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FINRA Series6 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Obtains and Verifies Customers' Purchase and Sales Instructions | 10% | - Order processing and transaction procedures
|
| Topic 2: Provides Customers with Information About Investments | 50% | - Investment company securities and variable contracts
|
| Topic 3: Seeks Business for the Broker-Dealer from Customers and Potential Customers | 24% | - Prospecting and communication with clients
|
| Topic 4: Opens Accounts After Obtaining and Evaluating Customer Financial Profile | 16% | - Customer account types and documentation
|
FINRA Investment Company and Variable Contracts Products Representative Examination (IR) Sample Questions:
1. The AGRO Mutual Fund invests in aggressive growth stocks of midcap corporations. The fund is running
an advertisement on the radio that informs the listeners that AGRO earned a 22% return last year while
the S&P 500 Index returned only 10%.The ad also contains information regarding how an interested
investor can contain a fund prospectus. Has AGROviolated any securities laws with this advertisement?
A) Yes. Although AGRO provided the return on the S&P 500 as well as its own return, the S&P 500 Index
is comprised of average risk stocks and is not an appropriate benchmark for AGROto use.
B) Yes. AGRO is required to provide information on the specific investments it made to earn that 22%
return, given that the return is unusually high.
C) No. In addition to providing the listeners with its own return last year, AGRO appropriately provided the
listeners with a benchmark return; thus there has been no violation of any laws.
D) No. This would be considered a generic advertisement and not an offer to sell.
2. After passing the Series 6 and becoming a registered representative, you will be able to execute
transactions in which of the following securities?
I. corporate stocks
II. mutual funds
III. corporate bonds
IV. variable contracts
A) II and IV only
B) II and III only
C) I, II, III, and IV
D) I, II, and IV only
3. Which of the following risks would not be a risk associated with a municipal bond fund?
I. credit risk
II. reinvestment risk
III. currency exchange risk
A) I and III only
B) II and III only
C) I, II, and III
D) III only
4. Which of the following share classes do not have front-end loads?
A) Class A
B) Neither Class B nor Class C shares have front-end loads.
C) Class B
D) Class C
5. NewWave Investments, a family of mutual funds, hires the star of a new motion picture about the
workings of Wall Street to provide a testimonial as part of NewWave's new television ad campaign. The
actor's financial adviser has, in fact, invested some of the actor's monies in NewWave's funds. NewWave
provides the actor with a script in which the actor explains the concept of dollar cost averaging to the
viewers. At the conclusion of the actor's explanation, the viewers are informed that the actor has been
paid for his testimonial, that his experience may not be representative of that of other clients, and that past
performance is no guarantee of future performance. Based on these facts:
A) NewWave has violated a FINRA rule that prohibits testimonials of public figures from being used in
advertisements.
B) NewWave has violated no rules; it has complied with all of FINRA's disclosure requirements.
C) NewWave has violated a FINRA rule requiring that any testimonial that contains a technical aspect
related to investing must be given by someone who has both the knowledge and experience to hold a
valid opinion on the topic.
D) NewWave has violated a FINRA rule stipulating that testimonial providers can receive no payment for
their testimonies.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: A | Question # 3 Answer: D | Question # 4 Answer: B | Question # 5 Answer: C |





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