Prepare for your Series 65 test with the Series 65 Study Guide

Get started studying for the Series 65 Test with Series 65 Flashcards

The Series 65 test, also known as the Uniform Investment Adviser Law Examination, is a challenging and comprehensive assessment for men and women who want to enter this exciting and rapidly growing field of finance. This exam consists of 130 questions, 10 of which do not contribute to the final score but are pretest questions, used to develop future versions of the exam. The exam must be completed within 180 minutes.

The standards for the Series 65 test are high. In order to pass, candidates must answer at least 72 percent of the questions correctly. Scores are available immediately after completion of the exam.

The Series 65 test has four main content areas:

1. The economic factors and business information content area (19 items, 14 percent of the test) covers basic economic concepts, financial reporting, quantitative methods, and types of risk.
2. The section on investment vehicle characteristics (31 items, 24 percent) addresses cash and cash equivalents, fixed income securities, the methods used to determine the value of fixed income securities, equity securities, the methods used to determine the value of equity securities, pooled investments, methods used to determine the value of pooled investments, derivative securities, alternative investments, and insurance-based products.
3. The Series 65 test content area on client investment recommendations and strategies (40 items, 31 percent) covers types of clients, client profiles, capital market theory, portfolio management styles and strategies, portfolio management techniques, tax considerations, retirement plans, ERISA issues, special types of accounts, trading securities, and performance measurements.

The laws, regulations, and guidelines section, including Prohibition on Unethical Business Practices (40 items, 3 percent), reviews state and federal securities acts and related rules and regulations, and ethical practices and fiduciary obligations.

Series 65 Test Practice Questions

1. How does a change in the money supply affect the prime interest rate?

a. An increase in the money supply leads to an increase in the prime interest rate

b. A decrease in the money supply leads to a decrease in the prime interest rate