Hey, I was just wondering how hard the 86/87 exam is and do most firms required you to have it to be an analyst? Also, if any of you have taken it how does it pertains or help you with the CFA exam. FINRA disclosed that if you reached level two, you were exempt from the regulations part I believe.
You need to pass 7, 63, 86 and 87 in order to have your name on the cover of a research report. If you pass the first two levels of the CFA, you’re exempt from Series 86. Otherwise, Series 86 is easier than the CFA Level I, and Series 87 is just another regulatory/best practices exam that you can pass if you follow a similar study methodology as you did for Series 63.
Numi, I would take you up on that but I feel that your services should be paid for and right now I am trying to get my asset managment business off the ground, as well as studying for the CFA. I would looking to become an assoicate research analyst because it has always been something I want to. Still wondering how hard the exams are and if it remotely close to the CFA. Took level 1 2008 dec in NYC and was one tier away from passing. I have submitted resumes to different companies the past couple of weeks and havent heard anything. I assuming they are probably getting them by the thousands.
badamson – the career consulting services I sell are something that people on this forum often enlist me for (and are part of my “signature”). However, those services aren’t something that fit your needs or timing right now, then please don’t feel compelled to sign up for something you don’t need. As for your question, the Series 86 and 87 exams aren’t difficult compared to CFA Level I. However, you shouldn’t really take them at your expense; if you end up getting a research position, the firm will sponsor you. Some people think that taking those exams might help get their foot in the door, but in practice it doesn’t work that way – because you’re right, banks are probably getting resumes by the hundreds at least, if not thousands. What you need to do is to find another way to stand out among the pack – best way to do that is through a personal connection, but another way would be to demonstrate in your resume/cover letter your passion for investing and showing them that you REALLY want to do equity research and understand what you’re getting yourself into. Too often, people write these generic cover letters where, if I changed every instance of “equity research” to “investment banking” or “consulting,” the cover letter would still make sense. You *don’t* want to do that. Make sure to tailor your documents to the role you’re interviewing for, specifically by aligning your strengths with what the day-to-day responsibilities of the job are and also by knowing how to speak the equity research lingo. Very few people actually do this (either because they don’t think about it or just don’t really know much about the role they’re applying for), but if you can accomplish this, you will probably stand out. Hope this helps!
The study materials for the 86 (and 87) are quite breezy - looks like something (for someone with experience in finance) that will take a weekend at most. Is the test as shallow as the materials make it seem, or am I underestimating the degree of difficulty?
That’s all subjective. I guess you’ll find out when you take it, right?
The 86 is deceptively tricky. Quite a few people fail it, but because it’s tricky, not hard, it’s tough to prepare for it.
Just a fair warning: passing the first 2 levels of the CFA alone will not guarantee you an exemption from the 86…you need 2 years in a sell side role or some qualifying experience (not specified) which is approved by FINRA.
Are the online practice tests by STC similar to what the actual test is like? In terms of types of questions and difficulty in general?
Scott, you sure about that? I took the 86/87 3 yrs ago (before even taking Level 1), but I remember being told just having L2 under your belt exempts you. Is this a new law? darkxfriend - Like I said, It’s been 3 yrs for me, but STC was sufficient in preparing. The STC questions resembled the actual questions I’d say, though I remember there being some tricky calculation questions.
If you pass the first two levels of CFA, you’re exempt as long as you apply for exemption within two years of passing level 2 or have been working in a research capacity for a certain amount of time leading up to the application for exemption.
LICandidate Wrote: ------------------------------------------------------- > If you pass the first two levels of CFA, you’re > exempt as long as you apply for exemption within > two years of passing level 2 or have been working > in a research capacity for a certain amount of > time leading up to the application for exemption. change the or to an AND mp2438 - not sure if its a new rule or firm-specific. FINRA is like a black hole