Securities Lawyers Blog
According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Palmery Desir (Desir), previously associated with Richfield Orion International, INC., has been subject to at least 3 disclosable events. These events include one customer complaint, 2 regulatory events. Several of those complaints against Desir concern allegations of high frequency trading activity also referred to as churning or excessive trading among other securities laws violations.
FINRA BrokerCheck shows a final customer complaint on May 27, 2022.
Without admitting or denying the findings, Desir consented to the sanctions and to the entry of findings that he excessively and unsuitably traded one customer’s account. The findings stated that the customer’s account had an average equity of approximately $700,000, and Desir recommended that the customer place trades in his account with a total principal value of $3,860,000. The customer relied on Desir’s advice and accepted his recommendations. Collectively, Desir’s recommended trades caused the customer to pay over $134,900 in commissions and other trading costs, which resulted in an annualized cost-to-equity ratio of 20 percent – meaning that the customer’s account would have had to grow by more than 20 percent annually just to break even.