The following summary of information is available on FINRA's Website under “Disciplinary and Other FINRA Actions, May, 2014.” Investors Capital Corp. (CRD #30613, Lynnfield, Massachusetts) was censured and fined $100,000 by FINRA. According to the FINRA report, allegedly Investors Capital Corp. failed to give exchange-traded fund (ETF) prospectuses to their customers. (The definition in finance […]

On February 24th., 2014, the Financial Industry Regulatory Authority, also known as FINRA announced that it fined Berthel Fisher & Company Financial Services, Inc. and its affiliate, Securities Management & Research, Inc., of Marion, Iowa. The fine totaled $775,000 for supervisory deficiencies. This fine included Berthel Fisher's failure to supervise the non-traded real estate investment […]

On December 5th., 2013, the Financial Industry Regulatory Authority (FINRA) ordered Atlanta-based broker-dealer J.P. Turner & Company, L.L.C. to pay $707,559 in restitution to 84 customers for sales of unsuitable leveraged and inverse exchange-traded funds (ETFs) and for excessive mutual fund switches. Investors should be made aware by their brokers that they could possibly suffer […]

On December 5th., 2013, the Financial Industry Regulatory Authority (FINRA) ordered Atlanta-based broker-dealer J.P. Turner & Company, L.L.C. to pay $707,559 in restitution to 84 customers for sales of unsuitable leveraged and inverse exchange-traded funds (ETFs) and for excessive mutual fund switches. Investors should be made aware by their brokers that they could possibly suffer […]

The exchange-traded funds (ETF) that use leverage to double and triple returns on stock market moves could cause the next big market crash, according to the Federal Reserve. In an article titled "Are Leveraged and Inverse ETFs the New Portfolio Insurers?" from the central bank stirred markets into wondering what would happen if the funds […]

Moshar v. Wells Fargo, FINRA ID # 11-00556 (Los Angeles, CA, 1/9/2013) A couple was recently awarded $1,333,300 in compensatory damages through a FINRA arbitration. The claimants charged Wells Fargo with the following: breach of fiduciary duty, breach of written contract, fraud by misrepresentation and omission, failure to supervise and control, and violation of federal […]