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Exams · Certifications · Licensing

FINRA Series 7 General Securities Representative Exam

1. Seeks Business for the Broker-Dealer / Communications: practice questions

Our FINRA Series 7 bank has 28 questions on this topic. Here are 5 of them with answers; the full mock exam draws from every topic, like the real one.

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Question 1

A testimonial in a retail communication about a technical aspect of investing must disclose:

  1. That the person giving it has the knowledge and experience to form a valid opinion
  2. The full home address of the person who gave it
  3. The person's account number and current balance
  4. That the firm guarantees results like those described
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A. That the person giving it has the knowledge and experience to form a valid opinion — Rule 2210(d)(6) requires testimonials on technical aspects of investing to come from a person with knowledge and experience to form a valid opinion, and requires disclosure if the person is paid more than $100 or if past performance is not indicative.

Question 2

Since 1 June 2026, MSRB Rule G-20 limits gifts that a FINRA-member dealer gives in relation to municipal securities activities to:

  1. $100 per person per year, unchanged since the 1970s
  2. $250 per person per election, as under Rule G-37
  3. $500 per person per year, with no aggregation
  4. $300 per person per year, matching FINRA Rule 3220
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D. $300 per person per year, matching FINRA Rule 3220 — The MSRB amended G-20 to raise the gift limit from $100 to $300, operative 1 June 2026 for FINRA-member dealers; bank dealers and municipal advisors must comply by 1 December 2026 (MSRB Notice 2026-04).

Question 3

Which person meets FINRA's definition of an institutional investor for an institutional communication?

  1. A person with income above $200,000
  2. Any accredited investor under Regulation D
  3. A person with total assets of at least $50 million
  4. A person with at least $1 million in a retirement plan
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C. A person with total assets of at least $50 million — Rule 4512(c) includes as an institutional account a person (natural or not) with total assets of at least $50 million; Rule 2210(a)(4) uses this definition.

Question 4

Under MSRB Rule G-21, a municipal advertisement must be approved before first use by:

  1. The trustee named in the indenture
  2. A municipal securities principal or general securities principal
  3. The issuer's bond counsel
  4. The MSRB staff in Washington
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B. A municipal securities principal or general securities principal — G-21(f) requires approval in writing by a principal before first use, and records must be kept.

Question 5

Before making a cold call to a prospect under FINRA Rule 3230, a representative must check:

  1. Only state lists of past customer complaints
  2. Nothing, as long as the call is made during business hours
  3. The firm's do-not-call list and the national registry
  4. Only the firm's own list of current customers
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C. The firm's do-not-call list and the national registry — Rule 3230(a)(3) prohibits calls to persons on the firm's do-not-call list or the national do-not-call registry, subject to exceptions such as an established business relationship.

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