Our firm is investigating Oppenheimer & Co. Inc. broker and financial advisor Mark J. Hovanic (CRD# 3227049) of Richmond, Virginia, for potential investment-related misconduct involving a client trust.
Financial Advisor’s Career History
Mark J. Hovanic has worked in the securities industry since 1999 and has been registered with numerous national brokerage firms over the course of his career.
According to his FINRA BrokerCheck report, Hovanic became registered with Oppenheimer & Co. Inc. (CRD# 249) on July 9, 2024, and is currently based out of the firm’s Richmond, Virginia branch at 9020 Stony Point Parkway, Suite 250. He is approved in multiple capacities, including General Securities Principal, General Securities Representative, General Securities Sales Supervisor, and Operations Professional, and is licensed in Georgia, Massachusetts, and Virginia.
His prior broker-dealer registrations include:
- J.P. Morgan Securities LLC (CRD# 79), Atlanta, Georgia – Registered as a broker and investment adviser representative from May 2021 to July 2024.
- Waddell & Reed (CRD# 866), Overland Park, Kansas – Registered as a broker and investment adviser representative from November 2019 to April 2021.
- Wells Fargo Clearing Services, LLC (CRD# 19616), McLean, Virginia – Registered as a broker and investment adviser representative from July 2015 to October 2019.
- Sterling Monroe Securities, LLC (CRD# 122696), Woodbury, New York – Registered as a broker in 2015.
- Consolidated Portfolio Review Corp (CRD# 112694), Zion Crossroads, Virginia – Registered as an investment adviser representative in 2015.
- Cetera Investment Services LLC (CRD# 15340), Exton, Pennsylvania – Briefly registered in early 2013 as a broker and investment adviser representative.
- Morgan Stanley (CRD# 149777), Allentown, Pennsylvania – Registered as a broker and investment adviser representative from June 2009 to November 2012.
- Citigroup Global Markets Inc. (CRD# 7059), Allentown, Pennsylvania – Registered as a broker and investment adviser representative from June 2006 to June 2009.
- UBS Financial Services Inc. (CRD# 8174), Kingsport, Tennessee – Registered as a broker and investment adviser representative from 1999 to 2006.
In his most recent employment history, Hovanic has held supervisory and managerial roles such as Market Director at J.P. Morgan Securities LLC and JP Morgan Chase Bank, N.A., and Branch Manager at Oppenheimer & Co. Inc. in Richmond, Virginia.
Mark J. Hovanic Fraud Allegations and Investor Complaints Explained
FINRA BrokerCheck currently reports one pending customer dispute involving Mark J. Hovanic. There are no reported finalized customer disputes, regulatory actions, criminal matters, or financial compromise disclosures at this time.
The pending dispute is described as follows:
- Type of disclosure: Customer Dispute – Pending arbitration.
- Reporting source: Broker.
- Employing firm at time of events: Oppenheimer & Co. Inc.
- Alleged misconduct:
The claimant is the beneficiary of a non-party client trust. The claimant alleges that the respondents were negligent and aided the trustee of the client trust in embezzling funds from the trust, and also alleges that they failed to provide information requested by the claimant. The alleged conduct spans from January 11, 2024, to October 23, 2025. - Product type: No specific product is listed (identified as “No Product”), suggesting the dispute centers on handling and alleged mismanagement of trust funds and related account activity rather than a particular security or investment product.
- Alleged damages: The claimant seeks $181,500.00 in compensatory damages.
- Procedural posture:
- Date notice/process served: October 24, 2025.
- Forum: FINRA arbitration.
- Docket/Case number: 25-02167.
- Status: Arbitration pending; no hearing or final award has been reported.
Broker’s response:
Hovanic has submitted a statement denying all allegations of wrongdoing. He asserts that he at all times conducted himself appropriately and professionally, notes that he was not employed at the firm during some of the time period referenced in the allegations, and indicates that he intends to vigorously defend himself against what he characterizes as unwarranted and unsubstantiated allegations.
Summary of the Pending Customer Dispute
- Action: Customer-initiated FINRA arbitration alleging negligence and aiding embezzlement in connection with a client trust.
- Status: Pending; no findings or admissions of liability have been made.
- Alleged time period: January 11, 2024 – October 23, 2025.
- Alleged damages: $181,500.00.
- Forum and case number: FINRA arbitration, Case No. 25-02167.
- Broker’s position: Denies all allegations; intends to vigorously contest the claims.
As with all pending disclosures, these allegations have not been proven, and no final decision has been reached. Investors should understand that a pending arbitration reflects one side’s claims and may ultimately be withdrawn, dismissed, or resolved in favor of the broker.
At this time, BrokerCheck shows no other customer disputes, regulatory actions, criminal matters, or financial events involving Hovanic beyond this single pending arbitration.
To obtain a copy of Mark J. Hovanic’s FINRA BrokerCheck report, visit this link.
Robert Wayne Pearce Is Committed to Recovering Your Investment Losses
FINRA Rule 2010, often invoked in trust and fiduciary-related disputes, requires that members and associated persons observe “high standards of commercial honor and just and equitable principles of trade” in the conduct of their business. In a case alleging that a broker was negligent and aided a trustee in embezzling funds from a client trust, FINRA Rule 2010 may be implicated because facilitating or ignoring obvious misuse of client assets, or failing to take reasonable steps when red flags arise, can fall short of these high standards. When a beneficiary claims that a broker’s conduct allowed a trustee to siphon money from the trust, arbitrators will often consider whether the broker’s actions—or inaction—were consistent with the ethical and professional norms embodied in Rule 2010.
FINRA Rule 2150 governs the use of customers’ securities or funds and strictly prohibits brokers from making improper use, conversion, or unauthorized transfer of customer assets. In the context of allegations that a broker “aided the trustee…in embezzling funds” from a client trust, arbitrators may evaluate whether the broker or firm permitted or processed transactions that effectively misused trust funds, failed to confirm that disbursements were legitimate, or allowed the trustee to treat the account as a personal piggy bank. Even if the broker did not personally take the money, assisting or enabling transactions that divert customer funds for improper purposes can be viewed as inconsistent with Rule 2150’s protections.
Another important standard that may be relevant in these circumstances is FINRA Rule 2090, known as the “Know Your Customer” rule. This rule requires firms and associated persons to use reasonable diligence to know the essential facts concerning every customer, including the nature of the account, the authority of persons acting on the customer’s behalf, and any special circumstances that might affect how the account should be handled. In a trust-beneficiary dispute, arbitrators may consider whether the broker and firm appropriately documented the trust relationship, verified the trustee’s authority, and understood who ultimately benefited from the account. Allegations that the broker failed to provide requested information to the beneficiary can raise questions about whether the firm adequately appreciated the beneficiary’s interest and responsibilities under Rule 2090’s customer-knowledge framework.
Losing your savings to a dishonest broker or advisor can be devastating, but you do not have to face it alone. Robert Wayne Pearce and his team have spent over four decades helping investors who were misled or defrauded by Wall Street firms. The Law Offices of Robert Wayne Pearce, P.A. takes cases nationwide on a contingency fee basis. You pay nothing unless we recover your losses. Call (800) 732-2889 or email pearce@rwpearce.com today for a free and confidential consultation.