02.02.05.14

.14 Examination Requirements for Investment Advisers and Investment Adviser Representatives.

A. General Provisions.

(1) An investment adviser or investment adviser representative registered or required to be registered in this State shall:

(a) Pass with a score of 70 or better the examination or examinations designated by the Commissioner;

(b) Qualify for an exemption from the examination requirement under §C or D of this regulation; or

(c) Receive a waiver of the examination requirement under §F of this regulation.

(2) The person who is designated a principal under Regulation .13B of this chapter shall fulfill the investment adviser's examination requirement.

B. Designated principals and applicants for initial registration as investment adviser representative shall pass the following examinations administered by the FINRA:

(1) Series 65 examination as adopted by the Commissioner on January 1, 2000; or

(2) Series 7 examination and the Series 66 examination as adopted by the Commissioner on January 1, 2000.

C. The provisions of §B of this regulation do not apply to a designated principal or an applicant for initial registration as an investment adviser representative, if the individual has earned a credential designated by the Commissioner including, but not limited to, the following, and at the time of application is in good standing with the organization that issued the credential:

(1) Certified Financial Planner (CFP) awarded by the Certified Financial Planner Board of Standards, Inc.;

(2) Membership in the Registry of Financial Planning Practitioners of the International Association for Financial Planning, membership in which is awarded by the International Association for Financial Planning;

(3) Chartered Financial Consultant (ChFC) awarded by the American College, Bryn Mawr, Pennsylvania;

(4) Personal Financial Specialist (PFS) awarded by the American Institute of Certified Public Accountants;

(5) Chartered Financial Analyst (CFA) awarded by the Institute of Chartered Financial Analysts; or

(6) Chartered Investment Counselor (CIC) awarded by the Investment Counsel Association of America, Inc.

D. Grandfathering Provisions.

(1) The provisions of §B of this regulation do not apply to a designated principal or an applicant for initial registration as an investment adviser representative, if the:

(a) Individual was approved by the Commissioner as the designated principal for a registered investment adviser as of January 1, 2000; or

(b) Individual was registered in any jurisdiction in the United States as an investment adviser representative or investment adviser as of January 1, 2000.

(2) Notwithstanding §D(1) of this regulation, the Commissioner may require additional examinations for an individual found to have violated any state or federal law.

E. An individual who has not been registered in any jurisdiction for a period of 2 years shall be required to comply with the provisions of §B of this regulation.

F. Based on a demonstration by an individual of relevant factors including, but not limited to, education and experience, the Commissioner shall consider an individual's request for a waiver of the examination requirements in accordance with the Maryland Securities Act, Corporations and Associations Article, §11-412(c)(6), Annotated Code of Maryland.