Securities Lawyers Blog
Elder financial abuse, unauthorized trading, churning, and broker theft are among the most serious forms of broker misconduct, and they can occur at brokerage firms of every size. The investor attorneys at Gana Weinstein LLP represent individuals and families who have suffered investment losses because of a dishonest or negligent financial advisor, including customers of firms such as Sogotrade, Inc. We review account activity, identify misconduct, and bring FINRA arbitration claims to recover what was lost.
SogoTrade is an online brokerage offering stock, exchange-traded fund, options, and cryptocurrency trading, income-focused portfolios, and asset management through an affiliate, known for paying customers rebates on qualifying limit orders. The firm succeeded the South Carolina broker-dealer Wang Investment Associates in 2010, is owned by SOGO Financial Group, and is headquartered in Chesterfield, Missouri.
Sogotrade, Inc. – By the Numbers:
- CRD #: 17912
- Regulatory Events: 8
- Arbitration Events: 1
- Broker Employees: 16
Sogotrade, Inc. – In the News:
FINRA v. Sogotrade, Inc. (Case #2021072154501) – From January 2018 through present, SogoTrade failed to establish, document, and maintain a system of risk management controls and supervisory procedures reasonably designed to manage the financial, regulatory, and other risks of its market access business activity, including controls designed to prevent the entry of erroneous orders, in violation of Section 15(c)(3) of the Securities Exchange Act of 1934, Exchange Act Rules 15c3-5(b) and 15c3-5(c)(1)(ii), and FINRA Rules 3110 and 2010. In addition, from January 2018 through December 2024, the firm failed to conduct at least annually a review of its market access controls and supervisory procedures and to complete the related CEO certifications in violation of Exchange Act § 15(c)(3), Exchange Act Rule 15c3-5(e) and FINRA Rule 2010. For these violations, SogoTrade has agreed to a censure, a $75,000 fine, and an undertaking to certify its remediation of the issues identified in this AWC.
FINRA v. Sogotrade, Inc. (Case #2021072127801) – From January 2019 to June 2023, SogoTrade failed to establish, maintain, and enforce a reasonably designed supervisory system, including written supervisory procedures (WSPs), for its fully paid securities lending business. Therefore, the firm violated FINRA Rules 3110 and 2010. During the same period, the firm distributed documents to more than 17,000 retail customers containing misrepresentations about the compensation that those investors would receive for participating in fully paid securities lending. By making these misleading statements to customers, SogoTrade violated FINRA Rule 2010. The misstatements also violated the content standards of FINRA’s advertising rule; therefore, the firm also violated FINRA Rules 2210(d) and 2010.
FINRA v. Sogotrade, Inc. (Case #2019061061001) – From October 1, 2018 through the present, SogoTrade failed to qualify and register with FINRA in the appropriate categories of registration two associated persons who supervised securities trading activity. As a result, SogoTrade violated FINRA Rules 1220(b)(4) and 2010.
Gana Weinstein LLP handles FINRA arbitration cases involving retirement account losses, structured note losses, private placement losses, non-traded REIT losses, and other investment losses caused by broker misconduct. If you hold investments like these in an account at Sogotrade, Inc., our consultations are free and we welcome all inquiries.