Series 65: Introduction

Introduction

The Uniform Investment Adviser Law Examination, also known as the Series 65, has a formidable reputation for a reason: it is the exam that qualifies individuals to give investment advice for a fee. The organization that creates the test—the North American Securities Administrators Association, or NASAA—works to protect investors in every state, territory, the District of Columbia, Canada, and Mexico. Requiring investment adviser representative candidates to pass the Series 65 is a key tool in the NASAA’s investor protection arsenal. Regulators want to make sure people who are giving investment advice in their state or jurisdiction are competent and will behave legally and ethically. Humans being humans and greed being greed, this is no small order. For you, it means the exam is not easy. NASAA expects you to know about economics; financial reporting; quantitative methods; risks; cash investments; fixed income; equities; pooled investments, such as mutual funds, ETFs, and REITs; derivatives; alternatives; annuities and other insurance-based investments; client types; client profiles; capital market theory; portfolio management; taxes; retirement plans; ERISA; special accounts, such as college savings plans; trading securities; performance measures; state and federal securities acts and regulations; and ethical practices and fiduciary obligations. The Series 65 does not contain sections that are much bigger or weigh more than others (options on the Series 7, for example). This