According to FINRA’s website, Arete Wealth Management financial advisor, Roshan Loungani, recently entered in to a Letter of Acceptance, Waiver, and Consent (AWC) with FINRA.
Among other things, the AWC alleges that in August 2001, Loungani first became registered with FINRA as a General Securities Representative and that since January 2008, he has been registered in this capacity through Arete Wealth Management, LLC (BD No. 44856).
The AWC further alleges that between June 2009 and March 2012, Loungani recommended and effected unsuitable investments for two customers totaling approximately $658,000 involving the purchase of limited partnership interests in two hedge funds that Loungani created and managed, which purportedly employed a high-risk trading strategy and use of aggressive options trading. FINRA argues that these investments were not suitable for the customers based on their investment objectives and risk tolerances and resulted in an unsuitable concentration of the customers’ net worth. Based on the foregoing, FINRA purportedly determined that Loungani violated NASD Conduct Rule 2310 and FINRA Rule 2010.
The foregoing information, which is all publicly available on FINRA’s website, is being provided by The White Law Group. The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
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