Final answer:
A registered representative has a two-year period to re-associate with a member firm before her securities licenses expire. If she fails to do so within this period, she must retake the qualification exams to regain her licenses.
Step-by-step explanation:
When a registered representative leaves a member firm, she has a grace period during which her securities licenses remain valid before expiring. This period is commonly referred to as the license expiration period. For most licenses, such as the Series 7 or Series 63, the Financial Industry Regulatory Authority (FINRA) typically provides a two-year period in which the individual can re-associate with another member firm before the licenses become inactive. During this time, if the registered rep does not become associated with another firm, she will have to retake the qualification exams to regain her licenses.