The Series 22 Direct Participation Programs Limited Representative Exam (DR) qualifies individuals to become an entry-level registered representative as a direct participation programs representative. Individuals who pass the Series 22 may solicit and sell interests in DPPs (including real estate, oil and gas, equipment leasing, BDCs, agricultural, like-kind exchanges, etc.)

The exam tests your knowledge of the four major job functions of a direct participation program representative:  

Seeks Business for the Broker-dealer from Customers and Potential Customers (17 questions)

Opens Accounts After Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives (4 questions)

Provides Customers with Information About Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records (27 questions)

Obtains and Verifies Customers’ Purchase Instructions and Agreements; Processes, Completes and Confirms Transactions (2 questions)

The Securities Industry Essentials (SIE) exam is “corequisite” with the Series 22 exam, which means that you must pass both the SIE exam and the Series 22 exam to obtain the Direct Participation Programs Representative registration.

A DPP is a special label that regulators give to businesses that:
- Are set up as one of several types of entities that feature pass-through taxation (limited partnerships, for example)
- Have mostly passive investors, which are investors that aren't actively involved in managing the business (the limited partners in a limited partnership, for example)
- Do not have any of their securities trading on a securities exchange.

DPPs are most common in the real estate and oil & gas industries. Status as a DPP means that a business is subject to rules designed to protect DPP investors.

We recommend studying 60 hours.

Pass Perfect offers a complete Series 22 study program, which includes an online course, print or ebook, and unlimited online exams throughout the course, including unlimited final exams.

Yes. To take the Series 22, and any other FINRA exam besides the SIE, you must be sponsored by a FINRA-member firm. To take the Series 22, a FINRA member firm must file a Form U4 on your behalf through FINRA Gateway (This capability in Classic CRD was retired April 5, 2021). You will have to get fingerprinted and answer a lengthy set of questions about your background.

After your firm receives your enrollment notification from FINRA, you have 120 days to schedule an appointment to take the exam, which is administered by Prometric. You can schedule an appointment online at www.prometric.com/finra, as well as get information on the closest testing center. Rescheduling and refunds are also handled via Prometric.

There are 50 questions on the exam.

You have 90 minutes to complete the exam. You are allowed to take restroom breaks during the exam. However, the clock will continue counting down. See the FINRA website for more details on what to expect when taking your exam.

A score of 70% is required for passing. Note: Your score will be rounded down to the next lowest whole number (e.g. 69.9% would be a final score of 69% - not a passing score for the Series 22 Exam).

The cost of the exam is $60.

You will have two years between jobs before the license expires. When you stop working for a firm, your employer will file a Form U5 to terminate your registration. Your next employer will file a Form U4, which will re-register you. As long as you do not exceed two years between employers, your Series 22 license will remain active.

After passing the Series 22, you have two years to become registered with a state, otherwise the exam will show “expired” in the Central Registration Depository, and you will have to sit for the exam again. Contact your state regulator for more information regarding your state’s registration rules and process.