Securities Lawyers Blog
The securities lawyers of Gana Weinstein LLP are investigating customer complaints filed with The Financial Industry Regulatory Authority (FINRA) against broker Lisa Wolf (Wolf). According to BrokerCheck records Wolf has been subject to at least six customer complaints. The customer complaints against Wolf allege securities law violations that including unsuitable investments, unauthorized trading, misrepresentations, and excessive trading among other claims.
In April 2015 a customer filed a complaint alleging $364,630 in damage stemming from unauthorized trades and unsuitable investment recommendations from July 2008 through June 2014. The complaint is currently pending. In May 2013, another customer filed a complaint alleging unsuitable investments from May 2008 through March 2009 causing $220,000. The claim settled.
Brokers have a responsibility treat investors fairly which includes obligations such as making only suitable investments for the client. In order to make a suitable recommendation the broker must meet certain requirements. First, there must be reasonable basis for the recommendation the product or security based upon the broker’s investigation and due diligence into the investment’s properties including its benefits, risks, tax consequences, and other relevant factors. Second, the broker then must match the investment as being appropriate for the customer’s specific investment needs and objectives such as the client’s retirement status, long or short term goals, age, disability, income needs, or any other relevant factor.