Late August is the time of year when many newly hired investment bankers find themselves repeating the Series 79 Exam. This is perfectly normal and happens every single year. Most students are rarely given enough time to pass. Some still do of course, but this is no reflection on the competency of those that fail.
In today’s post, we offer some helpful hints on how to make sure you get over the finish line the next time.
Repeating the Series 79 Exam: Sticking Points
Familiar culprits are largely to blame for failing the Series 79 Exam. Many sections are difficult to understand. A few of them include: Fairness opinion, tender offers, valuation ratios, exemptions, Regulation M and equity research rules.
If any of those sections resonate as confusing to you, you are not alone. None of these sections are particularly difficult, but many of them include jargon that is not quite clear until clarified!
For instance, tender offers and fairness opinions are sometimes not fully understood in plain English. Knowing that tender offers are offers at a fixed price generally helps as a starting point. Fairness opinions are essentially investment banker recommendations regarding the fairness of an acquisition.
Other sections like valuation, on the other hand, can be more complex for multiple reasons. The exam has preferred approaches to valuation, and the intuition behind valuing companies is not always obvious.
What To Do
Aside from the obvious – and hiring a Series 79 Tutor 😉 – artificial intelligence (e.g., Chat, Claude, etc) can be excellent help on the side. AI tutors will help with the sections you find difficult.
That said, try to use them intelligently. Try to find real world examples based on jargon like tender offers and fairness opinions. Explanations tend to stick better when they are understood in simple terms.
Next, make sure you can answer questions on the platform given to you by your employer. For the Series 79 we highly recommend Knopman Marks – but STC is another alternative.
Overall, the Series 79 Exam is one of the most important for investment bankers starting their jobs.
To save some time having to retake the exam, consider some of the tips above. If you have any other questions, feel free to reach out! Good luck!