Other FINRA Exams

SIEView All Exams Series 3View All Exams Series 6View All Exams Series 7View All Exams Series 9View All Exams Series 10View All Exams Series 24View All Exams Series 26View All Exams Series 57View All Exams Series 63View All Exams Series 65View All Exams Series 66View All Exams Series 79View All Exams Series 99View All Exams

Series 4 Exam Overview

The Series 4 exam, officially known as the Registered Options Principal Qualification Examination, is a FINRA-administered test that qualifies individuals to supervise options trading and sales activities at a brokerage firm. It is intended for professionals who will oversee options accounts, approve customer options transactions, and supervise personnel involved in options trading.

This exam is required for individuals seeking to register as Registered Options Principals (ROPs) and is most often taken by those in compliance, supervisory, or management roles within a firm that deals in listed options.

What the Series 4 Exam Covers

The Series 4 exam focuses on rules, regulations, and supervisory responsibilities specific to the options market. Candidates are expected to demonstrate an in-depth understanding of:

• Options trading strategies and products
• Exchange rules and procedures (including CBOE and OCC regulations)
• Margin requirements for options accounts
• Suitability standards for options customers
• Supervision of registered representatives involved in options activities
• Regulatory reporting and compliance issues
• FINRA and SEC rules applicable to options business

The exam is designed not to test sales knowledge, but to evaluate a candidate’s ability to supervise and ensure compliance in options-related activities.

Series 4 Exam Format and Requirements

The Series 4 exam consists of 125 multiple-choice questions, and candidates are given 3 hours and 15 minutes to complete it. A passing score is 70%, which requires at least 88 correct answers.

To take the Series 4 exam, candidates must:

• Be sponsored by a FINRA-member firm or other self-regulatory organization (SRO)
• Have passed the Series 7 exam, as it is a prerequisite for Series 4 eligibility

The Series 4 is a closed-book exam and is administered at Prometric testing centers or via remote proctoring when available.

Why the Series 4 License Matters

The Series 4 license is essential for professionals who oversee options trading at broker-dealers. Holding this credential allows individuals to:

• Supervise options sales and trading personnel
• Approve or disapprove options accounts and orders
• Ensure firm compliance with regulatory obligations related to options

For those in compliance, risk management, or supervisory positions, the Series 4 license is a key step toward ensuring the integrity and regulatory soundness of their firm’s options operations.

How to Prepare for the Series 4 Exam

While the Series 4 is narrower in focus than some other FINRA exams, it requires a deep understanding of complex rules, supervisory procedures, and regulatory frameworks. Candidates should:

• Study the FINRA content outline
• Use a trusted Series 4 study guide or course
• Review real-world scenarios and supervisory cases
• Take full-length practice exams that simulate the actual test format
• Focus on memorizing specific rule sets and options-related regulations

Our site offers realistic Series 4 practice questions and resources to help you test your knowledge, identify weak areas, and prepare with confidence.