Today I feel like taking on a title and designation I have seen being used by some individuals with the apparent purpose of signifying a high degree of training and education. The title is "registered representative" and the designation is a "Series 7." Your Financial Advisor may list these among their qualifications.





When I began in this industry, the title of this post was my belief.





Being a registered representative or holding a Series 7 license does not provide you the education necessary to dispense good financial advice. These designate nothing more than that an individual has met the minimum requirements to sell financial products. Yes, SELL financial products, not provide advice.





I once held a Series 7 when working for an insurance company. I spent a couple weeks reading a book, than took an exam. I scored a 93% on the exam. When I informed my sales manager that I had passed and provided my score, his first comment was "You studied 23% too much!" Odd. I was trying to learn as much as I could because I thought it would allow me to help people better, and my boss tells me it is a waste of time. This attitude is not isolated to this one individual.





So next time you see a financial advisor who proudly proclaims that he's a registered representative and holds a Series 7 license, understand how little weight that proclamation carries. Not only is the educational material very thin, but the belief is to only do enough to pass because knowing the material well is not important to selling product. Let me say that again...knowing the material will is not important to selling product!



