Individuals who would like to pursue a career as stockbrokers or security traders must pass the series 63 exam. The Financial Industry Regulatory Authority (FINRA) administers this examination on behalf of the North American Securities Administrators Association (NASAA). After successfully passing the examination, you are qualified to trade securities in all states. The examination consists of 65 multiple choice questions which must be completed within 75 minutes. Since January 2010, candidates must score at least 72 percent in order to pass the exam. It is important for candidates to prepare thoroughly before sitting for the exam. The following guide will take you through the most important series 63 exam prep steps.
There is no shortcut to success other than taking up a training course to prepare you for the exam. This will help you get to grips with the question and answer format that is used. Consider a candidate who has never taken the time to undergo extensive training. It is likely that such a person will not be able to answer the multiple choice questions within the given time. Remember, you have 75 minutes to answer 60 questions. A simple calculation reveals that you have an average of one minute and 15 seconds to clear each question. Taking too much time to answer a single question will cut down the time you have for other questions. Constant practice will help you perfect strategies for handling complex and difficult question structures. NASAA was set up to protect the public against securities fraud. It would be suicidal for a candidate to ignore this factor while preparing for the exam. A closer look will reveal that series 63 exam prep should consider the following categories seriously.
• Business practices. Includes questions on fraudulent activities which account for 35 percent of the exam.
• Registration of persons. This is important because 30 percent of the exam questions are based on this segment.
• Registration of securities. You cannot ignore this section as it accounts for 25 percent of all questions.
• Administrative provisions. 10 percent of the exam will be based on this topic.
Create a Study Plan
Many people get anxious and stressed as the exam nears. This will happen if you fail to create an effective study plan way before the exam. Your study plan should take into account how much you need to cover, available time, exam format, and performance target. There are various strategies that have been used with success over the years. It is advisable to create summary notes of all topics that you have covered so far. These will help you retain a lot of information as well as stick to the key terms and concepts. You can also make flashcards to be used in memorization. This is a further reduction of your summary notes and should include important keywords, concepts, formulas, and bullet points. Using flashcards will act as a memory trigger and enhance recalling information.
Do not neglect yourself during the series 63 exam prep period. Make sure that you rest well and take plenty of fluids. You can improve your chances of passing the exam by taking a training course from ABTrainingCenter.com.