According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Jeremy Rosen (Rosen), previously associated with Nationwide Planning Associates INC., has at least 8 disclosable events. These events include 8 customer complaints, alleging that Rosen recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $989,129.00 on September 02, 2021.
The client alleges in 2017 his accounts were over-concentrated into three publicly traded oil and gas stocks which were unsuitable and was advised by the representative to continue to hold the investments as they lost value over several years. The client further alleges the firm failed to supervise the representative.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $1,535,568.66 on January 22, 2021.
The client alleges the investments made from 2013-2019 were unsuitable and misrepresented by the representative. The client also alleges the firm failed to supervise the activities of the representative.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $1,000,000.00 on December 02, 2020.
The clients allege the trading strategy utilized from 2016-2019 was unsuitable and that the respondents did not act in their best interest. The clients also allege the firm failed to supervise the actions of the representative.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $4,500,000.00 on June 26, 2020.
The clients allege the trading strategy utilized from 2016-2019 was unsuitable and that false representations were made to them. The clients also allege the firm failed to supervise the actions of the representative.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $140,000.00 on June 26, 2020.
The clients allege the investment strategy utilized in their accounts from 2016-2019 was unsuitable and that false representations were made to them. The clients also allege the firm failed to supervise the activities of the representative.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $1,800,000.00 on May 11, 2020.
The clients allege the trading strategy utilized in their advisory account in 2016-2019 were unsuitable and that false representations were made to them. The clients also allege the firm failed to supervise the activities of the representative.
FINRA BrokerCheck shows a settled customer complaint on April 13, 2020.
The clients allege the trading strategy utilized from 2016-2019 was unsuitable and that false representations were made to them. The clients also allege the firm failed to supervise the activities of the representative.
FINRA BrokerCheck shows a settled customer complaint on March 05, 2020.
The clients allege the investments they made in 2016 through 2019 were unsuitable and misrepresented to them by the representative. The clients also allege the firm failed to supervise the actions of the representative.
When your financial advisor is providing advice they must adhere to the SEC’s Regulation Best Interest (Reg BI) rule and standard of care. Reg BI replaced the former “suitability” rule and created a ‘best interest’ standard for brokerage firms and registered representatives. This Reg BI standard of care applies to registered representatives making recommendations to customers in the purchase, sale, or exchange of securities or the implementation of investment strategies involving securities and non-securities. The rule also applies to the handling of opening accounts such as account transfers and types of accounts being recommended to be opened. Reg BI applies when brokers recommend a retail investor engage in securities transaction or an investment strategy involving one or more securities. Reg BI also applies to financial advice concerning the transfer of funds and opening of accounts.
Next, the advisor must have a reasonable understanding of the specific retail investor’s investment profile. The customer’s profile information generally includes an investor’s financial situation and needs; investments; assets and debts; marital status; tax status; age; investment time horizon; liquidity needs; risk tolerance; investment experience; investment objectives and financial goals; and any other information the retail investor may disclose in connection with the recommendation or advice. The SEC has stated that Reg BI is drawn from fiduciary principles that are common to both brokers and investment advisors including an obligation to act in the investor’s best interest and prohibiting an advisor from placing their own interests ahead of the investor’s. There are several different aspects of the rule that brokers must comply with. One of which is the care obligations which require brokers to form a reasonable belief that their investment advice and recommendations are in the retail investor’s best interest. The care obligations include three components. First, the advisor must have an understanding of the potential risks, rewards, and costs associated with a product, investment strategy, account type, or series of transactions.
Next, the advisor must have a reasonable understanding of the specific retail investor’s investment profile. The customer’s profile information generally includes an investor’s financial situation and needs; investments; assets and debts; marital status; tax status; age; investment time horizon; liquidity needs; risk tolerance; investment experience; investment objectives and financial goals; and any other information the retail investor may disclose in connection with the recommendation or advice. Finally, the financial advisor must use their knowledge of both their reasonable diligence into investment options as well as their knowledge of the investor’s client specific needs to consider reasonably available investment options. Those investment options must allow the broker to determine that there is a reasonable basis that the recommendation is in the retail investor’s best interest. Brokerage firms and advisors must also understand the features and limitations of various account types as part of meeting Reg BI’s care obligations. Firms typically offer a variety of account options and services with different trading costs, services, such as account and activity monitoring. An advisor’s recommendation as to what type of securities account to open can alter the customers’ overall costs and investment returns. The advisor must determine that the client can benefit from the type of account being recommended to be opened and in the investor’s best interest taking into account the costs, benefits, and needs of the client.
Rosen has been in the securities industry for more than 12 years. Rosen has been registered as a Broker with Nationwide Planning Associates INC. since 2019.
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.