Securities Lawyers Blog
The securities lawyers at Gana Weinstein LLP represent investors who have been mistreated by their brokers and suffered investment losses. Our firm is experienced in bringing claims against brokerage firms, such as Key Investment Services LLC, to hold Wall Street responsible for their misconduct. When a client contacts our firm they can expect that our attorneys will have the knowledge and ability to evaluate the potential claims and analyze their trading activity for red flags of misconduct. Our consultations are designed to help provide clients with all available options.
Key Investment Services is a broker-dealer and investment adviser affiliated with KeyBank that executes client-directed trades in stocks, mutual funds, exchange-traded funds, bonds, annuities, variable life insurance, and certificates of deposit, and offers non-discretionary wrap fee and managed account programs. Formed in Ohio in 2005 and headquartered in Brooklyn, Ohio, the firm is part of KeyCorp and clears through Pershing on a fully disclosed basis.
Key Investment Services LLC – By the Numbers:
- CRD #: 136300
- Regulatory Events: 4
- Broker Employees: 1,201
Key Investment Services LLC – Investment Advisors:
- SEC #: 65060
- Assets Under Management: $8,876,856,848
- ADV Form Employee: 1,325
Key Investment Services LLC – In the News:
FINRA v. Key Investment Services LLC (Case #2013039634703) – Between November 2010 and June 2014 (the “relevant period”), KIS failed to establish and maintain supervisory systems and procedures that were reasonably designed to achieve compliance with its suitability obligations when recommending certain UITs, which invested in leveraged closed-end funds. The Firm also failed to provide reasonable guidance or training to its registered representatives, including supervisors, about the potential risks and volatility of these products. Although the Firm manually reviewed these transactions, it failed to identify or reasonably follow up on red flags in approximately 100 recommended purchases of UITs that raised suitability concerns due to the customer’s risk tolerance and investment profile. Between July 2012 and June 2014, KIS also failed to enforce its supervisory procedures that required both the collection and documentation of customer-specific suitability factors on account update forms when making new recommendations of securities to existing customers. By virtue of the foregoing, KIS violated NASD Rule 3010 and FINRA Rule 2010. In addition, between November 2010 and October 2013, KIS provided inaccurate information to customers in approximately 189 Switch Disclosure Letters regarding the sales charges, costs, and expenses of the UITs, in violation of FINRA Rule 2010.
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.