Advisor Walter Parker Suspended Over Alternative Investment Sales Practices

shutterstock_29356093-300x214Former Titan Securities advisor Walter Parker (Parker) has been subject to at least eight customer complaints.  According to a BrokerCheck report many of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In addition, in April 2018 FINRA suspended and sanctioned Parker alleging that he made investment recommendations to a customer that were not suitable given her age, risk tolerance, financial experience and liquidity. FINRA found that the customer had little prior experience investing and no experience investing in alternative investments. FINRA alleged that Parker recommended that the customer invest her funds into illiquid, alternative investments and that the customer suffered significant losses in the alternative investments. Due to her investment losses the client was forced to obtain full-time employment.

Our firm often handles cases involving direct participation products, Non-Traded REITs, oil and gas offerings, equipment leasing products, and other alternative investments.  These products are almost always unsuitable for investors.  In addition, the brokers who sell them are paid additional commission in order to hype inferior quality investments which provides a perverse incentives by brokers to create an artificial market for products that no honest advisor would sell.

According to studies, non-traded REITs have historically have underperformed even safe benchmarks, like U.S. treasury bonds – meaning that non-traded REITs provide paltry investment returns considering the risk an investor takes.  Alternative investment products like oil and gas partnerships, REITs, and equipment leasing programs are rarely, if ever, appropriate for investors due to their high costs, illiquidity, high risks, and huge redemption charges of the products, if they can be redeemed at all.  Investors often fail to understand that they have lost money until many years after agreeing to the investment.

Unfortunately, due to the high commissions brokers earn on these products they sell them to investors who cannot profit from them.  These products have become so popular among brokers without providing any benefit to investors that many states now limit investors from investing more than 10% of their liquid assets in Non-Traded REITs.  Many states impose these limitations because its understood that that they provide virtually no benefit to investors in relationship to their risks.

Parker entered the securities industry in 1991.  From August 2006 until March 2018 Parker was registered with Titan Securities out of the firm’s Rowlett, Texas office location.

Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation.  At Gana Weinstein LLP, our attorneys are experienced representing investors who have suffered securities losses due to the mishandling of their accounts.  Claims may be brought in securities arbitration before FINRA.  Our consultations are free of charge and the firm is only compensated if you recover.