2024 Edition

FINRA Series 6 Practice Test

Take this free FINRA Series 6 practice exam get an idea of what is on the exam to become a  financial investment representative.

The Series 6 exam (Investment Company and Variable Contracts Products Representative Qualification Examination (IR)) tests your competency as an entry-level representative in an investment company and a representative of variable contract products. The exam tests the candidate’s knowledge of critical functions of an investment company and variable contract products such as mutual funds sales and variable annuities in such topics as: Seeks Business for the Broker-dealer from Customers and Potential Customers; Opens Accounts After Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives; Provides Customers with Information About Investments, Makes Recommendations, Transfers Assets and Maintains Appropriate Records; Obtains and Verifies Customers’ Purchase and Sales Instructions; Processes, Completes and Confirms Transactions.

Candidates must pass the Securities Industry Essentials (SIE) exam and the Series 6 exam to obtain registration.

1. A registered representative has hired a friend to design a website for his advisory business. Websites such as these are categorized as:
2. ACME Invest, Inc. registered with FINRA seven months ago. The company has created a billboard advertisement near the financial district in their city. When must the company file with FINRA advertising regulation?
3. All of the following are exempt from registration under the Securities Act of 1933 EXCEPT:
4. Jason is a Series 6 registered representative and is opening a new account. Jason MUST gather all of the following information at the time of account opening EXCEPT:
5. All of the following retirees may contribute to a 457 plan EXCEPT:
6. Which of the following regulations applies to the anti-fraud provisions governing Municipal securities?
7. Michaela is a long-term client of Jennifer's and has a substantial mutual fund portfolio. Jennifer has explained that the markets may change soon, and a more conservative approach may benefit Michaela. However, Michaela will be traveling and does not want to spend time discussing portfolio adjustments with her advisor. Michaela wants Jennifer to make the necessary adjustments when she feels the time is right; without having to discuss it each time. What does Jennifer need to have on file?
8. The NAV of XYZ Balanced Growth Mutual Fund is $12.85. The POP is $13.30. What is the sales charge percentage?
9. Which of the following best describes a 12b-1 fee for an open-end mutual fund?
10. All of the following must be included on a trade confirmation EXCEPT:
11. Which of the following is not exempt from registration under the Securities Act of 1940?
12. Gregory is 63 1/2 years old and wishes to retire at 66. He has been a long-term client and has 95% of his portfolio in equity mutual funds, with a concentration in technology and growth. His portfolio has performed well over the last decade. His concern is that the bull market is maturing. Gregory does not want downside equity volatility to change his retirement plans and will need liquidity in a few years. Which of the following is the best suggestion for him?
13. Regarding variable annuities, which of the following is true?
14. Which of the following is true regarding nonsystematic risk?
15. John calls his broker to sell his ABC mutual fund shares on Wednesday at 3 PM. The NAV after the market close on Wednesday for ABC mutual fund was $27.85. The sold price on his confirmation showed $23.67. Upon FINRA review, this trade may be designated as a(n):