Broker Jeffrey Wilson Under Investigation for Excessive Trading, Unsuitable Recommendations
Broker Jeffrey Randolph Wilson (CRD #1161819) is currently registered with Wells Fargo Clearing Services, LLC in Las Cruces, New Mexico and has been with the firm since May 23, 2014.
During his affiliation with Wells Fargo, Jeffrey Wilson was accused of several improper dealings, including excessive trading, excessive risk, unsuitable recommendations, and misrepresentation.
Jeffrey Wilson was registered with Morgan Stanley from June 2009 to June 2014, Morgan Stanley & Co. Incorporated from October 2007 to June 2009, and Merrill Lynch, Pierce, Fenner & Smith Incorporated from September 1985 until October 2007. All of his registrations took place in Las Cruces, New Mexico.
Jeffrey Wilson’s FINRA report reflects a total of three disputes involving allegations of stockbroker misconduct.
The most recent dispute took place after a complaint from a customer was filed in May 2016. The FINRA report states that the “Claimant alleges that investment recommendations made in or about 2014 were misrepresented and unsuitable.” The customer alleged $1 million in damages.
On March 9, 2017, the report indicates that there was a settlement reached in the amount of $357,000.
The first settled dispute was filed in December 2015 and was settled in October 2016 for a total of $275,000. The second settled dispute filed in May 2016 alleges that Jeffrey Wilson provided “unsuitable energy and other investments.” The settlement was reached in the amount of $250,000 in December 2016.
What is Excessive Trading?
Excessive trading is misconduct carried out by stockbrokers who attempt to earn more income by having a higher number of trades, as brokers earn commission based on the trades they make. However, trading in an excessive manner, which is also known as over-trading or churning, can end up hurting investors.
With excessive trading, the stockbroker is more often interested in increasing his or her commissions rather than putting the best interest of his or her investors at the forefront of the actions.
There are a few indications that your stockbroker may be engaged in excessive trading, and if you spot any of these warning signs, you will want to get in touch with your broker to receive detailed information about the reasons behind the trades:
•Paying higher than expected fees may point to possible churning activities, especially if it relates to certain sections of your investment portfolio.
•Frequent trades involving sales and purchases that seem inconsistent with your investment goals and preferred risk tolerance may point to over-trading.
•Trading that you have not authorized may be due to excessive trading activity, and it is important to contact the firm your broker is associated with immediately to address the issue.
If your stockbroker is not providing adequate answers when you contact him or her to gain clarification on trading or the assessment of fees, you may wish to consult with an investment fraud attorney to review your legal options.
The stockbroker misconduct attorneys at Meyer Wilson are committed to holding brokers accountable by representing investors who have been the target of stockbroker misconduct and who have lost money as a result. The attorneys are currently investigating the allegations against Jeffrey Wilson that he engaged in excessive risk and other types of misconduct.
If you have lost money from your investments with Jeffrey Wilson, the investment fraud attorneys at Meyer Wilson can provide you with a free case review to answer any questions you may have.