Series 24 Exam

The Series 24 FINRA exam – the General Securities Principal test – is the test you'll need to take in order to qualify for the management of a general securities broker-dealer.  The Series 24 exam will test your knowledge of all the regulations and provisions related to general securities broker management, direct participation programs and investment company contracts.

NOTE – You should be aware that the exam does not qualify you to work using any of the following titles, as defined by the Financial Industry Regulatory Authority (FINRA):

• Registered Options Principal
• General Securities Sales Supervisor for Options and Municipal Securities
• Municipal Securities Principal
• Municipal Fund Securities Principal
• Financial and Operations Principal
• Introducing Broker/Dealer Financial and Operations Principal

If you are interested in receiving any of the above designations, consult the FINRA website or speak with an Authority representative to determine which exams you'll need to take.

Series 24 Exam Details

The test is composed of 150 multiple choice questions, and you'll have three and a half hours to complete the entire exam.  Although you will be given scratch paper and a basic calculator by the test administrator before the test, no other external items or reference materials may be used on the exam.  Anyone caught using outside materials will be subject to harsh penalties by FINRA.

Registering for the Series 24 Exam

To take the Series 24 exam, you must first past one of the following exams: Series 7, 17, 37, 38, 47, or 62.  There is an $85 examination fee, and you must be sponsored to take the exam by a FINRA approved firm or principal.  If you do not pass the exam, you must wait 30 days before taking it again, and if you fail three times, you must wait six months before re-testing.

Series 24 Exam Questions

The Series 24 test contains multiple choice questions on the following topics: managing investment banking, underwriting, and research (33 questions); supervising brokerage office operations (29 questions); managing trade and market making activities (31 questions); sales/general supervision (43 questions); and financial responsibility rules (14 questions).  Each correct answer gives you one point.  Incorrect answers and skipped questions don’t count against you, so it’s in your best interest to make an educated guess on questions you aren’t sure about.  To pass, you must answer 70% - or 105 out of 150 – of the questions correctly. 

As with all of FINRA's exams, the General Securities Principal test will test your knowledge of the most recent rules and regulations.  You will not need to know about rules or interpretations of rules that are no longer current.  The exam is updated on a regular basis to add new questions and delete outdated ones.  For more information on which rules will be covered, take a look at the reference materials listed on the Series 24 exam study guide published on FINRA's website – www.finra.org.