- July 18, 2022
- Madison Avenue Securities
Ann Werts (CRD#: 5057784) is a dually registered Investment Advisor and Broker at Madison Avenue Securities, LLC in Lakewood, CO.
She entered the securities industry in 2006 and previously worked for CL Wealth Management, LLC; Cabot Lodge Securities, LLC; Allied Beacon Partners, Inc.; Titan Securities; Community Bankers Securities, LLC; Securities America Advisors, Inc.; CBS Advisors, LLC; and Linsco/Private Ledger Corp.
Current And Past Allegations Of Conduct Leading To Investment Loss
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in July 2022, a customer dispute was opened against Ann Werts, requesting $295,000 in damages. The allegation states, “Unsuitable recommendations of annuities and bonds.”
In addition, Ann Werts has been the subject of two customer complaints and one employment disclosure, including the following:
- February 2022 — “Client alleges unsuitable investment and lack of due diligence on new offerings.” The customer dispute is pending, and damages of $250,000 are sought.
- April 2009 — “FAILURE TO FOLLOW FIRM POLICY RELATING TO SIGNATURE USE AND THE SUPERVISION OF OFFICE STAFF.” Ann Werts was permitted to resign from Securities America, Inc.
- January 20009 — “THE CLIENT ALLEGES THAT THE REPRESENTATIVE MISREPRESENTED A VARIABLE ANNUITY RIDER AND FORGED HER SIGNATURE.” The customer dispute was closed with no action.
For a copy of Ann Werts’ FINRA Broker Check, click here.
We Help Investors Recover Investment Losses
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.
Reasonable basis suitability requires that a recommended investment or investment strategy be suitable or appropriate for at least some investors. Reasonable basis suitability requires an advisor to conduct adequate due diligence so that he or she can determine the risks and rewards of the investment or investment strategy.
Quantitative suitability requires a brokerage firm or financial advisor with actual or de facto control over a customer’s account to have a reasonable basis for believing that a series of recommended transactions – even if suitable when viewed in isolation – is not excessive and unsuitable for the customer when taken together in light of the customer’s investment profile. No single test defines excessive activity, but factors such as the turnover rate, the cost-equity ratio, and the use of in-and-out trading in a customer’s account may provide a basis for a finding that a member or associated person has violated the quantitative suitability obligation.
Customer-specific suitability requires that a member or associated person have a reasonable basis to believe that the recommendation is suitable for a particular customer based on that customer’s investment profile. Among the criteria that a financial advisor must evaluate to satisfy his or her customer-specific suitability obligations include the investor’s age, tax status, time horizon, liquidity needs, and risk tolerance; a client’s other investments, financial situation and needs, investment objectives, and any other information disclosed by the customer should also be considered.
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 firstname.lastname@example.org.