The Series 6 license is a credential in the financial and investment industries. It allows individuals to sell mutual funds, variable annuities, and insurance products. This expertise helps people to invest their money wisely and to save money for retirement. A person with the Series 6 license is an investment professional who works in a variety of companies.
Passing the Exam
The official name of the Series 6 license is the Investment Company/Variable Contracts Products Limited Representative license. For individuals who want take the licensing exam, they have to have a sponsor. In most cases the sponsoring company is the individual’s employer.
There are many ways to study for the exam. There are books, DVDs, online courses, and classroom instruction. Many sponsoring companies offer on-site training for employees scheduled to take the exam. Topics covered in the coursework are mutual funds, retirement planning, variable annuities, insurance products and taxation law. FINRA (Financial Industry Regulatory Authority) administers the exam through testing centers. The exam consists of 100 questions. A passing score is 70. Once a person passes the exam, he registers with FINRA as a limited representative. As a limited representative he is limited in what he can sell. Unlike a stockbroker, a limited representative cannot sell stocks, bonds or other securities.
A person with a Series 6 license has several job opportunities available. Since he needs a FINRA-member company to sponsor the exam, his first job as a licensed investment professional is with the company he is already working for. However, once a person has the license, he has many more options.
After studying for the exam, a representative has a better idea of what types of investments he prefers to deal with. It may be mutual funds, annuities or insurance products. The limited representative can then look for jobs that allow him to focus on selling these investment instruments.
There are several hundred mutual fund companies available. There is also a large number of insurance companies. Financial planners may employee those with a Series 6 license. Large brokerage houses that sell mutual fund or annuities are another choice. For representatives who enjoy writing, there are many investment publications that prefer to hire writers with licenses. Book publishers also seek writers with expertise to ghostwrite entire books or chapters of books.
For individuals with a Series 6 license, there are many career paths available. Many companies want licensed professionals who are knowledgeable and trained in mutual funds, annuities and insurance products.