Series 28 Exam 2025: Cost, Details, and Key Insights for Aspiring Financial Operations Principals

What Is the Series 28 Exam?

The Series 28 exam, officially known as the Introducing Broker-Dealer Financial and Operations Principal Qualification Exam, is a specialized financial test designed for individuals seeking licensure as recordkeepers or operations principals within broker-dealer firms or securities custodians that do not hold customer accounts or assets.

Key Highlights

• Administered by the Financial Industry Regulatory Authority (FINRA).
• Required for professionals aiming to become licensed financial and operations principals.
• Essential for those pursuing compliance and operational roles in the securities industry.
• Ensures candidates understand accurate transaction recording and compliance with the Securities Investor Protection Act.
• The exam consists of 95 questions to be completed in two hours, requiring a passing score of 69% or higher.
• Candidates must be sponsored by a qualifying financial firm before sitting for the exam.
• Exam content covers financial reporting, industry regulations, net capital requirements, and customer protection.

Understanding the Importance of Series 28

FINRA administers the Series 28 exam to certify that candidates possess the expertise to manage and oversee accurate investment transaction records while complying with regulatory standards such as the Securities Investor Protection Act of 1970. This exam is pivotal for new professionals, often known as 'FinOps,' who supervise the financial and operational compliance of broker-dealer firms.

These professionals must not only grasp regulatory frameworks but also deeply understand the diverse financial products traded, ensuring precise and consistent transaction documentation.

Practical Applications of Series 28 Certification

The Series 28 credential underscores the critical role of precise recordkeeping for investor protection. Given the broad spectrum of securities available, professionals must adeptly handle various transaction types including income distributions, principal payments, redemptions, accrued interest, rights, and warrants.

Passing the Series 28 exam validates a candidate’s ability to perform fiduciary duties effectively, safeguarding the investing public and ensuring regulatory compliance.

Successful candidates become eligible for essential back-office roles, managing the maintenance and preparation of broker-dealer records. Sponsorship by a FINRA member or another authorized self-regulatory organization (SRO) is mandatory before exam registration.

Details of the Series 28 Exam

The exam includes 95 multiple-choice questions divided into four core areas: (1) financial reporting; (2) operations, general securities industry regulations, and record preservation; (3) net capital requirements; and (4) customer protection alongside funding and cash management.

Candidates have two hours to complete the exam, and a minimum score of 69% is required to pass. Unlike many other FINRA exams, Series 28 does not have prerequisites, but sponsorship by a qualifying firm is required.

The majority of questions focus on operational procedures and regulatory compliance within the securities industry, including safeguarding customer assets and ensuring financial report accuracy.

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