American Portfolios—Unsuitable Mutual Fund Switching
American Portfolios Allegedly Engaged in 78 Unsuitable Mutual Fund Switching Transactions in 15 Accounts
American Portfolios, from May of 2011 through May of 2013, allegedly engaged in 78 unsuitable mutual fund switching transactions in 15 accounts, according to a recent FINRA Letter of Acceptance, Waiver and Consent (AWC) currently under review by attorneys Alan Rosca and Joe Peiffer.
American Portfolios also failed to establish and enforce a supervisory system, including written supervisory procedures, said AWC also reports.
The Peiffer Rosca Wolf securities lawyers are currently investigating American Portfolios alleged failure to supervise the activities of a registered representative to prevent unsuitable mutual fund switching.
American Portfolios Allegedly Incurred Approximately $91,000 in Unnecessary Sales Charges; Censured and Fined $50,000
American Portfolios’ customers incurred approximately $91,000 in unnecessary sales charges, an amount returned by the firm, according to the aforementioned AWC presently being examined by attorneys Alan Rosca and Joe Peiffer.
As a result of the aforementioned behavior, American Portfolios, headquartered in Holbrook, New York, allegedly violated NASD and FINRA Rules, and hence, has been censured and fined $50,000 by FINRA.
One should also note that, according to the AWC, American Portfolios neither admitted nor denied the FINRA findings.
Securities Lawyers Investigating
The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of unsuitable mutual fund switching transactions and failure to properly supervise registered reps, and are currently investigating American Portfolios’ alleged unsuitable mutual fund switching. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of American Portfolios’ alleged unsuitable mutual fund switching are encouraged to contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at 888-998-0520.