|
Many investment advisors are brokerage firm rejects.
They may have been disciplined or subject to numerous complaints while at a brokerage firm, but then reinvent themselves as investment advisors.
The only problem is that once they have been unregistered for two years, FINRA, subject to certain recent exceptions, does not provide any information regarding these individuals, and the SEC's Investment Advisor database provides no information regarding individuals registered with investment advisory firms.
However, as of yesterday, that has all changed.
On June 28, 2010, the North American Securities Administrators Association (NASAA) today announced the launch of an enhancement to the Investment Adviser Public Disclosure (IAPD) website that will allow investors to electronically access information about individuals who work for money management, financial planning and other investment advisory firms. This enhancement will provide information on investment adviser representatives – the individuals who work for these firms and provide investment advice to clients.
NASAA President and Texas Securities Commissioner Denise Voigt Crawford said the enhancement will allow investors to access information on more than 220,000 individual investment professionals, including background information such as customer complaints, criminal or regulatory disclosures, professional qualifications, and employment history. Previously, IAPD provided instant access only to registration documents filed by registered investment advisory firms.
The information provided on IAPD for both investment advisory firms and individuals comes from documents filed electronically with state securities administrators or the Securities and Exchange Commission. The registration documents provide information about each adviser’s business, advisory services and fees and also disclose any disciplinary problems an adviser or its employees may have had during the last 10 years.
Crawford hailed the enhancement as an important step in improving investor protection.
“Investors should be equipped with the important information that will be available through this website when they evaluate who they should hire to help them plan for retirement or pay for a child’s education,” Crawford said. “State securities regulators responsible for protecting investors and providing investors with information about financial firms and professionals are an essential part of that mission. I want to commend the hard work of my colleagues for their efforts in making this enhancement a reality for investors.”
For more information or to use the Investment Advisor search option, go to www.adviserinfo.sec.gov.
If you believe that you may have a claim against an investment advisor for fraud, breach of fiduciary duty, the sale of unsuitable investments, or the provision of unsuitable investment advice, contact Nicholas J. Guiliano, Esquire of the Guiliano Law Firm, P.C. Our practice is limited to the representation of individual investors. Cases are accepted on a contingent fee basis, and there is never any cost for us to evaluate any claim. For more information, visit our website at www.securitiesarbitrations.com (877) SEC-ATTY.
|
