The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Izhar Shefer. According to his publicly available FINRA BrokerCheck report, Izhar Shefer has been the subject of multiple customer disputes.

Izhar Shefer was a Florida based securities broker. He worked in the securities industry for twenty-eight years. During his career, he was registered with eight different securities firms. He is no longer working as a registered securities broker in any fashion.

His Registrations

  • Corporate Securities Group (1988)
  • Merrill Lynch (1988-1995, 2007-2011)
  • Salomon Smith Barney Inc. (1995-2001)
  • Prudential Securities Incorporated (2001-2003)
  • Wachovia Securities (2003-2007)
  • Morgan Stanley (2011-2017)
  • APW Capital (2018)

The Allegations 

  • In October 1998, a customer alleged that the corporate bonds recommended by Izhar Shefer were unsuitable. This case was settled for $5,000 in damages.
  • In April 2016, a customer alleged that Izhar Shefer executed unauthorized trades and made material misrepresentations about option investments. This case was settled for $60,000 in damages.
  • In May 2016, a customer alleged that Izhar Shefer made material misrepresentations about a trading strategy with turned out to be unsuitable. This case was settled for $172,500 in damages.
  • In October 2016, customers alleged that Izhar Shefer recommended unsuitable investments. This case was settled for $43,110 in damages.
  • In September 2017, a customer alleged that Izhar Shefer recommended unsuitable investments. This case was settled for $30,000 in damages.
  • In May 2018, another customer alleged that Izhar Shefer recommended unsuitable investments. This case was settled for $26,840 in damages.
  • In August 2018, more customers alleged that Izhar Shefer recommended unsuitable investments. This case was settled for $47,500 in damages.

What Does This Mean?

Securities brokers are a brand of financial advisor known as fiduciaries. As fiduciaries, these brokers have a duty to always act in the best financial interests of their customers. This is no more crucial than in choosing what investments they recommend to their customers. Brokers need to be very careful when choosing what securities to recommend as not every investment is suitable for every customer. A broker can determine a customer’s suitability by analyzing important information provided to them by said customer. This includes the customer’s age, financial situation, risk tolerance, liquidity needs, and investment objectives. Investors placed in securities they are not financially suited for can experience significant financial detriment. Brokers who invest their customers contrary to their suitability needs, whether fraudulently or negligently, have breached their fiduciary duty.

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 Izhar Shefer, please contact Oakes & Fosher for a free and private consultation. Oakes & Fosher handles cases on a contingency basis, which means there are no fees charged unless we collect for you.