Okla. Admin. Code § 660:11-7-13

Current through Vol. 42, No. 7, December 16, 2024

Section 660:11-7-13 - Examination requirements for investment adviser representatives

(a)Examination requirements. Proof of compliance with the written examination requirements of this Section is prerequisite to a complete filing for registration under the Securities Act.

(b)Examinations. Every natural person seeking registration as an investment adviser or investment adviser representative shall, unless covered by (c) or (e) of this Section or otherwise waived by the Administrator, have passed:

(1) the Series 65/Uniform Investment Adviser Law Examination (Series 65) within two years of the date of application; or

(2) the Series 66/Uniform Combined State Law Examination (Series 66) and the FINRA Series 7/General Securities Representative Examination (Series 7) within two years of the date of application, and

(3) the Securities Industry Essential Examination within four years of the date of application.

(c)Designations acceptable in lieu of examinations. Compliance with the examination requirements is waived if the applicant has been awarded any of the following designations and at the time of filing an application the designation is current and in good standing:

(1) Certified Financial Planner ("CFP") awarded by the Certified Financial Planners Board of Standards;

(2) Chartered Financial Consultant ("ChFC") or Masters of Science and Financial Services ("MSFS") awarded by the American College, Bryn Mawr, Pennsylvania;

(3) Chartered Financial Analyst ("CFA") awarded by the Institute of Chartered Financial Analysts;

(4) Personal Financial Specialist ("PFS") awarded by the American Institute of Certified Public Accountants;

(5) Chartered Investment Counselor ("CIC") awarded by the Investment Adviser Association; or

(6) Any further certificates or credentials that are placed on the NASAA 65 Equivalency List, as maintained and updated by NASAA and the NASAA Exams Advisory Committee.

(d)Change in series number. Should FINRA examination series numbers change, the most current examination series applicable to the category of registration shall apply.

(e)Validity of prior examination scores.

(1) Any individual who has been registered as an investment adviser representative in any state within two years from the date of filing an application for registration under the Securities Act shall not be required to retake the examinations to be eligible for registration.

(2) Any individual who is not registered as an investment adviser representative in any state for more than two years but less than five years, who has elected to participate in the FINRA Maintaining Qualifications Program pursuant to FINRA Rule 1240(c), and whose appropriate FINRA qualifying examinations remain valid pursuant to effective participation in the FINRA Maintaining Qualifications Program shall not have to retake the appropriate FINRA qualifying examinations to comply with the examination requirements of (b)(2) of this Section; provided, however, that successful participation in the FINRA Maintaining Qualifications Program shall not extend the Series 65 or the Series 66 for purposes of investment adviser representative registration.

(3) An individual who terminates their registration as an investment adviser representative may maintain the validity of their Series 65 or the investment adviser portion of the Series 66, as applicable, without being employed by or associated with an investment adviser or federal covered investment adviser for a maximum of five years following the termination of the effectivenss of the investment adviser representative registration if the individual meets all of the following:

(A) the individual previously took and passed the examination for which they seek to maintain validity under this Section;

(B) the individual was registered as an investment adviser representative for at least one year immediately preceding the termination of the investment adviser representative's registration;

(C) the individual was not subject to a statutory disqualification as defined in Section 3(a)(39) of the 1934 Act while registered as an investment adviser representative or at any period after termination of the registration;

(D) the person elects to participate in the Exam Validity Extension Program ("EVEP") under this paragraph within two years from the effective date of the termination of the investment adviser representative's registration;

(E) the individual does not have a deficiency under the investment adviser representative continuing education program at the time the investment adviser representative's registration becomes ineffective;

(F) the person completes annually on or before December 31 of each calendar year in which the person participates in EVEP:

(i) six (6) continuing education credits of IAR Ethics and Professional Responsibility Content, as defined in 660:11-7-49, offered by an authorized provider, including at least three (3) hours covering the topic of ethics; and

(ii) six (6) continuing education credits of IAR Products and Practice Content, as defined in 660:11-7-49, offered by an authorized provider;

(G) An individual who elects to participate in EVEP is required to complete the continuing education credits required by (F) for each calendar year that elapses after the individual's investment adviser representative registration became ineffective regardless of when the individual elects to participate in EVEP; and

(H) An individual who complies with the FINRA Maintaining Qualification Program under FINRA Rule 1240(c) shall be considered in compliance with (F)(ii).

(f)Waiver of examination requirement. The Administrator may waive the examination requirement on a case-by-case basis when such action is determined to be consistent with the purposes fairly intended by the policy and provisions of the Securities Act. Requests for waivers shall be in writing setting forth the justifications therefor.

Okla. Admin. Code § 660:11-7-13

Added at 21 Ok Reg 2532, eff 7-1-04; Amended at 30 Ok Reg 2076, eff 8-1-13

Amended by Oklahoma Register, Volume 35, Issue 24, September 4, 2018, eff. 11/1/2018

Amended by Oklahoma Register, Volume 39, Issue 24, September 1, 2022, eff. 9/15/2022

Amended by Oklahoma Register, Volume 40, Issue 22, August 1, 2023, eff. 9/15/2023

Amended by Oklahoma Register, Volume 41, Issue 22, August 1, 2024, eff. 8/15/2024