Securities Lawyers Blog
Brokerage firms such as Haywood Securities (USA) Inc. have a duty to supervise their financial advisors and to recommend only investments that are suitable for their customers. When a firm breaches that duty through negligent supervision, overconcentration, excessive investment risk, or misrepresentation, investors have the right to bring a claim against the brokerage firm. The broker misconduct attorneys at Gana Weinstein LLP represent investors in these claims and can evaluate whether your investment losses were caused by misconduct.
Haywood Securities (USA) is the American broker-dealer affiliate of Haywood Securities, an independent investment dealer offering investment banking, research, sales and trading, and equity capital markets services with a focus on the mining and energy sectors. Registered with the SEC since 1996, the firm is based in Vancouver, British Columbia, and gives United States investors access to its parent’s Canadian resource sector expertise.
Haywood Securities (USA) Inc. – By the Numbers:
- CRD #: 42072
- Regulatory Events: 5
- Broker Employees: 104
Haywood Securities (USA) Inc. – In the News:
FINRA v. Haywood Securities (USA) Inc. (Case #2023077020901) – Between January 2018 and April 2024, Haywood failed to accurately compute its required customer reserve, as required by Section 15(c)(3) of the Securities Exchange Act of 1934 and Exchange Act Rule 15c3-3, resulting in at least 36 hindsight deficiencies. The firm’s inaccurate customer reserve computations also caused the firm to maintain inaccurate books and records. As a result, Haywood violated Sections 15(c)(3) and 17(a) of the Exchange Act, Exchange Act Rules 15c3-3, 17a-3, and 17a-4, and FINRA Rules 4511 and 2010. During this same period, Haywood failed to establish and maintain a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with the customer reserve requirements of Exchange Act § 15(c)(3) and Exchange Act Rule 15c3-3. As a result, Haywood violated FINRA Rules 3110 and 2010. For these violations, Haywood is censured and fined $275,000.
FINRA v. Haywood Securities (USA) Inc. (Case #2019061852801) – From September 2014 through the present, Haywood USA recommended 134 sales totaling almost $11 million of 53 different private placements to U.S. customers without conducting reasonable due diligence of the issuers and the offerings. Therefore, from September 2014 until June 30, 2020, the firm failed to establish, maintain, and enforce a supervisory system, reasonably designed to achieve compliance with FINRA Rule 2111, in violation of FINRA Rules 3110 and 2010 and NASD Rule 3010. From June 30, 2020, to the present, the firm failed to establish, maintain, and enforce a supervisory system reasonably designed to achieve compliance with Regulation Best Interest (Reg BI), in violation of FINRA Rules 3110 and 2010. In addition, from September 2014 to February 2023, Haywood USA failed to file offering documents with FINRA in connection with 236 Canadian private placement offerings in violation of FINRA Rules 5123 and 2010.
Elder financial abuse and exploitation of elderly investors are among the claims our firm pursues most vigorously. If you or a family member suffered investment losses because of a financial advisor at Haywood Securities (USA) Inc., the attorneys at Gana Weinstein LLP are available for a free consultation.