Caldwell International Securities Corp.— Unsuitable Recommendations of an Active Trading Investment Strategy to Customers

investment fraud attorneysCaldwell International Securities Corp. Allegedly Made Unsuitable Recommendations of an Active Trading Investment Strategy to Their Customers, Including Recommendations of Exchange-Traded Funds NGUT and JNUG, Therefore Not Demonstrating a Reasonable Basis  for Recommendations

Caldwell International Securities Corp. , based in Fischer, Texas, allegedly failed to demonstrate an understanding of the potential risks and rewards of recommending NGUT and JNUG (two ETFs) to customers, therefore not demonstrating a reasonable basis to recommend said securities, according to a recent FINRA Department of Enforcement Complaint currently under review by attorneys Joe Peiffer and Alan Rosca.

Greg Caldwell, Lennie Freiman, Paul Jacobs, Alain Florestan, Alex Etter, Lucas Lichtman, Richard Lim and Richard Lee are amongst the Caldwell International Securities Corp. brokers who allegedly “put profits before customers, growth before compliance, and subterfuge before transparency”, according to said FINRA Complaint.

The Peiffer Rosca Wolf securities lawyers are currently investigating Caldwell International Securities Corp.’s alleged unsuitable recommendations, including sales of NUGT (Direxion Daily Gold Miners Bull 3x) Shares and JNUG (Direxion Daily Junior Gold Miners Bull 3x Shares)to investors.

Caldwell International Securities Corp. Allegedly Engaged in an Unsuitable Trading Strategy Which Allegedly Resulted in 15 Customer Accounts Suffering over $1.1 Million in Realized Trading Losses while Still Paying over $1 million in Commissions and Fees

Caldwell International Securities Corp., as a result of the recommendation of an unsuitable active investment trading strategy, allegedly allowed 15 customer accounts to suffer over $1.1 million in realized trading losses, according to the aforementioned Complaint presently being examined by attorneys Joe Peiffer and Alan Rosca.

Caldwell International Securities Corp., FINRA further alleges, also paid over $1 million in commissions and fees.

Finally, the FINRA Complaint, filed on December 31, 2015, alleges that, beginning in 2011, Caldwell International Securities Corp. allegedly took on a number of offices of supervisory jurisdiction that operated like so-called “bucket shops.”

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of failure to demonstrate an understanding of the potential risks and rewards of recommending certain securities, and are currently investigating Caldwell International Securities Corp.’s trading practices. 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 Caldwell International Securities Corp.’s alleged lack of awareness regarding the risks of their trading practices 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.

Alan Rosca (1157 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.