The law firm of Oakes & Fosher is presently investigating the alleged misconduct of securities broker Thomas Olexa. According to his publicly available FINRA BrokerCheck report, Thomas Olexa has been the subject of multiple customer complaints over the course of his career.
Thomas Olexa is an Illinois based securities broker. He has worked in the securities industry for thirty-two years. During his career, he was registered with five different securities firms.
His Registrations
- The Mutual Life Insurance Company of New York (1987-1990)
- Mony Securities Corporation (1987-2005)
- AXA Advisors (2005-2006)
- Woodbury Financial Services (2006-2012)
- Valmark Securities (2012-Present)
The Allegations
- In November 2002, customers alleged that Thomas Olexa recommended insurance policies and investment products, such as variable annuities and mutual funds, that the customers believed were unsuitable for them. The customers also alleged that Thomas Olexa misrepresented the risks associated these investment products and breached his fiduciary duty. This case was settled for $600,000 in damages
- In April 2004, a customer alleged that Thomas Olexa invested her funds in a variety of different mutual fund families, however, she did not receive the benefit of breakpoint discounts. This case was settled for $93,610 in damages.
- In September 2004, an attorney, on behalf of a customer, alleged that the customer’s inheritance, in addition to the bulk of her life savings, was concentrated by Thomas Olexa into aggressive, unsuitable investments that were inappropriate given her risk tolerance, financial needs, and investment objectives. This case was settled for $132,000 in damages
- In August 2018, a customer alleged that Thomas Olexa failed to inform her and her husband of their life insurance policy’s suicide exclusion when he recommended the new life insurance coverage to them. This case is currently pending. The customer is seeking $2,211,041 in damages.
What Does This Mean?
Brokers have an obligation to their customers to always act in their best financial interests. This obligation is usually referred to as their fiduciary duty. The most important aspect of this making sure they invest their customers’ portfolios in a manner that is suitable for them. Broker’s can determine this suitability through financial information provided to them by the investor. This includes the customer’s investment objectives, age, net worth, financial situation, liquidity needs, and risk tolerance. It is highly inappropriate for securities brokers to manage an investor’s portfolio in a manner contrary to these provided factors. Brokers should never over-concentrate a customer’s account in high risk securities if said customer has more conservative objectives and a lower risk tolerance.
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 Thomas Olexa, 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.
