Series 99 Exam: Everything You Need To Know

The series 99 exam is the Operations Professional Exam. The test is  administered by FINRA. It assesses understanding of the information needed to be a registered operations professional at a broker dealer.

Most candidates seek to get a series 99 license because they are being required to do so by their firm. You can think of the series 99 as your license to become an operations professional. The series 99 license qualifies an individual to perform covered functions. at their employing broker dealer. Most people get the series 99 license when first entering the operations department. And are starting out in a new career. Others are changing positions within their operations department. And will now be performing duties that require them to become 99 licensed. A series 99 license is one way for a person to meet FINRA’s operations licensing requirement.

FINRA sets the licensing requirements for member firms and its associated persons. FINRA requires a series 99 license for anyone performing or supervising covered functions. A series 99 license allows you to perform critical functions in a broker dealer’s operations department. Some of these covered functions include client on-boarding. In this role you will be the person who is collecting and inputting customer account data. You may be responsible for the preparation of the account records and maintenance. A series 99 licensed person may perform crucial settlement functions such as:

• fail control
• buy ins
• sell outs
• asset segregation duties
• Margin
• stock loan
• prime brokerage

Are key functions that are  performed at broker dealer by a series 99 licensed professional

No. There are no prerequisites to take the Series 99. The only requirement to take the Series 99 Exam is that you must be sponsored by a FINRA member firm.

The Series 99 Exam consists of 50 multiple-choice questions. Each question must be answered and completed. The exam has a time limit of 1 hours and 30 minutes.  Every Series 99 Exam contains experimental questions.  This is in addition to the 50 scored questions.  These questions are not identified during the test. Nor do they count towards the candidate’s final score. Each exam provides more time for test takers to answer these questions

The passing grade for the Series 99 exam is 68%. Test takers must answer at least  34 of 50 questions correctly

The test provides enough time for candidates to answer each question presented. The time limit on the series 99 exam is 1 hours and 30 minutes. This translates into 1.8 minutes per question. Test takers who have challenges interpreting questions, may find themselves pressed for time. Rushing to answer every question has a negative impact on performance. To ensure you can complete the test in the time allotted, you must take 50-question practice tests. Taking Series 99 practice exams is a big part of any candidate’s exam preparation. The questions presented are challenging. Students must have a deep understanding of the critical information required to pass.

You will receive your result of the exam immediately upon completion. Your results will be displayed on the screen. You will be provided with a certified copy of the results from the exam center. The passing score for the Series 99 Exam is 68%. Candidates who pass will not receive a numerical score. The exam report states that the student achieved a passing grade. A copy of the report is provided. This is evidence that the student passed the Series 99 Exam. Students who do not achieve a passing score receive the numeric score for the exam. A range of the performance in each scored section is detailed in the report.

If you fail the Series 99 Exam, you will receive a numeric exam score. A range of performance for each of the basic knowledge sections is also provided.  You must wait 30 days before taking the exam a second time. If you are unsuccessful on your second attempt, you will be subject to another 30 day waiting period. A third failed attempt subjects the student to a 6-month waiting period. The 180 day waiting period must lapse before a candidate may schedule the Sries 99 Exam again.

The Series 99 Exam is a top off exam. It is taken after the SIE /Securities Industry Essentials Exam. Both must be passed to be registered as an operations professional.

Series 99 Exam questions test candidates’ knowledge of the critical functions. These are the functions an operations professional must perform. The questions will cover a variety of back office functions. The exam will contain many questions on the the following topics:

• Retail Customer accounts
• Institutional customer accounts 
• Retirement accounts 
• Restricting and freezing accounts
• Automated client account transfers 
• Required minimum distributions 
• Standard settlement instructions 
• RVP / DVP account 
• Currency transaction reports 
• Clearing & settlement 
• Cashiering 
• Rule 144
• Short sales 
• Stocks and bonds
• Mutual funds

FINRA’s Series 99 Exam outline is organized into the critical functions of a Series 99 operations professional. FINRA breaks down the Series 99 content as follows:

1. Knowledge Associated with the Securities Industry and Broker-dealer Operations – 35 questions
2. Professional Conduct and Ethical Considerations – 15 questions

The series 99 exam tests a number of complicated concepts that go far beyond general securities knowledge. Being able to work through the application of advanced operational and regulatory responsibilities will be key to a candidate’s success. Most individuals find that the exam is challenging in the way these questions are presented. You must be able to read the question and identify what the question is asking. This is absolutely key and it is not as easy as it sounds. If you are new to the industry or new to the operations department, you may find it hard to master the advanced concepts right away. In order to pass the exam and become series 99 licensed you must demonstrate that you have mastered these areas. Stick with it and stay focused on the concept until you have it down. Every person who sits for the series 99 exam has a different background. What one person finds easy to master, another may find very hard. Most people find the content relating to buy ins, sellouts, margin and settlement to be among the most difficult. You should prepare for the exam by reading a textbook completely with a highlighter. Take notes and work through the more difficult topics. Some of the question on the series 99 exam are hard but with careful preparation you will be successful. We cannot stress enough that you must read the book, there are no shortcuts and students need to understand this. You must clear your schedule, shut off your phone and focus. In addition to obtaining the knowledge required by the exam, you must master the application of the information by taking as many practice questions as you can. We recommend at least 60 – 70 hours of preparation to ensure you pass your series 99 exam and become licensed as an operations professional.

The answer is, that while it feels like your series 99 license is indeed transferable, in actuality it is not. If you want to change firms, your series 99 registration / license along with all of your other registrations must be terminated by your employer. With a series 99 license you are working as an operations professional at a FINRA member firm. Since you are registered at a FINRA member firm, Your former employer / the firm that you are leaving will fill out and submit a Form U5 to FINRA. This will terminate your employment and your registration with that firm. When you arrive at your new firm you must fill out and submit a new Form U4. This will begin your registration with your new firm and your series 99 license, along with your other registrations, will become active at your new firm upon receiving notice from FINRA.

You must make an investment in your professional development. Your Series 99 license empowers you to act as a registered operations professional . Many Series 99 licensed professionals enjoy lucrative and successful careers. If you have to pay out of pocket, the costs are relatively low. This is true compared to other certifications and college expenses. Some employers pick up or reimburse the costs.  The cost to take the series 99 exam include:

• Training materials
• Testing fees
• Registration fees

Our most comprehensive training package for the series 99 exam is $209. This comes with everything you need and includes free shipping. Other providers charge as much as $400 for similar packages.

The testing fee for the series 99 exam is $60.

Series 99 licensed  professionals must meet certain continuing educational requirements. Every year your firm will send out a questionnaire to each of its representatives. This is a “needs analysis”.  Each representative will be assigned continuing education courses to complete. The curses assigned are based on the response received to the questionnaire.  Your firm may have you attend a seminar, webinar or take an online course. Each of these will satisfy the firm element continuing education requirements. 

You will also be required to complete annual regulatory continuing education training. These courses are administered by FINRA. All registered individuals must complete this continuing education requirement by December 31st. FINRA publishes the learning objectives for continuing education each October. This publication details the courses required for the following calendar year. All courses will be completed through FINRA’s continuing education portal.

It is very important to choose your Series 99 study material carefully. Quality study material produced by a professional level publisher is key. At a minimum your training materials should contain:

• A comprehensive textbook

• Well produced video training classes

• Challenging test banks

Always start with the textbook. Our Series 99 textbook is the foundation of our learning system. This book has everything you need to be successful.  Our series 99 textbook is comprehensive and easy to follow. We strongly recommend that every student read the book completely. Take notes on key points. This will ensure you know more than the basics, it will ensure you know the facts. 

Our series 99 video lectures follow our textbooks chapter by chapter. Each lecture provides more details on the content contained in the reading. Different examples show you how the concepts are tested. Best of all, we include feedback from thousands of actual series 99 test takers. This will help you master the material. Make sure you watch each video lecture to ensure complete understanding. Every video lecture is followed by a quiz. This tests your immediate comprehension of the material.

From there move to the practice tests. Take topic focused custom quizzes. Go back to the videos and chapters in the textbook to firm up areas of weakness.  Now you are ready to take simulated final exams.  Take as many as you can and keep track of your results. The more you practice the more prepared you will be. You should be scoring approximately 80% on your finals prior to sitting for the real series 99 exam.

Our Series 99 study material will ensure your success on exam day. Complete with a comprehensive physical textbook, Video lectures and challenging test banks. We are so confident in our Series 99 training course. that we offer you a money back greenlight pass guarantee. Review our Series 99 Exam prep features here