Securities Lawyers Blog
According to BrokerCheck records financial advisor Cindy Chiellini (Chiellini), currently employed by Centaurus Financial, Inc. (Centaurus Financial) has been subject to four customer complaints. According to records kept by The Financial Industry Regulatory Authority (FINRA), most of Chiellini’s customer complaints allege that Barber made unsuitable recommendations in certain corporate debt or other securities.
Our firm has brought cases against brokers for misrepresenting the features of structured products or selling them as a bond alternative. Structured products are typically debt instruments where the payout is based on the underlying stock, equity index, currency, or any reference source. Many, but not all, structured products are advertised as having some principal protection component – meaning that the investor is guaranteed the return of some amount of their initial investment. However, studies have shown that structured products are often best used as a niche product for sophisticated investors employing complicated strategies. The typical investor cannot benefit from these products over traditional investments.
In August 2018 a customer alleged that investments in their account had less liquidity than they originally instructed the broker they desired resulting in a loss of principal. The complaint alleges $175,000 in damages and is currently pending.
In June 2018 a customer filed a complaint alleging that investments presented and executed by the broker were not suitable. The claim alleges $5,000 in damages and is currently pending.