American Wealth Management Financial Advisor, Brian Stephan, Sanctioned By FINRA For Mutual Fund Misconduct

The Wolper Law Firm is currently investigating claims against Brian Stephan, a Financial Advisor at American Wealth Management in Xenia, Ohio.  Brian Stephan has been in the securities industry since 2000 and previously worked at Commonwealth Financial Network.

According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on August 17, 2018, FINRA filed an enforcement action against Brian Stephan, alleging that he engaged in sales practice misconduct with respect to mutual fund trading while he was employed by Commonwealth Financial Network.  Specifically, FINRA alleges that Brian Stephans “recommended and caused the execution of unsuitable investments for TF, an 88-year old customer.”  FINRA further alleges that the improper recommendations caused the customer to incur excessive sales charges by recommending a higher volume of smaller transactions to avoid the customer becoming eligible to receive commission discounts.  FINRA is seeking disgorgement and a fine.  The matter remains pending.

To review a full copy of FINRA’s complaint, click http://www.finra.org/sites/default/files/fda_documents/2014042022401%20Brian%20Lawrence%20Stephan%20CRD%204222796%20Complaint%20sl.pdf

Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives.  Trading long-term investment vehicles in short duration is per se improper as it presents very little benefit to the customer and only benefits the Financial Advisor, who earns commissions.  Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients.  To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.

If you or someone you know was a customer of Brian Stephan and you experienced investment losses, please contact the Wolper Law Firm at 800.931.8452 or by email at mwolper@wolperlawfirm.com to discuss your specific situation and the legal options available.  The Wolper Law Firm represents investors nationwide in securities litigation and arbitration.

Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities.  Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters.