Do you have to be sponsored by a company before you can take the test, or even a class?
Can anyone recommend good online (or in-person) classes to take?
How long does it take the average person to study for this? How 'hard' is it? Is the exam easier/shorter than the more comprehensive 7? Would it be better to invest the time in getting the 7 (ie. same effort is expended so why not get the better license?)
Is a "registered rep" a series 6 or is that title reserved only for a holder of the 7?
That reminds of someone who asked Heifitz, "How do you get to Carnegie Hall?" His answer was "practice, practice, practice." Sorry, Al, I just couldn't resist getting that in.
A Broker Dealer must sponsor you to sit for the series 6 or the series 7. To prepare for these exams you do not *need* to be with a BD you just order the materials (to find out what is the best self study material I would check out the Registered Rep forums at http://forums.registeredrep.com).
Classes are VERY expensive, comparatively; the classes people take are cram classes, 5 days long and review what you have already self studied (I think these are around 700 bucks.
The registered rep title is not reserved for the 7 the series 6 holder (which I am) is also a registered rep.
The series 6 test is 2 1/2 hours if I remember correctly the series 7 is 8 or something like that...it's considerable longer and obviously, because holding the license will allow you to trade stocks among other things, is harder both to study for and test.
If all you want to ever work with is UIT's and MF's then you could go with the 6 however, I would do the 7 even IF all you want to do is MF's because you will understand ALL investments and how they complement or poorly contribute to the overall client’s portfolio.
Study time is roughly 3-4 weeks for the 6, and about 2-3 for the 65 (which you will need in addition to the 6). The series 7 is about 2-3 months and 3-4 weeks for the 66.
If you remember things well then maybe you could do it much sooner however, if you spend 3 hours a night the above numbers should reflect the time needed.
If you are Indy, then I would check out Indy Insurance Broker Dealers. Such as The O.N. Equity Sales Company, or MTL Equity Products. Remember, most BD's have an annual production minimum to remain with them. On the low end (the ones above included) 20k all the way up to 120k GDC such as LPL. The good thing about Insurance owned Bd's is often they will waive the BD requirement if you write that amount in fixed business with their insurance company.
Quest Capital is an Indy BD that will sponsor you for a fee and has no min production. I don't have much info on them though I have read from other advisors/brokers that it was a great place to get sponsored to get licensed and sell until they built their production up enough to move to another BD. Their website is http://www.qcwelcome.com/index.aspx (You won’t get much support/training from this type of set up though which I think is important in the securities side of things).
The securities licenses are overrated and easy to pass... there is much more money in insurance than securities unless you have a ton of assets under management. Honestly, the fees you pay as an indy to transfer your licenses and all the red tape with compliance makes it hard to justify the commissions you are looking at with most broker/dealers.
Of course, it's totally up to you, but what is your reasoning for wanting to become a RR (registered rep)? You are welcome to PM me. I have shopped all the broker dealers I could locate info on and have some price structures and tips I would be happy to share with you in private.
Of course, it's totally up to you, but what is your reasoning for wanting to become a RR (registered rep)?
Fair question. There is a (captive) company called Modern Woodmen of America who has made me an offer. They sell everything under the sun (except major med)... life, annunity, LTC, mutuals, stocks, bonds, etc. One of the requirements is that within a year (with their training) I get at a minimum 6 and 63 or at best a 7.
I've not decided... I've not even come close to deciding... as it would be a major paradigm shift for me. However I wanted to get an idea of how hard it would be to study for and pass the exams.
Why am I interested? Well for three reasons. First, at my age (59) most "top tier" companies that I'd be interested in (Met, NYL, etc.) won't look once, much less twice at me. They want young guys/gals to start a career and stay for 30 years... and I don't blame them... although I think it is a rather short-sighted approach. MWA has a different 'tutde' about age/service/background, etc. They don't give a damn about my age. With them it's all about conviction, committment, and ability.... at least that's how it looks to me so far.
Second if MWA not work out, perhaps I will want to go down the Edward Jones path and open my own office? I have the personal assets to do that. I'd need a 7 for them as well (obviously)
Third, no one wants health care. They gotta have it, but they don't want to be involved with it, they don't understand how the product works and find it too complex (for the most part.) However people DO want to make money, or at least conserve the money they have. Tens of millions of people my age (boomers) are not only getting 401K and other retirement money, but they are also coming into serious inheritances from their parent's estates. There is a growing need (a perfect storm?) for financial advisors... maybe even for some with a bit of gray hair and with a little bit of 'life experience' behind that gray hair.
Fair question. There is a (captive) company called Modern Woodmen of America who has made me an offer. They sell everything under the sun (except major med)... life, annunity, LTC, mutuals, stocks, bonds, etc. One of the requirements is that within a year (with their training) I get at a minimum 6 and 63 or at best a 7.
I've not decided... I've not even come close to deciding... as it would be a major paradigm shift for me. However I wanted to get an idea of how hard it would be to study for and pass the exams.
Why am I interested? Well for three reasons. First, at my age (59) most "top tier" companies that I'd be interested in (Met, NYL, etc.) won't look once, much less twice at me. They want young guys/gals to start a career and stay for 30 years... and I don't blame them... although I think it is a rather short-sighted approach. MWA has a different 'tutde' about age/service/background, etc. They don't give a damn about my age. With them it's all about conviction, committment, and ability.... at least that's how it looks to me so far.
Second if MWA not work out, perhaps I will want to go down the Edward Jones path and open my own office? I have the personal assets to do that. I'd need a 7 for them as well (obviously)
Third, no one wants health care. They gotta have it, but they don't want to be involved with it, they don't understand how the product works and find it too complex (for the most part.) However people DO want to make money, or at least conserve the money they have. Tens of millions of people my age (boomers) are not only getting 401K and other retirement money, but they are also coming into serious inheritances from their parent's estates. There is a growing need (a perfect storm?) for financial advisors... maybe even for some with a bit of gray hair and with a little bit of 'life experience' behind that gray hair.
Or maybe I'm wrong.
Thanks,
Al
Prior to getting involved with insurance I contemplated becoming a financial planner and Edward Jones was at the top of my list. Ameriprise, Edward Jones, etc. all have their pros/cons, although I must admit the training, support and incentives with Edward Jones were the best (at least in the CT/MD market) I found. Let us know how it goes. If you come across some really kick-ass training material, I would appreciate it if you share it my way. I plan on looking over training material for the various series licenses for fun in the fall and could use some recommendations on books.
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[COLOR=#000066]"Tell me and I will forget. Show me and I will remember. Involve me and I will understand." Confucius
Fair question. There is a (captive) company called Modern Woodmen of America who has made me an offer. They sell everything under the sun (except major med)... life, annunity, LTC, mutuals, stocks, bonds, etc. One of the requirements is that within a year (with their training) I get at a minimum 6 and 63 or at best a 7.
I've not decided... I've not even come close to deciding... as it would be a major paradigm shift for me. However I wanted to get an idea of how hard it would be to study for and pass the exams.
Why am I interested? Well for three reasons. First, at my age (59) most "top tier" companies that I'd be interested in (Met, NYL, etc.) won't look once, much less twice at me. They want young guys/gals to start a career and stay for 30 years... and I don't blame them... although I think it is a rather short-sighted approach. MWA has a different 'tutde' about age/service/background, etc. They don't give a damn about my age. With them it's all about conviction, committment, and ability.... at least that's how it looks to me so far.
Second if MWA not work out, perhaps I will want to go down the Edward Jones path and open my own office? I have the personal assets to do that. I'd need a 7 for them as well (obviously)
Third, no one wants health care. They gotta have it, but they don't want to be involved with it, they don't understand how the product works and find it too complex (for the most part.) However people DO want to make money, or at least conserve the money they have. Tens of millions of people my age (boomers) are not only getting 401K and other retirement money, but they are also coming into serious inheritances from their parent's estates. There is a growing need (a perfect storm?) for financial advisors... maybe even for some with a bit of gray hair and with a little bit of 'life experience' behind that gray hair.
Or maybe I'm wrong.
Thanks,
Al
Al, the securities business is difficult to make money at, much more so than insurance IMHO. Realize that any wirehouse such as Ed Jones are primarly interested in is AUM (assets under management) and alot of it. If you have a nak4securites (sorry couldn't resist) then go get em'.
Being that your 59 and can naturally relate (closer to their age group) to all those baby boomers that will soon be retiring, why don't you focus your agency in retirement planning ie.. Annuities, LTC Estate planning with life insurance?
You don't need to go to ED Jones for that.
BTW, seriously consider AG Edwards if you are thinking about joining a wirehouse in the end. Rep's speak very well of them.
The Registered Rep forum is the forum to seek, find and ask anything about the securities business.
Being that your 59 and can naturally relate (closer to their age group) to all those baby boomers that will soon be retiring, why don't you focus your agency in retirement planning ie.. Annuities, LTC Estate planning with life insurance?
Yeah, I really wasn't looking to be a stockbroker or to market/sell any kind of high-risk product. I was looking at only safe-money vehicles such as life and fixed or fixed-indexed annuities. I'd also be interested in LTC.
I'll leave the variable stuff to younger guys who have a stronger stomach for risk than I do. I lost $300K in the dot-com bust... I'm not going down that street again.
For what I want to do, I don't see why I'd even need a 6 or 7 license, but it's one of the 'action-items' that MWA require the first year (according to the literature they gave me. Perhaps I can get a 'bye.')
At this point I don't know what I don't know... except that I don't see as good a future in health care ins. as I do in retirement and estate products.
One 'sticking point' will be what MWA will and won't let me sell. They don't sell health so maybe they will let me keep those appointments. I'm still in the very first steps of dealing with them. I passed the LIMRA/Excel (http://www.exseltoolkit.com/) thing I took today. The reading comp section was easy, but the math and word-association sections were much harder than I had expected. There will be several more interviews before either MWA or I are satisfied that there is a match. I like a company that does a careful screening. I think it shows that they plan to invest some training and support in the candidate and want to make sure they get a good match. (Or I could be wrong!)
The series 7 is many, many times harder than the 6. Even if one thinks that all securities exams are easy, it is a simple fact that almost half fail the exam for the 7 and half taking it are taking it a second time. Doesnt mean that it is rocket science but you do need to have a plan for studying for it and there is a lot of material. The 6 is easily doable but you have to study for it. It is probably a little harder than the insurance exam but if you put in the time you will pass. Lots of people put in major time with the 7 and do not pass. I read here the other day about some people taking the insurance exam several times before passing. They should not even consider taking the 7. The series 6 will serve you well though. You can sell mutual funds but not individual stocks.
The thing that does not occur to you at this point is that once you become security licensed, you enter a whole new world of compliance and your broker dealer is responsbile for supervising all aspects of your business, including the fixed insurance side of any companies that you are licensed with even if it is not your broker dealers company. Unless you are really doing some securities business, it can really crimp your business style if your primary focus is insurance. They have to approve *everything*. Business cards, correspondence, advertising, etc. etc. If you are just insurance licensed and want to do a mailing program or place an ad in the paper you can just go ahead and do it provided that it is not deceptive in any way. Once you become securities licensed then you have to have prior approval by the B/D's compliance department (a/k/a/ the Sales Prevention Group) which will often take months and it will come back so watered down and reworded that it is useless. It may or may not be worth it but getting the license is only half of the picture. Living with it is another thing. At times you will feel like you went into this business to be independant but are essentially an employee answerable to the NASD for every move you make. On the other hand, if you are doing significant securities business, then it all may be worth it.
Al, Winter has it down right. When I first started in the business I took the Series 6 which was maybe slightly more difficult than the insurance exam. The reason was that Jefferson Pilot had their own MF family which agents were supposed to sell. When I went to New England Life, the Series 7 was mandatory because they established New England Life Financial Services and all agents were to sell MF, Variable Annuities, and even stock programs. As Winter stated, the requirements were atricious. You had to have a separate business card, separate files, and all kinds of accountability which was a PIA. The Series 7 test was a ballbuster. It was am allday affair divided into two halves (before lunch and after lunch sessions). At that time it was a paper exam----probably is computerized today. The most difficult section of the exam IMHO dealt with stock options. I later went into selling 403(b) plans and mutual funds to school teachers. However, the income and the licensing renewal costs made it econmically unfeasible. I wish you well in your future endeavor.
Al, Winter has it down right. ....However, the income and the licensing renewal costs made it econmically unfeasible. I wish you well in your future endeavor.
I've heard that a lot. I'm going into this with my eyes wide open and my mouth tightly closed. I'm too 'old' and way to experienced to be fooled by anyone in fin-sales, much less a stock-jock. If MWA meets MY requirements I will continue with their process, but if not... then there are only about a thousand other alternatives!
I like insurance, annuities, CDs, and other safe-money products. I believe in these products. I don't believe in funds or stocks... as it's all built on the greater-fool theory. It's good to have a little bit, but having been down the equities road before, as I've posted earlier, at the end of the day (year, quarter, etc.) it is NOT how much you make, it is how much you DON'T LOSE that will determine if you are a 'winner' or a 'loser' at the equities game.
Winter and arnguy are right on with their comments especially when it relates to compliance. I would add however, that my BD only mandates that I keep correspondence records of and must go through the approval process for security related material. Unless the letter, correspondence, brochure mentions securities or market returns etc... that is if all I am addressing is fixed business then I do not need to submit it to compliance nor do I need to keep records (though keeping notes of appointments and applications on file is a must).
When I was with NYL they did want me to submit everything to their BD's compliance...so it depends on the BD. Perhaps being with a independent BD is the reason for that little added freedom.
Some BD's are a pain and some are helpful, all regulate your business to some degree.
When I was with NYL they did want me to submit everything to their BD's compliance...so it depends on the BD. Perhaps being with a independent BD is the reason for that little added freedom.
Nak4Life
B/D's tend to set their rules based on the last big lawsuit or NASD violation they were hit with. They are however responsible for supervising everything a rep does. If an agent is captive then it is one thing because everything the agent does is sort of under the umbrella and approved somewhere. However, I know of B/D's who suddenly changed their entire outlook after they were sued bigtime for something an agent did with a product that the B/D did not even offer- a health insurance product for example. It was proven that the B/D failed to supervise because that work was never reviewed.
In other instances, you see more and more B/D's either requiring EIA's to go through the B/D as though they are a security even though they are not, and also more and more B/D's are going in the other direction and just prohibiting their reps from selling EIA's. Some of it obviouly is that they dont want the competition but also the NASD/SEC is hot onto EIA's so they do not want to supervise their sales.
So, it does depend on the B/D but they all have the responsiblity to provide total supervision including fixed products from other carriers that the rep may be appointed with. The degree to which they do this depends on their latest wake up call as I mentioned.
Indeed...whatever "freedom" or lack of interest my or anyone's BD has in the fixed side of things is not guaranteed to remain that way. My BD' s fixed supervision standards could be changed next month if they felt it necessary because of lawsuits, law changes, violations or questionable products such as EIA's (which my BD also requires go through them).
It's a personal choice if you don't mind, or rather willing to tolerate the added supervision then go at it. However, if you run a business a certain way and are successful/set in your ways with it then perhaps affiliating with a BD could hamper you style.
Al: If Woodmen has any detached agents/planners (have their own office) call them up and quiz them about woodmen. I have done this with companies and got a hold of dozens of agents and they were very open with me.
Best of luck Al, with your experience you should do well in estate related planning with woodman or not.
Why am I interested? Well for three reasons. First, at my age (59) most "top tier" companies that I'd be interested in (Met, NYL, etc.) won't look once, much less twice at me. They want young guys/gals to start a career and stay for 30 years... and I don't blame them... although I think it is a rather short-sighted approach.
My office would snag you up in a heartbeat. They'd love to have you. In fact, an agent joined shortly before I did that is close to 70 and didn't even have previous insurance experience.
If you want, I can ask a couple people and find some stuff out for you. You would qualify for a contract that is not captive, has small production requirements, and you would even qualify for group health coverage and possibly retirement benefits. I know of one guy that basically joined just to sell enough small whole life policies and annuities to pay for his health insurance every month. Meanwhile, he sells mostly health insurance (which he has done for years) and some permanent insurance for college funding. He walked in telling them he wasn't giving up anything he was doing and they were okay with that. I have no idea how the other major captive players work, but NYL has non-captive contracts available for experienced agents.
I have no idea how the other major captive players work, but NYL has non-captive contracts available for experienced agents.
Hmmm. I didn't know that. I interviewed with Marc Hamm at NYL in Roseville, CA last August. Nice man, but it was evident that he was just being polite when he did the interview and that he was seeking a younger guy. When they ask "Do you think you will be able to work well with people half your age?" you KNOW. Or "Are you thinking of retirement in a few years?" There was no 'enthusiasm' on his part. It ended with "Why do't you think about it and let me know" as opposed to "We really think this is a great place for you... let's have lunch next week and talk some more..." Anyway, I'm looking at all sorts of options. I would not mind being 'captive' IF I could get the training and support I would like AND still be able to sell health care. Best of both worlds for me, if it can be done.
Hmmm. I didn't know that. I interviewed with Marc Hamm at NYL in Roseville, CA last August. Nice man, but it was evident that he was just being polite when he did the interview and that he was seeking a younger guy. When they ask "Do you think you will be able to work well with people half your age?" you KNOW. Or "Are you thinking of retirement in a few years?" There was no 'enthusiasm' on his part. It ended with "Why do't you think about it and let me know" as opposed to "We really think this is a great place for you... let's have lunch next week and talk some more..." Anyway, I'm looking at all sorts of options. I would not mind being 'captive' IF I could get the training and support I would like AND still be able to sell health care. Best of both worlds for me, if it can be done.
Al
Yeah, age seems to be no issue where I'm at. I could talk to someone and find out who you might want to call in your region. I would go above the guy I work for, as there are issues in case you've never read any threads about it, and I've only vented about a tenth of it.
I know there are some agents in the office that sell for "the Duck" and it's worked out well for them, because they were already used to the business owner market and now able to go in with some bigger products. They don't get training allowance like new, captive agents, but they have the freedom to sell most anything. I think it might be called a TEA contract, but I'm not sure. You would be required to attend training programs, which is what you want anyway. In fact, when I get a chance, I'll ask "the Duck" guy about the finer details of his contract and I'll get back to you. What I do know is there are several guys that have been there for years or entered as experienced agents doing at least half their work on the health side of things.
I am a few years younger than you (52) and at the end of 2005 sold my restaurant business and decided to become a financial advisor. I passed the series 7 and 66, both on the first try. They are significantly more difficult than the insurance exam. I studied approximately 4 weeks for the 7 and 1 week for the 66. For what you are planning to do, a series 6 should be sufficient. You will also need to get a series 63, which covers state regulations.
As far as online study goes, I used www.keirsuccess.com for the series 7. For the series 66 I used a 3 year old copy of Dearborn (now Kaplan Financial) that was laying around the office.
Second if MWA not work out, perhaps I will want to go down the Edward Jones path and open my own office? I have the personal assets to do that. I'd need a 7 for them as well (obviously)
My guess is, if you fail with MWA, you will fail even faster with EJ.
How do you get a Series 6?
Sorry, Al, I just couldn't resist getting that in.
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