Category: FINRA

Abuses in the Bond World Relate to Lack of Transparency and Conflicts of Interests

Last month’s FINRA Disciplinary Actions (April 2017) triggered this bond focused post. In April of 2017, FINRA took disciplinary action against J.P. Morgan Securities and Morgan Stanley Smith Barney related to their respective bond activities. Sadly, this is far from the first time that major firms such as JP Morgan and Morgan Stanley have been sanctioned by regulators. What is unique, however, is that both were sanctioned in the same […]

Learn More

FINRA Reforms Are Needed To Protect The Investing Public

Mar 28, 2017 / Blog Posts

Most investors in the United States must rely on the FINRA arbitration process to attempt to recover damages caused by investment professionals. Additionally, the investing public must rely primarily on FINRA regulators (along with the SEC) to protect investors from bad actors and bad actions of investment professionals. Unfortunately, many believe FINRA is not up to either job, much less both the regulatory and arbitration side of the investor watchdog […]

Learn More

Recent FINRA Sanctions Against Merrill Lynch May be Just the Beginning

Feb 15, 2017 / FINRA

The Financial Industry Regulatory Authority (FINRA) recently announced a small fine against Merrill Lynch, Pierce, Fenner & Smith Inc. (Merrill Lynch) relating to the recommendation of leverage to clients. In reality, FINRA has only scratched the surface of a monumental problem in the retail securities industry that will likely lead to devastating results for clients of Wall Street firms when interest rates rise, and the markets turn bearish as part […]

Learn More

SEC exec recognizes some brokers don’t even understand all the products they’re selling

Financial conflicts of interest are rampant with both big and small broker-dealers. This results in broker-dealers selling products without adequate due diligence or even reckless or fraudulent due diligence.    This often leads to financial advisors selling products without adequate or accurate information and, at times, selling products they don’t even understand.  An SEC executive seems to now agree.   According to a story in Investment News today, Julius Leiman-Carbia, associate director […]

Learn More