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FINRA Series6 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Obtains and Verifies Customers’ Purchase and Sales Instructions; Processes, Completes and Confirms Transactions | 10% | - Transaction processing and verification |
| Opens Accounts After Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives | 16% | - Account opening procedures and financial profile evaluation |
| Provides Customers with Information About Investments, Makes Recommendations, Transfers Assets and Maintains Appropriate Records | 50% | - Product information, suitability, recordkeeping and transfers |
| Seeks Business for the Broker-Dealer from Customers and Potential Customers | 24% | - Topics in communications, marketing, and solicitation activities |
FINRA Investment Company and Variable Contracts Products Representative Examination (IR) Sample Questions:
1. Under the rules of ERISA, all private-employer sponsored retirement plans must:
A) allow any employee to participate in the retirement plan as long as the employee is at least 21 years
old.
B) provide a specific vesting schedule under which all participants in the plan will become 100% vested
after having been in the firm's employ for seven or fewer years.
C) be defined contribution plans.
D) exclude anyone who has not been employed with the firm for at least five years.
2. Which of the following statements regarding a letter of intent is true?
A) Reinvested dividends and capital gain distributions count toward the amount stipulated in the letter of
intent.
B) A letter of intent may be backdated up to 90 days so that any purchases made during that prior time
period will count toward making a breakpoint.
C) An investor has 12 months in which to invest the amount stipulated in the letter.
D) An investor who signs a letter of intent and does not invest the amount stipulated must make up the
difference between the sales charge he paid and what he should have paid, plus interest.
3. Tex Payor bought 1,500 shares of the Bonds4U Mutual Fund, a no load fund, on June 12th for $28 a
share and sold the shares the following year on June 11th for $40 a share. This will result in which of the
following tax consequences for Tex?
A) Tex will have to pay tax on $40,000, taxed as ordinary income at his marginal tax rate.
B) Tex will have to pay tax on $18,000, taxed as ordinary income at his marginal tax rate.
C) Tex will have to pay tax on $18,000 of capital gain income, taxed at the preferential rate for long-term
capital gains.
D) Tex will have to pay tax on $40,000 of capital gain income, taxed at the preferential rate for long-term
capital gains.
4. The price at which an investor can sell a security to a market maker in the over-the-counter market is
called the:
A) put price.
B) bid price.
C) ask price.
D) sale price.
5. Your client, Mr. Whiff, knows nothing about investment companies, and you are educating him about the
advantages of investing through one, rather than investing in individual stocks and bonds. Which of the
following statements could get you in trouble?
A) "By investing your money through an investment company, you are getting the benefit of professional
management."
B) "An investment in an investment company gives you an undivided interest in the company, in
proportion to the number of shares you own."
C) "Investing through an investment company will result in a lower tax bill than had you invested in
individual stocks and bonds."
D) "In investing through an investment company you will be able to invest a small amount of money and
achieve greater diversification than you could otherwise."
Solutions:
| Question # 1 Answer: B | Question # 2 Answer: B | Question # 3 Answer: B | Question # 4 Answer: B | Question # 5 Answer: C |






