What is a Series 6 license

If you’re starting a career in the financial sector, you’ll be hearing a lot about the different types of licenses, such as Series 7, Series 66, and Series 63 licenses. However, in this article, we’ll be going over the Series 6 license: what you’re allowed to do with it, how to get one, and potential careers for Series 6 license holders.

What is a Series 6 license?

The Series 6 license is formally known as the Investment Company and Variable Contracts Products Representative License. The license is issued by the Financial Industry Regulatory Authority, or FINRA. A Series 6 license allows individuals to deal in the sale and distribution of investment company products, such as:

• Mutual funds: Funds that allow individuals to pool their money together with other investors to purchase a portfolio of stocks, bonds, etc.
• Variable annuities: Long-term investments offered by insurance companies that allow an individual to invest money. The investments provide tax-deferred growth and a stream of income in retirement.
• Variable life insurance: A life insurance policy where a portion of the premiums paid to the insurance company is invested as the policyholder directs, with the value of those investments being added to the cash value of the policy.
• Unit investment trusts: A type of investment company that offers a fixed portfolio of securities to investors in the form of redeemable units. The securities held in a UIT generally remain fixed for the life of the trust.
• Municipal fund securities: Similar to traditional municipal bonds, except interest earned on them is not federally taxable

How to get a Series 6 license

To get a Series 6 license, you will first need to take the Securities Industries Essentials exam (SIE), which is also administered by FINRA. This exam covers foundational knowledge of the securities industry. Once you’ve passed the SIE, you’ll need to find a FINRA member firm to sponsor you to take the Series 6 exam. This is a strict requirement for the Series 6., You cannot take the exam without it. Once you’ve secured sponsorship, you can take the Series 6 exam. When you pass, register with FINRA through your firm, and you’ll have obtained your Series 6 license.

Careers with a Series 6 license

There are several careers open to Series 6 license holders. One of the most popular jobs to get with a Series 6 license is as a financial advisor, since you’ll be allowed to deal in most of the investment vehicles people use to prepare for their futures. Another popular career choice is to be a life insurance agent, since the Series 6 license allows you to sell variable life insurance. Another career open to Series 6 holders is an investment representative, since a Series 6 license allows the holder to handle investment company products.

Conclusion

Obtaining a FINRA Series 6 license is a great way to get into the securities industry, and it provides a great stepping stone to gain experience and eventually go for licenses with greater power, such as the Series 7 license. Hopefully, this article has helped you understand what a Series 6 license is, how to get one, and the potential paths you can take once you have one. Good luck!