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Tag: FINRA Rule 2111

Customer Suitability Claims Against Financial Advisors and Broker-Dealers in FINRA Arbitrations: Key Considerations, Risks, and Advantages

By parkeddkIn BlogPosted February 26, 2025

The Financial Industry Regulatory Authority (FINRA) arbitration process is the primary forum for resolving disputes between investors and financial professionals, including financial advisors and broker-dealers. Among the most common claims in FINRA arbitration are customer suitability claims, in which investors allege that their financial advisor recommended investments that were inappropriate...

Tags: Age and financial situation, Broker-Dealer, Churning, Costs vs Potential Recovery, Customer Suitability Claims, Eligibility Rules, ETFs, Excessive Trading for Commission, Failure to Consider Tax Implications, Failure to Explain Risk, Financial Advisor, FINRA, FINRA Arbitration, FINRA Rule 2111, High-Risk or Speculative Investments, Investment objectives, Investments, Liquidity needs, Overconcentration of in Risky Assets, Private Placements, Risk Tolerance, Statute of Limitations, Strength of Evidence, Suitability Violations, The Blog, Time horizon
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