For years, firms have been using wrap products to charge an annual fee based upon the value of assets under management regardless of the number of trades, as opposed to
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How to avoid being sued 2.0
Over the years that I have defended financial advisors and their firms, I have frequently spoken and written about ways to avoid the risk of being sued. I prepared a
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I Just Got A Client, Now What?
After the obvious, make and execute on investment recommendations, some are at a loss for what to do next. From my perspective, it is the next step that may mean
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Forget Including A Bar Of Whistleblower Tips In Settlement Agreements
FINRA recently warned that firms could face disciplinary action if they enter into settlement agreements that bar customers or former employees from reporting wrongdoing at the firm. Although FINRA recognized
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Tightening the Definition of ‘Public Arbitrator’
FINRA proposed amendments to the organization’s arbitration code would tighten the definition of “public” arbitrator for FINRA arbitration purposes.
In a release, FINRA said the proposed rule changes would provide
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FINRA Bans Settled CRD Expungements
FINRA proposed a rule to bar brokers and their firms from requiring customers to consent to the removal of a dispute from the Central Registration Depository as a condition of
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Should You Feel Better That FINRA Vetted Its Arbitrators
As a result of a couple high profile awards that were overturned because of issues with the arbitrators, FINRA has vetted its pool of arbitrators and has instituted new procedures
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Did You Know That FINRA Arbitrations Just Got More Expensive
Both the industry and customers liked FINRA arbitration because it was a relatively cost effective dispute resolution forum. With FINRA Notice to Members 13-21 and effectively doing away with having
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So Do You Really Want To Arbitrate Customer Claims
In the 17 plus years of defending broker-dealers in FINRA arbitrations, I and my clients have relied upon the fact that at least one arbitrator would have industry experience. In
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So is it now really the beginning of the end of arbitration?
The North American Securities Administrators Association on behalf of state securities regulators, following 37 members of Congress, recently asked the SEC to exercise its authority under Dodd-Frank and do
Continue Reading So is it now really the beginning of the end of arbitration?