First Financial Equity Corp. Discharged Jeffrey Sigman For Engaging In Unauthorized Outside Business Activities
The Wolper Law Firm is currently investigating claims against Jeffrey Sigman, a former Financial Advisor at First Financial Equity Corp. and Neidiger Tucker Bruner in Greenwood Village, Colorado. Jeffrey Sigman has been in the securities industry since the 1980s.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on July 27, 2018, Jeffrey Sigman was discharged by First Financial Equity Corp. for “failure to fully disclose details of termination from previous firm regarding outside business activities discovered during FINRA investigation.” The outside business activities were first discovered when Jeffrey Sigman was employed by Neidiger Tucker Bruner. In June 2018, FINRA initiated its own investigation, which remains pending.
To review the full terms of the disclosures and employment events for Jeffrey Sigman, click https://brokercheck.finra.org/individual/summary/1418621#disclosuresSection
Outside business activities are closely monitored by brokerage firms and regulators to ensure that Financial Advisors do not involve customers in investment opportunities that are not approved by the broker’s employing brokerage firm. This practice is known as “selling away.”
FINRA strictly prohibits financial advisors from “selling away” or selling securities and investments to clients that are not offered by the brokerage firm with which they are employed. For example, it is illegal and a violation of industry rules for a financial advisor to recommend or even suggest that a client invest in the financial advisor’s own business or a business operated by his or her friends or family. It is not necessary that the financial advisor earn any compensation for recommending an outside investment.
The purpose behind this prohibition is to ensure that a financial advisor only offers to sell securities that have been vetted by his or her employer brokerage firm through a rigorous due diligence process. Most brokerage firms have an approved list of investments, products, and research that can be provided or made available to clients. Any deviation by the financial advisor from the approved product list may constitute selling away.
If you or someone you know was a customer of Jeffrey Sigman and you experienced investment losses, please contact the Wolper Law Firm at 800.931.8452 or by email at email@example.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.