The Financial Industry Regulatory Authority (FINRA) BrokerCheck report on Lisa Ann Brumm, aka Lisa Ann Moon (CRD#: 2834764, Portland, Oregon), contains two investor disputes and a regulatory action. Supposedly, the investor disputes from 2017-2019 concern Brumm's registrations at AXA Advisors, who is now known as Equitable Advisors. The regulatory action, which FINRA brought in 2021, concerns alleged investment recommendations and misrepresentation by Brumm. Let's take a closer look at the allegations concerning Brumm.
FINRA Issues $7,500 Fine, 6-Month Suspension To Lisa Brumm
Evidently, FINRA, which regulates securities firms and brokers, issued sanctions to Lisa Brumm in February 2021. Supposedly, Brumm recommended unsuitable annuities. As FINRA points out in this AWC, suitability concerns a client's financial situation, objectives, experience, time horizon, and tolerance for risk, among other things. For annuities, the suitability of a transaction bears on whether the broker has a reasonable basis to believe that the client would benefit from annuity features and whether the deferred annuity (riders and other features included) is suitable for that client.
Lisa Brumm's recommendations resulted in a client buying $400,000.00 in annuities that were not suitable, according to the regulator. It appears that Brumm did not understand whether the client would derive a benefit from the annuities and features Brumm recommended.
Also, FINRA states that Lisa Brumm borrowed money from a client. However, AXA Advisors did not allow brokers to borrow from clients. Supposedly, Brumm repaid the client.
Further, FINRA states that Lisa Brumm misrepresented how a variable annuity withdrawal would affect a client. Supposedly, Brumm told the client that the withdrawals would not eliminate monthly payments. Also, the client supposedly paid fees and charges for making a withdrawal. For these reasons, FINRA alleged that Brumm violated its rules.
Equitable Advisors Client Alleges Unsuitable Recommendations By Brumm
Also, a client of Equitable Advisors LLC lodged a written complaint regarding Lisa Brumm's variable annuity recommendations. In this March 2019 matter, the client claims that Brumm's unsuitable recommendations of variable annuities resulted in damages. However, the firm denies the customer's allegations. This matter is unresolved at this time.
AXA Advisors Client Alleges Misrepresentation By Lisa Brumm
Notably, a client of AXA Advisors LLC disputed Lisa Brumm's sales practices, according to a written complaint in August 2017. Supposedly, the securities broker misrepresented important information as it relates to an annuity sale. It seems that the client experienced damages by investing in a variable annuity. However, AXA Advisors denied the dispute and the client's request for compensation.
Losses Through Brumm?
Did you suffer losses because of securities broker Lisa Brumm? You could call Soreide Law Group at (888) 760-6552 to speak with a helpful securities attorney about possibly recovering your losses. Soreide Law Group represents clients by a contingency fee arrangement and advances costs. The firm has recovered substantial compensation for hundreds of US investors that have realized losses due to financial advisors and securities brokers. Please note that Brumm denies all accusations of inappropriate sales practices.
