Passing the Series 7 exam is essential for launching a successful career in the securities industry. The key to success in this exam is practice, and the most effective way to prepare is by continuously testing yourself. This course offers a series of timed practice exams that replicate the exact format, topics, and timing of the actual Series 7 exam. After each practice test, you'll receive immediate feedback with detailed explanations of your answers. You can retake the tests until you achieve a perfect score, ensuring you are thoroughly prepared for the real exam.

This course is designed to help you maximize your score by improving your test-taking efficiency, accuracy, and speed. You will also learn strategies for handling the pressure of timed exams and tips for approaching difficult questions with confidence.

The Series 7 exam consists of 125 multiple-choice questions, which you must complete in 3 hours and 45 minutes, plus an additional 10 research questions that are not scored. The timed practice tests are designed to mirror these conditions, so you can gauge your progress and refine your approach.

Key topics covered in the exam include:

• Fiduciary Accounts

• Hypothecation

• Roth IRA

• Insider Trading

• Short Selling

• SIPC

• FINRA Code of Procedure

• Discretionary Brokerage Accounts

• Fannie Mae

• Certificates of Deposit

• SEC Act of 1934

• Cyclical Industries

• Short Interest Theory

• 401k Plans

• Foreign Mutual Funds

• New York Stock Exchange

• Combination Privilege

• Stock Split

• Margin Trading

• Benefits of Stock Ownership

• REITs

• Authorized Stock

• Company’s Net Worth

• Book Value vs. Market Value

• Stock Certificate

• Warrants

• American Depositary Receipt

• Dividends

Fiduciary Accounts

Hypothecation

Roth IRA

Insider Trading

Short Selling

SIPC

FINRA Code of Procedure

Discretionary Brokerage Accounts

Fannie Mae

Certificates of Deposit

SEC Act of 1934

Cyclical Industries

Short Interest Theory

401k Plans

Foreign Mutual Funds

New York Stock Exchange

Combination Privilege

Stock Split

Margin Trading

Benefits of Stock Ownership

REITs

Authorized Stock

Company’s Net Worth

Book Value vs. Market Value

Stock Certificate

Warrants

American Depositary Receipt

Dividends

You will get TWO high-quality practice exams to be ready for your certification


SAMPLE QUESTION:

Question:

All of the following occur when a customer exercises a call option EXCEPT:

The customer pays the strike price for the asset.

The customer buys the underlying asset at the strike price.

The customer takes delivery of the underlying asset.

The customer sells the underlying asset at the market price.

Answer: D.

Explanation:

When a customer exercises a call option, they have the right to buy the underlying asset at the strike price. They take delivery of the asset and pay the strike price for it. However, they do not sell the underlying asset at the market price. That would be a separate transaction. Exercising a call option is about buying, not selling.

Question:

Which TWO methods are commonly used to quote municipal bond prices?

I. Dollar price (percentage of par)

II. Discounted cash flow method

III. Yield to maturity (basis price)

IV. Net present value calculation

II and III

I and II

III and IV

I and III

Answer: D.

Explanation:

Municipal bond prices are commonly quoted in two ways: as a dollar price, which is a percentage of par value, and as a yield to maturity (basis price), which represents the bond's overall return if held to maturity. Discounted cash flow and net present value are valuation methods but not typically used for quoting prices. Therefore, I and III are correct.

Question:

A customer complaint involves a broker failing to disclose a conflict of interest. If improperly handled, what could be a consequence for the broker?

A warning letter

Required to pay a fine only

Suspension or termination

Mandatory re-training

Answer: C.

Explanation:

Mishandling complaints involving conflicts of interest can lead to disciplinary actions, including suspension or termination.

Question:

Rank the following technical indicators from shortest to longest in terms of typical time frames analyzed:

I. Intraday trend lines

II. Moving averages (50-day)

III. Moving averages (200-day)

IV.Consolidation periods

II, I, III, IV

I, IV, II, III

IV, I, II, III

I, II, III, IV

Answer: D.

Explanation

Arrange these technical indicators by their typical time frames. Intraday trend lines are the shortest, focusing on price movements within a single trading day. Moving averages (50-day) look at the average price over the past 50 days, a medium-term view. Moving averages (200 days) provide a longer-term perspective, averaging prices over 200 days. Consolidation periods, where prices trade within a range, can last for extended periods, making them the longest.

Welcome to the best practice exams to help you prepare for your FINRA Seris 7 exam.

• You can retake the exams as many times as you want

• This is a huge original question bank

• You get support from instructors if you have questions

• Each question has a detailed explanation

• Mobile-compatible with the Udemy app

• 30-day money-back guarantee if you're not satisfied

You can retake the exams as many times as you want

This is a huge original question bank

You get support from instructors if you have questions

Each question has a detailed explanation

Mobile-compatible with the Udemy app

30-day money-back guarantee if you're not satisfied

We hope that by now you're convinced!

Happy learning and best of luck with the FINRA Series 7 exam!