The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Douglas Gildenmeister. According to his publicly available FINRA BrokerCheck report, Douglas Gildenmeister has been the subject of multiple customer disputes over the course of his career.
Douglas Gildenmeister is an Ohio based securities broker. He has worked in the securities industry for forty-five years. During his career, he was registered with six different securities firms.
His Registrations
- Merrill Lynch (1974-1986)
- Advest (1986-1997)
- Wachovia Securities (1997-2003)
- Raymond James & Associates (2003-2019)
- Ameriprise Financial Services (2019-Present)
The Allegations
- In May 1995, a customer alleged that Douglas Gildenmeister engaged in unsuitable margin trading. The customer also alleged that Gildenmeister engaged in excessive trading. This case was settled for $55,000 in damages.
- In July 1995, a customer alleged that Douglas Gildenmeister made material misrepresentations and committed fraud. This case was settled for $62,500 in damages.
- In October 2019, Douglas Gildenmeister was terminated from his position at Raymond James & Associates. This followed allegations that he engaged in unauthorized discretionary trading and took trade instructions from an unauthorized individual.
What Does This Mean?
There is a common misconception among investors that hiring a broker to manage their account means that they have forfeited control over it. This is not the case. A securities broker’s job is to make recommendations to the investor about possible investments; however, the investor still has final say regarding what they are ultimately invested in. There is a trading practice known as discretion that gives a securities broker full control over an investor’s account. However, before they can begin this practice, they must first obtain express written authorization from the account holder. Discretion can be a very slippery slope because it gives the broker almost too much power. Brokers with this authority now have easier times trading their investors’ accounts (those they hold discretionary authority over) in an unsuitable manner.
Oakes & Fosher Can Help
Many investors are unaware of the legal recourse available to them after losing money due to securities broker fraud and/or negligence. The truth is that investors who have lost money in this fashion may actually be entitled to damages.
Oakes & Fosher dedicates its entire legal practice to helping investors across the nation. If you, or someone you know, have lost money investing with Douglas Gildenmeister, please contact Oakes & Fosher for a free and private consultation. We work on a contingency basis, which means there are no fees charged unless we collect for you.
