One of the more common questions we receive when a Registered Investment Advisor firm is considering registering an Investment Adviser Representative is “What do they need for licenses?”

By way of brief history, in 1995, the North American Securities Administrators Association (NASAA) implemented the Uniform Combined State Law Examination (Series 66).  This examination was implemented to satisfy the agent and investment adviser qualification testing requirements.  Prior to 1995, individuals who were agents of broker/dealers and also investment advisers had to pass two qualification examinations, that is, the Uniform State Law Examination (Series 63) and the Investment Adviser Law Examination (Series 65). 

In 2000, the NASD began accepting requests for the Series 66 exam through the Central Registration Depository.  Also, that year, most states adopted the combination of the Series 7 and Series 66 examinations as licensing requirements for Investment Advisor Representatives. 

Since 2000, individuals who wish to provide investment advice have the option of taking either the Series 65 exam or the combination of the Series 7 and Series 66 examinations.

Checking with the applicable state jurisdiction for confirmation of the examination requirements and any applicable exemptions for Investment Advisor Representatives is always advisable.  Some states may have specific requirements beyond the type of license required.  For example, New York requires that the exam be taken within the past two (2) years from the date of filing your registration.  Always worth confirming before filing!