How Broker-Dealers Register (Series 63, 65, 66)

[@francofernandez133]

Thank you for the breakdown! Ken recommended you!, do you have a video on jurisdiction?

[@itndiner]

Here because of Ken also!

[@BasicWisdom]

I don't yet, unfortunately. However, maybe this will help. A state administrator has jurisdiction over a financial professional (e.g., broker-dealer, agent, investment adviser, IAR) or other parties when an offer or transaction occurs in their state. Basically, if a person resides in a state where an offer or transaction occurs, then the administrator has jurisdiction.

[@alexpascal5403]

@@BasicWisdom yup basically. Well, Ken. Also, my little sister?? She’s a peanuz twister. She’ll pitch your tent !! Why? Cuz her mouths for rent !! 1:17

[@berhanusetegn]

Tank you for all

[@ChillwithDre]

I want to take the series 27 exam. However, I am not working at financial institution. How and where do I start? I believe the SIE exam is the starting point. After I pass that exam. Do I need to secure employment with a FINRA registered organization before sitting for the Series 27? Thank you

[@BasicWisdom]

Is there a reason why you're focusing on the Series 27?

[@ChillwithDre]

@@BasicWisdom I came across some positions of interest the highlighted the series 27. I've been in nonprofit for 7 years but looking to transition sector's.

[@BasicWisdom]

@@ChillwithDre you will need firm sponsorship (employment) in order to take the exam. I assume those roles will require the SIE, Series 7, and 63 (or 66) as well. If so, you can take the SIE and 63 without firm sponsorship. But, you would need to be employed at a firm to be eligible to take the 7 and 27. I'd first identify what licenses you'll need and the length of your study window (e.g., 4 months). From there, get access to learning materials (Achievable has programs for the SIE, S7, and 63, but not the 27), build a calendar, and study!

[@clevelend22]

What if an individual wants to obtain a broker dealer license? I'm in the state of Alabama by the way. Which exam would I need to take? And do I need to be employed at an FINRA registered firm before taking the exam?

[@BasicWisdom]

Individuals don't register as broker-dealers; this is a designation for a firm (company). Individuals register as agents of broker-dealers. Most agents obtain the SIE, Series 7, and 63, but you should always check with a legal resource (securities lawyer) to confirm.

[@h1inc816]

Can I start a broker dealer business without an existing license? About how much does it cost? I’m talking to a competent attorney in the field that quoted me $100k

[@BasicWisdom]

You'll need licenses for the people running the business and working with customers, plus you'll need to get the broker-dealers registered. Additionally, you'll probably need to obtain insurance (known as surety bonds), accounting services (for balance sheet and income statement disclosures), and legal services (for compliance). All in all, $100k doesn't seem unreasonable. These are difficult businesses to start due to the legal and regulatory costs involved.

[@BasicWisdom]

Regardless, good luck! I hope you can figure it out!