A registered representative, also called a general securities representative, a
stockbroker
A stockbroker is a regulated broker, broker-dealer, or registered investment adviser (in the United States) who may provide financial advisory and investment management services and execute transactions such as the purchase or sale of stocks ...
, or an account executive, is an individual who is licensed to sell
securities
A security is a tradable financial asset. The term commonly refers to any form of financial instrument, but its legal definition varies by jurisdiction. In some countries and languages people commonly use the term "security" to refer to any fo ...
and has the legal power of an
agent
Agent may refer to:
Espionage, investigation, and law
*, spies or intelligence officers
* Law of agency, laws involving a person authorized to act on behalf of another
** Agent of record, a person with a contractual agreement with an insuran ...
in the
United States
The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 U.S. state, states, a Washington, D.C., federal district, five ma ...
.
Registered representatives usually work for
broker/dealers licensed by the
U.S. Securities and Exchange Commission (SEC) and the
Self Regulatory Organizations (SRO) of the
New York Stock Exchange
The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District of Lower Manhattan in New York City. It is by far the world's largest stock exchange by market capitalization of its listed ...
(NYSE) and
Financial Industry Regulatory Authority
The Financial Industry Regulatory Authority (FINRA) is a private American corporation that acts as a self-regulatory organization (SRO) that regulates member brokerage firms and exchange markets. FINRA is the successor to the National Associat ...
(FINRA).
To become a registered representative in the United States, one must be sponsored by a
broker/dealer firm and must pass the FINRA-administered
Series 7 Series 7 may refer to:
*The seventh season of any of many shows or series; see and
* Series 7 exam, officially the General Securities Representative Exam, the most comprehensive financial securities exam offered by the FINRA
*'' Series 7: The Cont ...
examination (known as the General Securities Representative Exam) or another Limited Representative Qualifications Exam. Some state laws and broker/dealer policies also require the
Series 63 examination (known as the Uniform Securities Agent State Law Exam).
A registered representative ("RR" or "rep" or "broker") is authorized to sell a large array of securities such as stocks, bonds, options, mutual funds, limited partnership programs and variable annuities. Registered representatives who sell variable products such as variable annuities or
variable universal life insurance policies typically also must obtain the appropriate state insurance department license(s).
See also
*
List of securities examinations
The following is a list of securities examinations and the organizations that offer them.
Africa
*The Securities Industry Training Institute East Africa (SITI) was conceptualized in 2008 to standardize and administer market education for the Ea ...
*
Stock selection criterion
*
Proper authority
In Australian corporations law, proper authority is the authorisation provided by a licensed securities dealer to an individual that permits the holder to represent the securities dealer.
See also
* Registered representative (securities), in th ...
, in Australia
References
External links
* FINRA Registration and Examination Requirements
Series 7 Sponsorship Gateway
United States securities law
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