The North American Securities Administrators Association (NASAA) offers the Uniform Investment Adviser Law Examination (known as Series 65). The assessment is for people who are working towards meeting the criteria to become an investment adviser representative.

Candidates are given three hours to complete 140 multiple-choice items on the Series 65 exam. Ten items are not used for the score, but are used as pre-trial questions for tests to be given in the future. The content of Series 65 is broken down as follows:

20 questions on economics and analysis, as follows:

• Basic economic concepts (4 questions)
• Recognize elements of a business’s financial records to settle on investment worth and show comprehension of quantitative ways of assessment (2 questions)
• Investments (7 questions)
• Recognize risks — includes definitions, market impact, businesses and individual investments (7 questions)

26 questions on investment vehicles, as follows:

• Assess cash and cash equivalents (2 questions)
• Assess fixed income securities (5 questions)
• Assess equity securities (7 questions)
• Assess investment company securities (5 questions)
• Distinguish derivative securities, including pros and cons (2 questions)
• Show that you comprehend distinctive aspects of international investing (3 questions)
• Show that you comprehend real estate partnerships and investment trusts (REITs) and variable annuities (2 questions)

39 questions on investment recommendations and strategies, as follows:

• Recognize and assess a financial profile and come up with an appropriate investment policy and plan (12 questions)
• Show that you comprehend portfolio management methods, styles, and techniques — includes fixed income and equities (8 questions)
• Show your familiarity with basic tax issues (5 questions)
• Identify kinds of retirement plans and associated issues (6 questions)
• Define basic terms and concepts of trading securities (4 questions)
• Calculate performance (4 questions)

45 questions on legal and regulatory guidelines, including prohibition on unethical business practices, as follows:

• Show your comprehension of pertinent securities acts and associated rules and regulations (20 questions)
• Show that you will use ethical practices and meet fiduciary responsibilities (NASAA Model Rule on Unethical Business Practices of Investment Advisers and Federal Covered Advisers, Uniform Securities Act, and Investment Advisers Act of 1940, Securities Exchange Act of 1934, Uniform Prudent Investors Act) (25 questions)

Candidates need a minimum of 89 items (or 68.5%) right to get a passing score. After the test is finished, candidates receive their scores right away.

Series 65 Exam Mutual Funds

Series 65 Exam Practice Questions