Securities Lawyers Blog
According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Jon Pariser (Pariser), previously associated with Independent Financial Group, LLC, has at least 6 disclosable events. These events include 6 customer complaints, alleging that Pariser recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $1,202,739.63 on June 12, 2020.
Alleges representative was involved with individuals who were running a scam and that he convinced her to invest in fraudulent investments, resulting in a loss.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $152,000.00 on June 11, 2020.
Alleges representative convinced her to invest with individuals who were involved in a fraudulent, unregistered investment.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $98,491.68 on May 05, 2020.
Alleges representative convinced them to invest with individuals who were operating a fraudulent investment program, resulting in a loss of their investment
FINRA BrokerCheck shows a settled customer complaint with a damage request of $1,202,739.63 on June 12, 2020.
Alleges representative was involved with individuals who were running a scam and that he convinced her to invest in fraudulent investments, resulting in a loss.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $152,000.00 on June 11, 2020.
Alleges representative convinced her to invest with individuals who were involved in a fraudulent, unregistered investment.
FINRA BrokerCheck shows a settled customer complaint with a damage request of $98,491.68 on May 05, 2020.
Alleges representative convinced them to invest with individuals who were operating a fraudulent investment program, resulting in a loss of their investment
Financial Advisors providing advice to retail investors are required to adhere to the SEC’s Regulation Best Interest (Reg BI). Reg BI applies a ‘best interest’ standard for broker-dealers and their associated people. This standard applies when a registered representative is providing investment advice through making recommendations customers and covers securities transaction, investment strategies, and recommendations concerning advice on opening of an account or accounts. This standard applies when brokers make recommendations to retail customer for any securities transaction or investment strategy involving securities, including recommendations of types of accounts.
The care obligation also requires the broker to address the client’s specific needs through obtaining specific investment profile information on the client. The associated person typically will ask the customer for information such as the investor’s risk tolerance or ability to withstand account value declines or increases; experience with investments available; investment objectives and goals; investment time horizon; liquidity needs; assets such as investment accounts held at other financial institutions; tax information; their age and retirement plans; and other information that a customer may want to provide to the advisor to help them to properly address the services needed. The Reg BI rule applies a fiduciary principles and requires an associated person to act in the retail investor’s “best interests” while barring the broker from placing their own financial interests and compensation incentives ahead of the investor’s best interest. There are different sub-parts of the Reg BI rule that financial professionals must comply with when providing advice. Among those is the duty of care obligation that mandates associated persons to evaluate investment options, review and be knowledgeable the risks and rewards of the investment or service, compare alternative investment products, and ensure that the overall investment strategy aligns with the client’s goals and is in their best interests.
Next, the advisor must have a reasonable understanding of the specific retail investor’s investment profile. The customer’s profile information generally includes an investor’s financial situation and needs; investments; assets and debts; marital status; tax status; age; investment time horizon; liquidity needs; risk tolerance; investment experience; investment objectives and financial goals; and any other information the retail investor may disclose in connection with the recommendation or advice. Finally, the financial advisor must use their knowledge of both their reasonable diligence into investment options as well as their knowledge of the investor’s client specific needs to consider reasonably available investment options. Those investment options must allow the broker to determine that there is a reasonable basis that the recommendation is in the retail investor’s best interest. An advisor must understand the type of account, securities, and their client in order to meet their care obligations. The type of securities account has the potential to greatly affect retail customers’ costs and investment returns. Different types of securities accounts can offer different features, products, or services, and not all types of accounts or services would be in every investor’s best interest.
Pariser has been in the securities industry for more than 21 years. Pariser has been registered as a Broker with Independent Financial Group, LLC since 2014.
Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation. At Gana Weinstein LLP, our attorneys are experienced representing investors who have suffered securities losses due to the mishandling of their accounts. Claims may be brought in securities arbitration before FINRA. Our consultations are free of charge and the firm is only compensated if you recover.