Free Series 63 Exam Flashcards
Memorize 50 essential terms and definitions for the Series 63 Uniform Securities Agent State Law Exam. See the term, recall the definition, then flip to check yourself.
Uniform Securities Act (USA)
A model state securities law designed to protect investors from fraud while coordinating state securities regulations. Each state can adopt and modify it. The Administrator enforces the USA at the state level.
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About These Series 63 Flashcards
These 50 flashcards are designed to help you memorize key terms and definitions for the Series 63 Uniform Securities Agent State Law Exam. Each card shows a term on the front and its definition on the back—the classic flashcard format for vocabulary memorization. Use these alongside our practice questions to build both recall and comprehension.
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Frequently Asked Questions
What is the Series 63 exam pass rate?
The Series 63 has an estimated pass rate of 75-85%, making it one of the easier NASAA exams. Neither FINRA nor NASAA officially publishes pass rates. You must correctly answer 43 of 60 scored questions (72%) to pass. The exam is administered by FINRA on behalf of NASAA and costs $147. Unlike FINRA exams, the Series 63 focuses exclusively on state securities regulations.
What is the Uniform Securities Act?
The Uniform Securities Act (USA) is model legislation created by NASAA that most states have adopted (with modifications) to regulate securities at the state level. It covers four main areas: registration of securities, registration of broker-dealers and agents, registration of investment advisers and their representatives, and fraudulent/prohibited practices. Series 63 tests your understanding of this act and state securities law enforcement, often called 'blue sky laws.'
What's the difference between Series 63 and Series 66?
Series 63 covers only state securities agent laws (60 questions, 75 minutes, $147). Series 66 combines Series 63 content with Series 65 (investment adviser) content (100 questions, 150 minutes, $177). If you only need agent registration, take Series 63. If you need both agent and investment adviser representative registration, Series 66 is more efficient. Series 66 requires the Series 7 as a corequisite; Series 63 does not.
Do I need the Series 63 to sell securities?
In most states, yes. The Series 63 (or Series 66) is required to register as a securities agent in nearly all states. You typically need: SIE + Series 7 + Series 63 to sell general securities, or SIE + Series 6 + Series 63 to sell investment company products. Some states have exemptions or accept the Series 66 instead. Check your state's specific requirements through NASAA or your firm's compliance department.
How hard is the Series 63 compared to Series 7?
The Series 63 is generally considered easier than the Series 7. It has fewer questions (60 vs 125), shorter time (75 vs 225 minutes), and a narrower scope (state law only vs all securities products). Most candidates need only 20-40 hours of study (vs 80-100 for Series 7). However, the Series 63's legal terminology and state regulatory concepts can trip up candidates who only prepare for fact memorization rather than application.
What topics are tested on the Series 63?
The Series 63 covers two main areas: (1) State Securities Acts and Related Rules (60% of exam) - covering registration of broker-dealers, agents, investment advisers, IARs, and securities; and (2) Ethical Practices and Fiduciary Obligations (40% of exam) - covering prohibited practices, advertising rules, customer communication, and ethical standards. NASAA updated the exam content in June 2023 to reflect modern financial practices.