The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Matthew Albers. According to his publicly available FINRA BrokerCheck report, Matthew Albers has been the subject of a customer dispute and a FINRA sanction.
Matthew Albers operated most recently as a Virginia based securities broker. He worked in the securities industry for nineteen years. During his career, he was registered with ten different securities firms.
His Registrations
- Investacorp (1998-2000)
- Triad Advisors (1999-2001)
- Continental Capital Investment Services (2001-2003)
- Berthel, Fisher & Company Financial Services (2003)
- Empire Financial Group (2004-2008)
- Jesup & Lamont Securities (2009-2010)
- Anderson & Strudwick (2010-2011)
- Meyers Associates (2011-2013)
- Newport Coast Securities (2012-2016)
- Paulson Investment Company (2015-2019)
The Allegations
- In May 2014, a customer alleged that Matthew Albers made material misrepresentations, recommended unsuitable securities, and omitted material facts. This case was settled for $50,000 in damages.
- Matthew Albers was officially sanctioned by FINRA in August 2019. The findings in this matter state that he exercised discretionary trading authority in customer accounts without first obtaining written authorization from the customers or having his member firm accept the accounts in question as suitable for discretionary trading. Due to these alleged actions, he was fined $5,000 and suspended from acting as a securities broker in any fashion for a period of fifteen business days.
What is Discretion?
Securities brokers are prohibited from executing trades on behalf of investors without first obtaining the investor’s authorization to do so. Just because an investor has hired a securities broker to recommend suitable securities, does not mean they have given up their right to have final say on what they are invested in. There is a trading practice known as discretion that allows brokers to execute trades in a client’s account without obtaining authorization for every trade. However, before this process can begin, the account holder must provide the broker with written authorization to begin discretionary trading. The broker’s member firm must also deem the account in question as suitable for discretionary trading. This written authorization is necessary because it helps prevent investors from agreeing to something they don’t fully understand. The truth is that discretion can be a very slippery slope. Some believe that it gives brokers too much power as it allows them to over-concentrate their customers’ accounts in unsuitable investments, or trade their customers’ accounts excessively–both of which can cause serious financial detriment to investors.
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 Matthew Albers, please contact Oakes & Fosher for a free and private consultation.
