Western International Securities Corp.: (CRD#:39262/SEC#: 801-68953,8-48572)
Western International Securities Corp. was formed in Colorado in 1995 and is headquartered in Pasadena, California. The firm is currently licensed in 52 states and territories. Concept Brokerage Holding Corp., is the parent company of Western International Securities, Inc.
Western International Securities Broker, Kenneth McDonald, Is The Subject Of A Complaint For $834,000 Based On Misrepresentation And Unsuitability
By mwolper | Aug 31, 2018
The Wolper Law Firm is currently investigating claims against Kenneth McDonald, a Financial Advisor at Western International Securities in Westlake Village, California. Kenneth McDonald has been in the securities industry since the 1970s and previously worked at Newport Coast Securities, which has since been expelled from the industry by FINRA. According to publicly available records […] Read More →
Western International Securities Sanctioned by FINRA For Failure to Supervise
According to FINRA, Western International Securities has been a member since 1995. The company’s main office is located in Pasadena, CA, and there are roughly 140 branch offices where more than 450 registered representatives are employed.
Current And Past Allegations Of Conduct Leading To Investment Loss
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in October 2022, FINRA sanctioned Western International Securities with a censure, fine of $400,000, and restitution and partial restitution of more than $470,000 plus interest. The company must also strengthen its supervisory and disclosure procedures to meet or exceed FINRA standards.
The FINRA sanction states, “From 2013 to 2017, Western failed to establish, maintain, and enforce a supervisory system, including written supervisory procedures, reasonably designed to achieve compliance with its suitability obligations in connection with recommendations of non-traded real estate investment trusts (non-traded REITs), in violation of NASD Rule 3010 and FINRA Rules 3110 and 2010. In addition, between 2015 and 2022, Western failed to report or timely report approximately 45 written customer complaints, customer arbitrations, and settlements, in violation of Article V, Sections 2(c) and 3(b) of FINRA’s By-laws and FINRA Rules 1122 and 2010.
For a copy of the FINRA sanction, click here.
We Help Investors Recover Investment Losses
A real estate investment trust (REIT) is a security that invests in real estate directly either through properties or mortgages. Generally, REITs can be publicly or privately held. Publicly held REITs can be sold on an exchange and publicly traded. Non-traded REITs are sold through broker-dealers and are private. REITs are generally classified as equity, mortgage or hybrid.
REITs have traditionally been sold to customers for their high dividend yield. However, many factors impact the ability of the REIT to maintain dividend and share price stability, including the fluctuation in interest rates, the amount and cost of leverage used by the REIT and collectability of the rents or mortgage payments that comprise the underlying assets within the REIT.
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. 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.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. 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. We can be reached at (800) 931-8452 or by email at email@example.com.