SECURITIES INSTITUTE SERIES
The Securities Institute of America proudly publishes world class textbooks, test banks and video training classes for the following Financial Services exams:
Securities Industry Essentials exam / SIE exam
Series 3 exam
Series 4 exam
Series 6 exam
Series 7 exam
Series 9 exam
Series 10 exam
Series 22 exam
Series 24 exam
Series 26 exam
Series 39 exam
Series 57 exam
Series 63 exam
Series 65 exam
Series 66 exam
Series 79 exam
Series 99 exam
For more information, visit us at www.securitiesCE.com.
Copyright by The Securities Institute of America, Inc. All rights reserved.
Published by The Securities Institute of America, Inc.
No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of The Securities Institute of America, Inc.
Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.
Contents
About the Series 57 Exam
Congratulations! You are on your way to becoming registered to trade equity and convertible debt on an agency or principal basis. The Series 57 exam will be presented in a 50-question, multiple-choice format. Each candidate will have a total of 105 minutes with which to complete the exam and a score of 70% or higher is required to pass.
The Series 57 is as much a knowledge test as it is a reading test. The writers and instructors at The Securities Institute have developed the Series 57
textbook and exam prep software to ensure that you have the knowledge required to pass the test, and to make sure that you are confident in the application of the knowledge during the exam.
Taking the Series 57 Exam
The Series 57 exam is presented in multiple-choice format on a touch screen computer known as the PROCTOR system. No computer skills are required and candidates will find that the test screen works in the same way as an ordinary ATM machine. Each test is made up of 50 questions that are randomly chosen from a test bank of thousands questions. Each Series 57 exam will have several practice questions, which do not count toward the final score. The test has a time limit of 105 minutes, and is designed to provide enough time for all candidates to complete the exam. Each Series 57 exam will be comprised of questions that focus on the following areas:
How to Prepare for the Series 57 Exam
For most candidates the combination of reading the textbook and using the exam prep software is enough to successfully complete the exam. It is recommended that the individual spend at least 50 hours preparing for the exam by reading the textbook, underlining key points, and by taking as many practice exams as possible. We recommend that a student schedule their exam no more than 1 week after completing their Series 57 exam prep.
Test-Taking Tips
Read the full question
Identify what the question is asking
Identify key words and phrases
Watch out for hedge clauses, such as except or not
Eliminate wrong roman numeral answers
Identify synonymous terms
Be wary of changing answers
What Type of Business May Be Conducted by Series 57 Registered Representatives?
A Series 57 registered equity trader may conduct business in both equity and convertible debt on both an agency and principal basis. The securities trader qualification exam is administered by The Financial Industry Regulatory Authority (FINRA) and provides an individual with the qualifications necessary to register as a securities trader.
What Score Is Needed to Pass the Exam?
A score of 70% or higher is needed to pass the Series 57 exam.
Are There Any Prerequisites for the Series 57 Exam?
Candidates who wish to take the Series 57 exam must also successfully complete the SIE exam to become fully registered.
How Do I Schedule an Exam?
Ask your firms principal to schedule the exam for you or provide a list of test centers in your area. In most states you must be sponsored by a FINRA member firm prior to making an appointment. The Series 57 exam may be taken any day that the exam center is open.
What Must I Take to the Exam Center?
You should only take a picture ID with you. Everything else will be provided, including a calculator and scratch paper.
How Long Will It Take to Get the Results of the Exam?
The exam will be graded as soon as you finish your final question and hit the submit for grading button. It will take only a few minutes to get your results. Your grade will appear on the computer screen, and you will be given a paper copy from the exam center.
If you do not pass the test, you will need to wait 30 days before taking it again. If you do not pass on the second try, youll need to wait another 30 days. After that, you are required to wait 6 months to take the test again.
About This Book
The writers and instructors at The Securities Institute have developed the Series 57 textbook and exam prep software to ensure that you have the knowledge required to pass the test and to make sure that you are confident in the application of the knowledge during the exam. The writers and instructors at The Securities Institute are subject matter experts as well as Series 57 test experts. We understand how the test is written and our proven test-taking techniques can dramatically improve your results.
Each chapter includes notes, tips, examples, and case studies with key information, hints for taking the exam, and additional insight into the topics. Each chapter ends with a practice test to ensure you have mastered the concepts before moving onto the next topic.
Some of material contained in this book is designed to cover the information tested on the SIE exam. This material has been included intentionally to ensure candidates who have already passed the SIE exam have maintained their knowledge of that material. Many concepts tested on the SIE may also be tested on the Series 57 exam. Those concepts also provide the foundation for your understanding of the material tested on the Series 57 exam.