FINRA Investigating Allegations Of Excessive Trading By First Standard Broker Andre Davis

Soreide Law Group is reviewing possible investor claims against Andre Davis [CRD#: 1417097, Red Bank, New Jersey]. Apparently, he worked for First Standard Financial Company between 2015 and 2019 and joined Paulson Investment Company in 2019. It appears that Financial Industry Regulatory Authority (“FINRA”) is investigating Davis for bad recommendations, churning clients’ accounts, and making trades which his clients did not permit. In fact, BrokerCheck shows that Davis’ clients complained about those things. Here is a brief summary of the allegations against the securities broker:

Davis Investigated By FINRA For Unsuitable, Excessive Trading

Apparently, on October 14, 2019, FINRA began an investigation into Andre Davis. Apparently, the investigation concerns whether Davis violated FINRA Rule 2010 by churning clients’ investment portfolios and making unauthorized trades. Supposedly, the securities broker made discretionary trades without written permission from clients or his employers. Also, FINRA indicated that Davis made unsuitable recommendations of non-traditional ETFs or ETNs, products which seemingly failed to align with clients’ risk tolerances or financial needs. Evidently, the investigation is ongoing, although FINRA recommended disciplinary action against Davis at this point.

Andre Davis Allegedly Makes Unsuitable Trades In First Standard Client’s Account

Evidently, a client of First Standard contested Andre Davis’ actions by filing FINRA Arbitration #: 19-02132 on August 6, 2019. Allegedly, Davis bought or sold investments without the client’s permission. Supposedly, he also made inappropriate and excessive trades, failing to consider the client’s goals, risk tolerance or other criteria relating to suitability. It seems that the common or preferred stocks which Davis possibly recommended or sold had caused the client to experience losses. Consequently, the client made a claim for compensatory damages from First Standard or Davis in the amount of $350,000 in this ongoing matter.

First Standard Investors Suggest Davis Traded Without Permission

Apparently, on June 21, 2019, a First Standard client filed FINRA Arbitration #: 19-01679 about Andre Davis. Apparently, the client alleged that Davis made unauthorized transactions in the client’s account. Supposedly, the securities broker also excessively traded in the client’s account and made unsuitable transactions conflicting with the client’s investment profile. It appears that the client experienced losses on Davis’ trading of equities in the client’s account. Therefore, the client requested $461,000 in compensation from First Standard or Davis. Apparently, this arbitration is pending a resolution.

Andre Davis Allegedly Churns First Standard Client’s Account

Evidently, a client of First Standard contested Andre Davis through bringing FINRA Arbitration #: 18-02596 on June 30, 2018. Allegedly, Davis executed unreasonable trades due to the client’s risk tolerance or investing goals. The client indicated that the securities broker also churned the client’s account, trading primarily to generate commissions from the client. Supposedly, Davis recommended stock transactions that caused the client to incur losses. As a result, First Standard agreed to resolve the matter on August 5, 2019 through paying the client a total of $35,000.

Losses From Securities Broker Andre Davis?

Lars Soreide Highest Ethical Standard Award 2018

Lars Soreide Highest Ethical Standard Award 2018

Have you experienced losses by investing with Andre Davis? If so, contact Soreide Law Group at (888) 760-6552 and speak with experienced counsel about a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The law firm has recovered millions of dollars for clients who have suffered losses due to misconduct of securities brokers like Davis and brokerage firms.