• December 27, 2023
• Equitable Advisors
• Thrivent Investment Management

William Wade Godfrey (CRD#:2447660) is a previously registered broker and investment advisor.

Broker’s Background

He entered the securities industry in 1994 and previously worked for John Hancock Mutual Life Insurance Company; Fahnestock & Co., Inc.; Ameritas Investment Corp.; American General Financial Advisors, Inc.; Public Employees Equities Services Company; Ameritas Investment Corp.; Equitable Advisors, LLC; Thrivent Investment Management, Inc.

Allegations of Misconduct

According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in December 2023, without admitting or denying the findings, Godfrey consented to the sanction and to the entry of findings that he refused to appear for on-the-record testimony requested by FINRA in connection with its investigation into a matter that originated after his member firm filed a Form U5 reporting that he was terminated as a result of submitting variable annuity applications with materially inaccurate information on exchange disclosure form(s). As a result, Godfrey was barred by FINRA indefinitely.

For a copy of the letter of acceptance, waiver, and consent, click here.

In addition, William Godfrey has been the subject of two other disclosures, which include the following:

• February 2022—“ Client concerned with the amount of surrender charges incurred with his transfer in July of 2021.” The customer dispute settled for $15,298.93.
• December 2021—“ Registered Representative was terminated as a result of submitting variable annuity applications with materially inaccurate information on exchange disclosure form(s).” – Thrivent Investment Management, Inc.

For a copy of William Godfrey’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.

 

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 mwolper@wolperlawfirm.com.