- June 14, 2023
- PHX Financial
Jason J. Walsh (CRD#: 5758243) is a registered Broker at PHX Financial, Inc., in Hauppauge, NY.
He entered the securities industry in 2010 and previously worked for Network 1 Financial Securities, Inc.; Joseph Gunnar & Co., LLC; National Securities Corporation; Obsidian Financial Group, LLC; John Thomas Financial; and First Midwest Securities, Inc.
Current And Past Allegations Of Conduct Leading To Investment Loss
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in May 2023, a customer dispute was filed against Jason J. Walsh. The allegation states, “Breach of Fiduciary Duty, December 2012 through October 2022.” The customer dispute is pending, and damages of $3,767,261.79 are sought.
In addition, Jason J. Walsh has been the subject of two other customer complaints and a lien:
- August 2019 — A tax judgment/lien in the amount of $23,422.12 was levied against Jason J. Walsh.
- January 2019 — “UNAUTHORIZED TRADING RELATED TO TRANSACTIONS IN APRIL 2018.” The customer dispute was settled for $5,000.
- July 2013 — “CLIENT ALLEGED UNAUTHORIZED BUY OF 1400 SHARES CVI AND POSSIBLE OTHER TRADES. THE CVI TRADE OCCURRED 5/29/2013.” The customer dispute was denied.
For a copy of Jason J. Walsh’s FINRA BrokerCheck, 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.
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