The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Rick Davidson. According to his publicly available FINRA BrokerCheck report, Rick Davidson has been the subject of multiple customer disputes over the course of his career.

Rick Davidson is a New York-based securities broker. He has worked in the securities industry for thirty-five years. During his career, he has been registered with six different securities firms.

His Registrations

  • Donaldson, Lufkin & Jenrette Securities Corporation (1985-2003)
  • Credit Suisse Securities (2000-2009)
  • Morgan Stanley & Co. (2008-2009)
  • Morgan Stanley (2009-2016)
  • Jefferies (2016-2017)
  • National Securities Corporation (2017-Present)

The Allegations

  • In January 2012, a customer alleged that Rick Davidson executed an unauthorized transaction and made unsuitable investment recommendations. This case was settled for $8,185 in damages.
  • In March 2012, another customer alleged that Rick Davidson executed unauthorized transactions. This case was settled for $101,787 in damages.
  • In May 2016, Rick Davidson resigned from his position at Morgan Stanley following allegations that he exercised discretion in customer accounts without the proper authorization to do so.
  • In July 2016, a customer alleged that Rick Davidson recommended unsuitable investments. This case was settled for $175,000 in damages.
  • In May 2017, a customer alleged that Rick Davidson executed unauthorized trades. This case was settled for $21,000 in damages.
  • In November 2019, a customer alleged that Rick Davidson recommended unsuitable investments. This case is currently pending. The customer is seeking an undisclosed amount in damages.

What Does This Mean?

Securities brokers have an obligation to their customers to only make decisions that work in their (the customers’) best financial interests. This obligation is the brokers duty as the customer’s fiduciary. The main aspect of this for brokers is making sure the investments they recommend are financially suitable for their customers. Brokers can determine a customer’s suitability by looking at important financial information provided to them by the customer. This includes the customer’s age, financial situation, liquidity needs, risk tolerance, and investment objectives. A broker who is unable to invest their clients according to theses stated factors does not have the skills necessary to thrive in their position. This is because investing clients contrary to these factors can cause them to experience significant financial harm.

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 Rick Davidson, 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.