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Series 4 is a license and exam, which is also called the Registered Options Principal Exam. Individuals who successfully complete the exam gain the ability to supervise options sales personnel and handle compliance issues. The exam has 135 multiple-choice questions, which must be completed within the three-hour-and-fifteen-minute time frame. Candidates must answer at least 72% of the questions correctly to pass the exam and gain their Series 4 credential. Before taking the Series 4 exam, test-takers must already have their Series 7 license.
If you're interested in taking the Series 4 Exam, you should start by going over the material that the test will cover. Broadly speaking, the exam asks questions on topics like options strategies, foreign exchange options, and taxation. More specifically, the Series 4 Exam is split into six distinct categories, all of which test a different function of the role of an options supervisor. This includes sections like supervising the opening of new accounts, adhering to regulatory requirements, and supervising general options trading. Many candidates find it helpful to seek guidance as they begin their test preparation process. If you could use some help getting ready for your exam, consider working with a Series 4 tutor.