Series 9 and 10 – General Securities Sales Supervisor Exams
The Series 9 and 10 exams — General Securities Sales Supervisor Qualification Exams (SU) —assess the competency of an entry-level principal to perform their job as a general securities sales supervisor.
The exams measure the degree to which each candidate possesses the knowledge needed to perform the critical functions of a general securities sales supervisor, including the approval of customer accounts, training of sales and sales supervisory personnel and the maintenance of records. In addition to the Series 9 and 10 exams, candidates must pass the Securities Industry Essentials (SIE) Exam and the General Securities Representative Exam (Series 7) to hold the General Securities Sales Supervisor registration.
The Series 9 and 10 Content Outline provides a comprehensive guide to the range of topics covered on the exams, as well as the depth of knowledge required. The outline consists of two parts that include the eight major job functions of a general securities sales supervisor. The table below lists the allocation of exam items for each major job function.
|Major Job Functions
Part 1: Series 10
|(F1) Supervise Associated Persons and Personnel Management Activities||28|
|(F2) Supervise the Opening and Maintenance of Customer Accounts||49|
|(F3) Supervise Sales Practices and General Trading Activities||52|
|(F4) Supervise Communications with the Public||16|
|Major Job Functions
Part 2: Series 9
|(F1) Supervise the Opening and Maintenance of Customer Options Accounts||18|
|(F2) Supervise Sales Practices and General Options Trading Activities||19|
|(F3) Supervise Options Communications||5|
|(F4) Supervise Associated Persons and Personnel Management Activities||13|
Candidates must be associated with and sponsored by a FINRA member firm or other applicable self-regulatory organization (SRO) member firm to be eligible to take FINRA principal-level qualification exams. For more information on registration requirements, refer to FINRA Rule 1210.
For more information on the registration process, see Register a New Candidate.
The Series 9 and 10 exams are designed to assess the competency of General Securities Sales Supervisors in the following fields:
- sale of corporate securities,
- closed-end funds,
- money market funds,
- asset-backed securities,
- mortgage-backed securities (corporate),
- equity options,
- options on (corporate) backed-securities,
- mutual funds,
- variable annuities and variable life insurance,
- government securities,
- repos and certificates of accrual on government securities,
- municipal securities and municipal fund securities,
- direct participation programs.
1. What is the difference between the General Securities Sales Supervisor Exams (Series 9 and 10) and the General Securities Principal Exam (Series 24)?
The General Securities Sales Supervisor Exams (Series 9 and 10) are limited principal exams. They qualify an individual to supervise sales activities of a broker-dealer. The Series 9 and 10 qualify the branch manager to supervise sales activities in corporate securities (equity and debt), investment company products and variable contracts, municipal securities, options, government securities and direct participation programs (DPPs). The General Securities Sales Supervisor Exams do not allow the sales supervisor/branch manager to supervise other areas of a member's securities business, such as underwriting, trading or overall firm compliance with financial responsibilities.
The Series 24 exam, on the other hand, qualifies a candidate as a general securities principal for FINRA. By passing the Series 24, the candidate can supervise all areas of the member's investment banking and securities business, such as underwriting, trading and market making, advertising, or overall compliance with financial responsibilities. While the scope of the general securities principal's supervisory authority is broader than the Series 9 and 10, the Series 24 is limited in the products that it covers. The general securities principal qualification does not cover municipal securities or options.
[FINRA Registration Rules 1220(a)(2) and 1220(a)(10)]
2. Since the Series 9 and 10, General Securities Sales Supervisor Exams, cover options and municipal securities, upon passing the Series 9 and 10, can I function as a registered options or municipal securities principal?
No. With the Series 9 and 10, the branch manager is qualified to supervise sales activities only. The oversight responsibility of the registered options or municipal securities principal exams is broader. In addition to sales supervision, the Registered Options Principal Exam (Series 4) and the Municipal Securities Principal Exam (Series 53) qualify a principal to supervise the member's overall securities business, including but not limited to trading, advertising and compliance.
3. Must a candidate take both the Series 9 and Series 10 on the same day?
It is up to the candidate. They may choose to take the exams on the same day or different days. They may also choose which exam to take first. Regardless of when each exam is completed, the General Securities Sales Supervisor registration will not be approved until the candidate passes both exams. Note that if both exams are not passed within two years of one another, the exam taken and passed will be invalidated.