Qualifications Frequently Asked Questions (FAQ) – Investment Banking


1. I engage in investment banking work that is limited to structuring private securities offerings at my firm. What registration(s) will I need to engage in this activity?
You may register as either an Investment Banking Representative (IB) by passing the Series 79 Exam or as a Private Securities Offerings Representative (PR) by passing the Series 82 Exam.
2. My firm’s business is limited to both structuring and selling private securities offerings. What registration(s) will I need to engage in both types of activities?
You have two registration options for engaging in these activities: (a) register as a Private Securities Offerings Representative (Series 82) or (b) register as an Investment Banking Representative (Series 79) and either as a General Securities Representative (Series 7) or a Corporate Securities Representative (Series 62).
3. I am registered as an Investment Banking Representative (Series 79) under NASD Rule 1032(i) Limited Representative-Investment Banking. The rule states that persons whose activities involve “advising on or facilitating debt or equity securities offerings though a private placement or a public offering, including…marketing….” must register as an Investment Banking Representative. Does this mean that I can engage in road show activities and direct selling efforts related to a debt or equities securities offering without obtaining any additional registrations?
The Investment Banking Representative registration category is meant to include investment bankers, who as part of their job activities, advise on or facilitate the marketing of an offering. This would include activities such as preparing a marketing plan, advising on a marketing plan prepared by a sales team or developing and/or contributing information for marketing materials. However, it would not include persons who actively market the offering and interact with investors or potential investors, such as a person who is engaging in road show activities. Such a person would also need to be registered as a General Securities Representative (Series 7), Corporate Securities Representative (Series 62) or Private Securities Offerings Representative (Series 82) depending on the type of offering being made.
4. I am registered as a General Securities Representative (Series 7) and engage in both the sales and marketing of private placements and public offerings. Do I need any additional registrations?
If you are only engaged in selling the offering or actively marketing the offering to investors or potential investors, the Series 7 registration is sufficient. However, if you want to engage in activities such as preparing a marketing plan or advising on a marketing plan prepared by a sales team or developing and/or contributing information for marketing materials, you would also need to be registered as an Investment Banking Representative (Series 79).