When your stockbroker sells you a security, whether it be a bond or a stock, you are typically charged a "commission" which is fully disclosed and appears on your confirmation. So for example, you may wish to purchase 200 shares of Apple Computer (AAPL) or an exchange traded stock, and your broker, or brokerage firm acting as "agent" goes to a market-maker in the case of Apple or to a "specialist" in the case of an exchange traded security, and purchases these securities for your account.

Many of the nation’s discount broker will execute a m...

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Peter C. Bishop, formerly with the Portland Maine offices of Ameriprise Financial and RBC Capital Markets, accepted a one month suspension and fine of $10,000 imposed by the Financial Industry Regulatory Authority for effecting unauthorized transactions in the securities accounts of his customers.

According to the FINRA Letter of Acceptance, Waiver & Consent, from January 4, 2011 through September 6, 2011, Bishop placed four "solicited" transactions in the customer account of one of...

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Stockbrokers, or more accurately, their employer brokerage firms are required to report to The Financial Industry Regulatory Authority ("FINRA"), when their stockbrokers are the subject of customer complaints alleging sales practice violations, criminal actions, bankruptcies, or their conduct forms the basis of an arbitration or civil action by a public customer against the broker or brokerage firm in excess of $10,000 or any case that was settled in excess of $15,000.

For example, after May 18, 2009, stockbrokers were required to Read Full Article

The United States Securities & Exchange Commission, as required by Section 917 of the Dodd-Frank Wall Street Reform and Consumer Protection Act issued a report today on Investor Literacy.

Not surprisingly, the study found that U.S. retail investors lack basic financial literacy and that investors have a weak grasp of elementary financial concepts and lack critical knowledge of ways to avoid investment fraud. Surveys also demonstrate that certain subgroups, including women, African-Americans, Hispanics, the oldest segment of the elderly population, and those who are poorly ...

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The Financial Industry Regulatory Authority (FINRA) has expelled a Texas-based broker dealer from membership for selling $23 million in private placement offerings without having a reasonable basis to believe that the offerings were suitable for its customers.

Cambridge Legacy Securities LLC consented to the expulsion as part of a Letter of Acceptance, Waiver and Consent (AWC) the firm submitted to settle a disciplinary action against it. Cambridge Legacy also consented to the entry of f...

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