Securities Lawyers Blog
The law offices of Gana Weinstein LLP represents investors in investment disputes with their financial advisors or brokerage firms, such as J.P. Morgan Securities LLC. Many investors do not recognize financial advisor misconduct when it happens, but there are steps that can be taken to recover investment losses. There are many different types of broker misconduct, including breach of fiduciary duty, failure to supervise, misrepresentation, and churning. The attorneys at Gana Weinstein LLP can analyze your investments to determine if there was actionable misconduct by the broker or brokerage firm.
J.P. Morgan Securities LLC is the main U.S. broker-dealer of JPMorgan Chase & Co., providing investment banking, capital markets trading, and wealth management services including brokerage, financial planning, and portfolio management. Registered with the SEC since 1965 and based in New York, the firm serves individuals, families, small businesses, and institutional clients nationwide.
J.P. Morgan Securities LLC – By the Numbers:
- CRD #: 79
- Regulatory Events: 394
- Arbitration Events: 144
- Broker Employees: 32,845
J.P. Morgan Securities LLC – Investment Advisors:
- SEC #: 3702
- Assets Under Management: $429,694,491,042
- ADV Form Employee: 8,703
J.P. Morgan Securities LLC – In the News:
FINRA v. J.P. Morgan Securities LLC (Case #2024081737701) – From October 2010 through September 2024, JPMS failed to establish procedures to assure that certain customers received margin account disclosures required by Rule 10b- 16(a)(2) of the Securities Exchange Act of 1934 (Exchange Act) on account statements. As a result, during the period of October 2010 through February 2024, the firm failed to provide certain information in its margin account disclosures required by Exchange Act Rule 10b-16(a)(2), including the annual rates of interest charged, on 56,254 account statements corresponding to 4,463 customer accounts. Therefore, JPMS violated Exchange Act Rule 10b-16(a)(2) and FINRA Rule 2010. In addition, from at least October 2010 through September 2024, JPMS violated FINRA Rules 3110(a) and (b) and 2010, and NASD Rule 3010,2 by failing to establish, maintain, and enforce a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with Exchange Act Rule 10b-16(a)(2). For these violations, JPMS is censured.
FINRA v. J.P. Morgan Securities LLC (Case #2020067014002) – From at least January 2016 through April 2020, JPMS failed to reasonably supervise a registered representative who generally recommended an investment strategy that involved taking large, concentrated positions in high-yield securities using leverage. Customers in this strategy lost money during a period of significant market volatility starting in March 2020. The firm failed to take reasonable action in response to red flags related to the representative’s trading activity and use of discretion without written authorization identified throughout the relevant period. JPMS therefore violated FIN RA Rules 3110( a) and 2010. JPMS is censured and fined $3,250,000.
FINRA v. J.P. Morgan Securities LLC (Case #2022073427701) – Between May 2018 and June 2024, JPMS violated MSRB Rule G-32 by submitting inaccurate and incomplete Form G-32 filings to the MSRB’s Electronic Municipal Market Access System (EMMA) in connection with 718 primary offerings of municipal securities. Between June 2020 and November 2022, the firm also violated MSRB Rule G-32 by filing 26 offering documents with EMMA after the time specified by the rule. From May 2018 to June 2024, the firm’s supervisory system, including written supervisory procedures (WSPs), was not reasonably designed to achieve compliance with the requirement to submit accurate and complete Form G-32 filings to EMMA pursuant to MSRB Rule G-32(b), in violation of MSRB Rule G-27. For these violations, JPMS is censured and fined $140,000.
FINRA v. J.P. Morgan Securities LLC (Case #2021072799801) – From January 1, 2018, through December 30, 2021, JPMS’s supervisory system, including its written supervisory procedures (WSPs), was not reasonably designed to achieve compliance with applicable preliminary initial public offering (IPO) prospectus delivery requirements for IPO allocations to the firm’s institutional customers, in violation of FINRA Rules 3110(a) and (b) and 2010. For these reasons, JPMS is censured and fined $150,000.
FINRA v. J.P. Morgan Securities LLC (Case #2019061442101) – From January 2017 to at least December 2018, JPMS failed to establish and maintain a supervisory system, including written procedures reasonably designed to assess whether its registered representatives recommended to retail customers short-term trades of syndicate preferred stocks that may have been unsuitable. At least 15 of the firm’s representatives or representative teams recommended that JPMS’s retail customers purchase syndicate preferred stocks and then in certain circumstances, recommended the sale of such positions within 180 days, resulting in customers sustaining losses on these transactions while the representatives received concessions and, in some instances, commissions. Accordingly, JPMS violated FINRA Rules 3110 and 2010. For this violation, JPMS is censured, fined $350,000, and ordered to pay restitution of $157,505 and disgorgement of $1,672,923.
Gana Weinstein LLP has successfully litigated broker disputes through verdict or settlement. We represent both individuals and institutions throughout the country in FINRA arbitration, as well as commercial litigation in state and federal courts. Our consultations are both free and thorough and our securities litigation attorneys can help you uncover wrongful activity in your account.