Securities Lawyers Blog
Our law firm represents individual and institutional investors that have been mistreated by their brokers and brokerage firms, such as BGC Financial, L.P.. Many investors do not recognize broker misconduct in their accounts, and those that do are often hesitant to seek help. Broker misconduct spans many issues that violate industry rules, including unauthorized trading, breach of fiduciary duty, unsuitable asset allocation, and churning. The attorneys at Gana Weinstein LLP can analyze your accounts and investments to determine if there was misconduct in the handling of your account.
BGC Financial is an inter-dealer broker that brokers fixed income securities, repurchase agreements, credit derivatives, mortgage-backed securities, equities and asset-backed swaps for dealers and other financial institutions, and it is also registered as an introducing broker for futures. Operating from New York, the firm is an indirect subsidiary of BGC Group, which is itself a subsidiary of Cantor Fitzgerald, and it owns the Tokyo-based broker-dealer BGC Shoken Kaisha.
BGC Financial, L.P. – By the Numbers:
- CRD #: 19801
- Regulatory Events: 36
- Broker Employees: 260
BGC Financial, L.P. – In the News:
FINRA v. BGC Financial, L.P. (Case #2015044336601) – From December 2014 through June 2023, BGC failed to establish and maintain a supervisory system reasonably designed to detect potential spoofing and layering in equity securities, in violation of FINRA Rules 3110 and 2010.
FINRA v. BGC Financial, L.P. (Case #2018060678201) – From September 2010 to February 2019, the firm failed to include two proprietary accounts in calculations of the firm’s overall net position in equity securities (e.g., “short” or “long”) being sold, which ultimately caused certain orders to be mismarked under Regulation SHO Rule 200(g). This occurred because the firm aggregated the accounts into independent trading units, even though the firm did not create a written plan of organization that identified the aggregation units, specified their trading objectives, and supported their independent identities, pursuant to Regulation SHO Rule 200(f)(1). The firm also failed to establish, maintain, and enforce a supervisory system reasonably designed to achieve compliance with Rule 200(f) and (g), in violation of FINRA Rules 3110 and 2010, and NASD Rule 3010.
FINRA v. BGC Financial, L.P. (Case #2020068558701) – From January 8, 2020, through October 22, 2020, BGC Financial failed to report to TRACE the time of execution in the finest increment of time captured by BGC’s system in over 3.5 million U.S. Treasury Securities transactions.
FINRA v. BGC Financial, L.P. (Case #2017055128201) – From November 2, 2015 through September 27, 2017, the firm violated FINRA Rule 6730 when it reported to FINRA’s Trade Reporting and Compliance Engine (“TRACE”) 506 transactions with an incorrect time of trade execution and reported 1,304 transactions to TRACE that it was not required to report. The firm violated Section 17 of the Securities Exchange Act of 1934 and SEC Rule 17a-3 thereunder (“SEC Rule 17a-3”) and FINRA Rules 4511(a) and 2010 when it recorded the incorrect time of trade execution on the memorandum of 77 brokerage orders. The firm also violated FINRA Rules 3110 and 2010 when it failed to establish and maintain a supervisory system, including written supervisory procedures (“WSPs”), that was reasonably designed to achieve compliance with TRACE reporting and record keeping requirements.
FINRA v. BGC Financial, L.P. (Case #2016051256201) – Between the third quarter of 2015 and the first quarter of 2018 (the “Review Period”), the firm failed to immediately execute, route or display customer limit orders in Over the Counter (“OTC”) securities, in violation of FINRA Rules 6460 (“the Limit Order Display Rule”) and 2010. The violations resulted from the firm’s delayed handling of limit orders that would lock or cross the market.
Our attorneys have successfully represented hundreds of investors in investment disputes with their brokers and brokerage firms. Our consultations are free and we welcome all inquiries.