Businesses and small enterprises are having to find new ways to cope with the increasingly volatile markets and unpredictable economic downturns. The average debt taken by small businesses to deal with the effects of the pandemic has increased significantly, with approximately 70% drowning in debt.
Many of these companies may benefit through working with certified broker dealers to facilitate capital acquisitions, financial restructuring, asset sales, or mergers and acquisitions. However, investment bankers have to sit for broker dealer exams before receiving licenses to offer any financial or investment advice.
Here are five tips to help you pass your broker dealer exams
1. Find the Right Broker Dealer Sponsorship
All FINRA top-off exams require that an active member of the organization sponsors your application for broker dealer exams. The sponsor fills out your FINRA Form U4 for the application and also pays for your examination fees. The application may require your personal information, professional designation, employer history, current, and past addresses. Submitting the form U4 to the central registration depository (CRD) opens up a 120-day window for the candidate to sit for the FINRA broker dealer exams.
2. Understand the Testing Procedures
Opening the examination window may take approximately two or three days, depending on how quickly the certified broker dealer can submit the application. You will have 120 days to schedule a time to sit for your exams. FINRA recommends doing it early enough for you to find an ideal date for you. You may take the exam from a local, licensed testing center. Due to COVID-19, some exams may be accessed online. Check the firm’s website to determine the guidelines in place for online proctoring.
3. Create a Study Plan
You should have a clear study plan for your broker dealer exams. You may need to find a quiet place with minimal interruptions or distractions by family, work, or social obligations. Creating a manageable schedule may help improve your knowledge retention and prevent burnout. Generally, most people may pass the broker dealer exams with 4-6 weeks of diligent studying for several hours a day.
4. Obtain the Necessary Learning Products Required to Pass the Exam
It is not uncommon to hear candidates inquiring if they can pass by just going through past tests and practice questions. Skimming your textbooks may not cut it. You may need to invest time in going through your learning materials, including your textbook. It does not matter your experience in the industry; there are no shortcuts to reading the book.
5. Keep Calm During the Exam
You will need to remain calm during the test. Take time to understand what the question is asking. A cardinal rule is that you need to abide by is not changing your answers. Second-guessing yourself may lead to your changing correct answers to wrong ones. If you fail an exam, FINRA allows you to resit the exam after 30 days. However, you will have to repay the examination fees.
To acquire your investment banking license, you have to sit and pass your broker dealer exams. Bridge Capital Associates offers sponsorship for series 79 and series 82. Our team will hold your hand as you prepare to sit for your exams and launch your financial securities business.