retail customers and runs for 24 pages. This chapter includes many examples and practice questions.

Make sure that you are familiar with these topics on communication with customers before you sit for the Series 6 exam. You can find these topics listed in FINRA's Content Outline for the Series 6 exam under paragraph 1.1.

Here is the link to FINRA's Content Outline for the Series 6.

Bob Eder's book is available from Amazon in both paperback and Kindle e-book versions. 

Here is the link to Bob Eder's book, Study for the Series 6 Exam, on Amazon.

Bob Eder received his Juris Doctor (J.D.) degree from the University of Utah, Quinney College of Law in 2001.