Series 7 Mastery Get the book

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Series 7 Mastery: Table of Contents

All 19 chapters and every section, organized by FINRA's four job functions. Each section teaches a concept, works an example step by step, and ends with a Test Yourself question.

Chapter 1 · Start here

The Series 7 Exam and How to Pass It

  1. 1.1 What the Series 7 Is
  2. 1.2 Exam Format and Scoring
  3. 1.3 The Four Job Functions
  4. 1.4 How Exam Questions Are Built
  5. 1.5 A Study System That Works
  6. 1.6 A Note on Rules That Change

Chapter 2 · Function 1

Prospecting, Communications and New Issues

  1. 2.1 The Three Categories of Communication
  2. 2.2 Social Media, Seminars and Generic Advertising
  3. 2.3 Telemarketing Rules
  4. 2.4 The Registration Process for New Issues
  5. 2.5 Underwriting the Offering
  6. 2.6 Exempt Securities and Exempt Transactions
  7. 2.7 Rule 144: Restricted and Control Securities
  8. 2.8 Equity IPO Allocation Rules: Rules 5130 and 5131

Chapter 3 · Function 2

Opening and Managing Customer Accounts

  1. 3.1 The New Account Form and Customer Identification
  2. 3.2 Know Your Customer, Regulation Best Interest and Suitability
  3. 3.3 Forms of Account Ownership
  4. 3.4 Third-Party and Discretionary Authority
  5. 3.5 Special Accounts and Protecting Senior Investors
  6. 3.6 Anti-Money Laundering
  7. 3.7 Privacy, Statements and Account Documents

Chapter 4 · Function 2

Retirement and Education Accounts

  1. 4.1 Traditional and Roth IRAs
  2. 4.2 Rollovers, Transfers and Conversions
  3. 4.3 Employer-Sponsored Plans
  4. 4.4 Education Savings: 529 Plans and Coverdell ESAs
  5. 4.5 Choosing the Right Account: Suitability Scenarios

Chapter 5 · Function 3

Equity Securities

  1. 5.1 Common Stock and Shareholder Rights
  2. 5.2 Dividends and the Dividend Timeline
  3. 5.3 Preferred Stock
  4. 5.4 Convertible Securities
  5. 5.5 Rights and Warrants
  6. 5.6 American Depositary Receipts

Chapter 6 · Function 3

Debt Securities: Prices, Yields and Risks

  1. 6.1 Bond Basics and Price Quotes
  2. 6.2 The Four Yields
  3. 6.3 Interest-Rate Risk and Duration
  4. 6.4 Call Features, Put Features and Sinking Funds
  5. 6.5 Accrued Interest
  6. 6.6 Credit Quality and the Yield Curve

Chapter 7 · Function 3

Corporate Debt and Money Market Instruments

  1. 7.1 Secured and Unsecured Corporate Bonds
  2. 7.2 The Trust Indenture Act and Bondholder Protection
  3. 7.3 High-Yield Bonds, Convertible Bonds and Bond Suitability
  4. 7.4 Money Market Instruments

Chapter 8 · Function 3

U.S. Government, Agency and Mortgage-Backed Securities

  1. 8.1 Treasury Bills, Notes and Bonds
  2. 8.2 STRIPS and TIPS
  3. 8.3 Agency Securities
  4. 8.4 Mortgage-Backed Pass-Through Securities
  5. 8.5 Collateralized Mortgage Obligations (CMOs)

Chapter 9 · Function 3

Municipal Securities

  1. 9.1 General Obligation and Revenue Bonds
  2. 9.2 Analyzing Municipal Credit
  3. 9.3 Taxation of Municipal Securities
  4. 9.4 Municipal Notes and Other Short-Term Securities
  5. 9.5 Municipal Underwriting
  6. 9.6 MSRB Rules and Municipal Trading

Chapter 10 · Function 3

Investment Companies: Mutual Funds, ETFs and UITs

  1. 10.1 The Investment Company Act of 1940
  2. 10.2 Mutual Fund Pricing
  3. 10.3 Share Classes, Breakpoints and Sales Charge Reductions
  4. 10.4 Types of Funds and Disclosure Documents
  5. 10.5 Closed-End Funds, ETFs, ETNs and UITs
  6. 10.6 Taxation of Fund Distributions

Chapter 11 · Function 3

Variable Annuities and Insurance-Based Products

  1. 11.1 Fixed versus Variable Annuities
  2. 11.2 Accumulation Units, Annuity Units and the AIR
  3. 11.3 Payout Options
  4. 11.4 Taxation of Annuities
  5. 11.5 Suitability and Sales Practices for Variable Annuities
  6. 11.6 Variable Life Insurance

Chapter 12 · Function 3

Direct Participation Programs, REITs and Alternative Investments

  1. 12.1 How Limited Partnerships Work
  2. 12.2 Tax Treatment of DPPs
  3. 12.3 Types of DPP Programs
  4. 12.4 Real Estate Investment Trusts (REITs)
  5. 12.5 Hedge Funds, Private Funds and Structured Products

Chapter 13 · Function 3

Options I: Fundamentals and Basic Strategies

  1. 13.1 Calls, Puts, Buyers and Sellers
  2. 13.2 Intrinsic Value, Time Value and "Moneyness"
  3. 13.3 Long and Short Calls
  4. 13.4 Long and Short Puts
  5. 13.5 Hedging and Income Strategies with Stock
  6. 13.6 Exercise, Assignment and Expiration

Chapter 14 · Function 3

Options II: Spreads, Straddles, Index Options and Rules

  1. 14.1 Spreads
  2. 14.2 Straddles and Combinations
  3. 14.3 Index Options
  4. 14.4 Currency and Interest-Rate Options
  5. 14.5 Opening Options Accounts and Margin Requirements
  6. 14.6 Taxation of Options

Chapter 15 · Function 3

Economics, Investment Analysis and Portfolio Management

  1. 15.1 The Business Cycle and Economic Indicators
  2. 15.2 Monetary and Fiscal Policy
  3. 15.3 Fundamental Analysis
  4. 15.4 Technical Analysis
  5. 15.5 Investment Risks
  6. 15.6 Portfolio Strategies and Returns

Chapter 16 · Function 3

Taxation of Investments

  1. 16.1 Types of Taxes and Investment Income
  2. 16.2 Netting Capital Gains and Losses
  3. 16.3 Cost Basis
  4. 16.4 Wash Sales
  5. 16.5 Gift and Estate Taxes
  6. 16.6 Taxation of Bond Income

Chapter 17 · Function 3

Margin Accounts

  1. 17.1 Margin Basics and the Rules That Govern Them
  2. 17.2 Long Margin Accounts
  3. 17.3 Maintenance Requirements for Long Accounts
  4. 17.4 Short Margin Accounts
  5. 17.5 Day Trading and the 2026 Intraday Margin Standards

Chapter 18 · Function 4

Orders, Trading, Settlement and Confirmations

  1. 18.1 Market Structure and the Firm's Role
  2. 18.2 Order Types
  3. 18.3 Quotes, Markups and Best Execution
  4. 18.4 Short Sales and Regulation SHO
  5. 18.5 Settlement, Delivery and Confirmations
  6. 18.6 Trade Reporting and Market-Wide Halts

Chapter 19 · Function 4

Regulation, Prohibited Practices, Complaints and Records

  1. 19.1 The Regulatory Framework
  2. 19.2 Prohibited Sales Practices
  3. 19.3 Market Manipulation and Trading Abuses
  4. 19.4 Registration, Outside Activities and Continuing Education
  5. 19.5 Customer Complaints and Dispute Resolution
  6. 19.6 Books and Records

Back matter

Practice exam, answers and reference

  1. PE 125-question practice exam, weighted like the real Series 7
  2. AK Answer key for every Test Yourself question and the practice exam, with explanations
  3. FS Formula sheet
  4. GL Glossary