The White Law Group

FINRA Rule 2111
Tag Archive

• Financial Advisors Duties:  Suitability & Tax Consequences

  

  October 9, 2019 Comments (0) Blog, Securities Fraud

  Does a financial advisor have to factor in taxes when making a recommendation? Before recommending an investment, financial advisors are required by FINRA Rule 2111 to ensure that the recommendation is suitable for that customer based on several important factors including tax status.  The tax implications of the

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• How to Know if your Broker is Churning your Account

  April 3, 2013 Comments (0) Securities Fraud

  Concerned your broker may be churning your account? For more information on churning, press play to watch a short video.                     Churning claims arise out of the inherent conflict of interest involved because a financial advisor is compensated by

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• Securities Attorney’s view of the basics of churning fraud

  

  November 27, 2012 Comments (0) Blog, Securities Fraud

  What is Churning Fraud? Churning fraud is defined as an unethical practice employed by some financial advisors to increase their commissions by excessively trading in a client’s account.  This practice violates various FINRA Rules and is often referred to as “churn and burn”, “excessive

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• FINRA Rule 2111 regarding Suitability

  June 26, 2012 Comments (0) Blog, Securities Fraud

  Financial Industry Regulatory Authority Inc.’s Rule 2111 covers general suitability for recommended transactions and investment strategies involving securities. The regulation essentially requires that brokers perform reasonable due diligence to understand the nature of the recommended strategy or securities

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• FINRA Rules Regarding Suitability

  January 4, 2012 Comments (0) Blog, Securities Fraud

  One of the main claims in any securities fraud case has to do with suitability (i.e. were the investments recommended to the customer appropriate in light of the customer’s age, investment experience, investment objectives, etc.). The following is a brief breakdown of the FINRA Rules applicable to suitability. FINRA

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• Victim of Excessive Trading?

  

  January 4, 2012 Comments (0) Blog, Securities Fraud

  Have You Been a Victim of Excessive Trading? Has your account been excessively traded or churned by your financial advisor? If so, you may have a securities fraud claim to recover the damages resulting from Excessive Trading or Churning. FINRA Rule 2111 requires that broker-dealers must have a reasonable basis to

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