According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Katelyn Cordido Reese (Cordido Reese), previously associated with Nylife Securities LLC, has at least 2 disclosable events. These events include one customer complaint, one regulatory event, alleging that Cordido Reese recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.
FINRA BrokerCheck shows a pending customer complaint on September 22, 2025.
Customer alleged that the Non-Broker Dealer Affiliate Whole Life Insurance policy she purchased in May 2022 contains signatures that she did not provide nor authorize.
FINRA BrokerCheck shows a final customer complaint on June 25, 2024.
Without admitting or denying the findings, Cordido Reese consented to the sanctions and to the entry of findings that she falsified documents by placing her personal bank account information on life insurance applications for non-family-member customers. The findings stated that Cordido Reese paid a total of $30,366.80 in life insurance premiums for non-family-member customers. Once Reese paid the initial premium on these policies, she received advanced sales commissions from the insurance company she worked as an agent for. Ultimately, either the insurance company or customers canceled the policies or updated the payment information to their personal bank account. When Cordido Reese left her member firm and its insurance company she owed a balance of $144,000, comprised primarily of advanced sales commissions for these canceled policies. Cordido Reese has since entered into a payment plan with the insurance company’s collection department to pay back the money she owes.
Brokers are required to adhere to the SEC’s Regulation Best Interest (Reg BI) standard of care under the Securities Exchange Act of 1934 which establishes a ‘best interest’ standard for broker-dealers and associated persons. This standard applies when brokers make recommendations to retail customer for any securities transaction or investment strategy involving securities, including recommendations of types of accounts. This standard applies when a registered representative is providing investment advice through making recommendations customers and covers securities transaction, investment strategies, and recommendations concerning advice on opening of an account or accounts.
Next, the broker must understand the investor’s investment background and profile. A customer’s profile includes information that describes the investor’s financial situation and needs. Information here will include their outside securities accounts and investments; relevant assets and debts; tax bracket; age; liquidity needs; risk tolerance; investment time horizon; experience with investing; investment objectives; and any other relevant information that the investor may choose to disclose pertinent to their situation. 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. Reg BI comes with different key obligations that associated persons must meet in dispensing advice. The care obligation requires registered representatives to carefully evaluate investment options, review the risks and rewards of the investment or service, compare similar products, and ensure that the recommended investment is appropriate for the customer and in the retail investor’s best interest.
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 advisor must use their knowledge of the first two elements to consider reasonably available investment option alternatives and come to the conclusion that there is a reasonable basis to believe that the recommendation or advice being provided is in the retail investor’s best interest. An advisor must understand the type of account, securities, and their client in order to meet their care obligations. The type of securities account has the potential to greatly affect retail customers’ costs and investment returns. Different types of securities accounts can offer different features, products, or services, and not all types of accounts or services would be in every investor’s best interest.
Cordido Reese has been in the securities industry for more than 6 years. Cordido Reese has been registered as a Broker with Nylife Securities LLC since 2016.
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.