How to Become an Investment Adviser Representative (IAR): Series 65 vs 66 Explained

What Is an Investment Adviser Representative (IAR)?

An Investment Adviser Representative (IAR) is a financial professional who provides investment advice to clients and is registered under either state securities regulators or the SEC through a Registered Investment Adviser (RIA).

IARs often work directly with individuals, families, and businesses to help them develop investment strategies, build and manage portfolios, create financial plans, prepare for retirement, and monitor long-term financial goals. Many IARs are also dually licensed as a registered representative of a broker-dealer.

Unlike many commission-based or transaction based compensation roles, IARs are generally held to a fiduciary standard, meaning they must act in their clients' best interests when providing advice.

Why Choose a Career as an Investment Adviser Representative?

The advisory profession continues to evolve as investors increasingly seek personalized guidance rather than transactional product recommendations. STC's guide on why professionals should consider a securities and financial advisor career highlights the demand for trusted financial guidance, career mobility, and strong long-term opportunity in this space.

Fiduciary-focused career, recurring revenue opportunities, career flexibility, and growing demand are some of the reasons professionals might choose to enter the field.

Series 65 vs Series 66: What’s the Difference?

Both licenses allow professionals to provide investment advice, but they serve different career paths.

What is the Series 65?

The Series 65 exam is the Uniform Investment Adviser Law Examination. It is designed for individuals who want to become Investment Adviser Representatives without obtaining a Series 7 license.

- No firm sponsorship required
- Standalone advisory license
- Focuses on investment principles, regulations, ethics, and portfolio management
- Common among independent advisors and RIAs

The Series 65 is often the preferred route for professionals entering the advisory space directly or those individuals not associated with a brokerage firm.

What is the Series 66?

The Series 66 exam is the Uniform Combined State Law Examination. It combines material from the Series 63 and Series 65 into a single exam.

- Requires an active Series 7 license
- Complements broker-dealer registration
- Allows representatives to provide advisory services and conduct securities business
- Common among financial advisors working for broker-dealers and wealth management firms

Series 65 vs Series 66 Comparison

Feature Series 65 Series 66 Requires Series 7? No Yes Sponsorship Required? No No Best For Independent advisors Financial Advisor / Wealth Management Advisory Authority Yes Yes Securities Transactions No Requires Series 7 Career Path RIA / Independent Financial Advisor / Wealth Management

Do You Need the SIE or Series 7 to Become an IAR?

Not necessarily. The path depends on which advisory license you pursue.

Step-by-Step: How to Become an Investment Adviser Representative

• Choose Your Licensing Path
• Prepare for the Required Exam
• Pass Your Exam
• Complete Registration Requirements
• Begin Advising Clients

What Jobs Can You Get with a Series 65 or 66?

Advisory licensing can support a variety of financial services careers, including Investment Adviser Representative, Financial Advisor, Wealth Manager, Retirement Planning Specialist, Financial Planner, Investment Consultant, Portfolio Management Associate, and Relationship Manager.

Salary and Career Growth for IARs

Earnings can vary significantly based on experience, client assets, geography, and compensation structure. Many entry-level advisory professionals earn a base salary while building client relationships.

As assets under management increase, compensation often expands through advisory fees, revenue sharing, bonus opportunities, and business ownership.

Experienced advisors managing substantial client assets can achieve significant long-term income growth. The combination of recurring revenue and client retention often creates attractive career stability compared to purely commission-based sales roles.

IAR Continuing Education Requirements

Many states now require Investment Adviser Representatives to complete annual continuing education (CE). STC's guide to the IAR Continuing Education Model Rule explains which advisors are impacted, how the rule works, and how state adoption affects requirements.

Ethics and Professional Responsibility

This requirement focuses on regulatory updates, fiduciary obligations, and ethical conduct.

Products and Practice

This requirement helps advisors stay current on industry developments, investment products, and advisory best practices.

Annual Compliance Requirements

CE requirements must generally be completed each year to maintain registration. STC's IAR CE key requirements resource explains the annual credit categories and deadline expectations.

How to Choose Between Series 65 and Series 66

The right choice depends on your current licenses and career objectives.

Best Way to Prepare for the Series 65 or 66 Exam

Most candidates spend between four and eight weeks preparing for either exam. Successful preparation typically includes structured study schedules, practice exams, performance analytics, video instruction, reinforcement quizzes, and comprehensive review materials.

Frequently Asked Questions

• Do you need a sponsor for the Series 65?
• Is Series 65 harder than Series 66?
• Can you be an advisor with just a Series 65?
• How long does it take to become an IAR?