FMSBonds, Inc. of Boca Raton, Florida previously investigated by FINRA and SEC for possible securities fraud violations and risks of tax free municipal bonds.Thursday, December 31st, 2009
FMSBonds, Inc. is a FINRA registered broker-dealer based in Boca Raton, Florida. FMSBonds touts itself as a tax-free municipal bond firm that provides bond buyers with exceptional value and insight in the tax-free bond market. The firm has offices from North Miami Beach, Florida to Boca Raton, Florida.
Although FMSBonds, Inc. represents itself as “municipal bond specialists,” investors should know that FMSBonds has been named in at least 6 regulatory events related to possible securities fraud violations. As disclosed on its FINRA Broker Report (CRD), FMSBonds, Inc. has been the subject of investigations conducted by FINRA, the Securities Exchange Commission (the SEC), and the Commonwealth of Virginia Securities Commission.
The principles in FMSBonds are Paul Feinsilver, James Arnold Klotz, Jon Colture, Matthew Guerrise, Terrence O’Grady, Anne Michelle Parker, and Michael Seligsohn.
FMS Bonds, Inc. has its introducing arrangement with Fleet Securities, Inc., which is based in New York City.
Scrutiny of the risks of investing in municipal bonds is a hot button issue right now. FINRA is particularly concerned with the representations being made to the investing public regarding the safety of municipal bonds and these concerns were the subject of a recent FINRA investor alert.
Specifically, the FINRA alert reminded investors that while municipal bonds have historically been considered relatively conservative investments, they do, like all bond investments (or other investments), carry risk. The alert further cautions investors and states that as some state and local jurisdictions struggle with the fall-out from current economic conditions, investors should be aware that defaults, while quite rare, do occur. Also, information about financial problems that affect the bond’s issuer has not always been readily available to investors. The current market value of a municipal bond may be hard to determine because many municipal bonds trade infrequently. A bond’s market value may change for reasons having nothing to do with the financial condition of the issuer, such as a change in interest rates. Also, in cases where an issuer has purchased bond insurance or some other protection feature, the higher overall credit rating of a bond may be more reflective of that protection than of the financial condition of the issued.
If you have any questions about municipal bond investments you made with FMSBonds, Inc. or if you believe that you have been the victim of a securities fraud, The White Law Group may be able to help. To contact us, please call us at 561-807-6804.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.
For more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.
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