Clearview Correspondent Services, LLC (Clearview) of Richmond, Virginia submitted a Letter of Acceptance, Waiver and Consent in which the firm consented to, but did not admit to or deny, the described sanctions and the entry of the Financial Industry Regulatory Authority’s (FINRA) findings that it failed to report positions to the Large Options Position Reporting (LOPR) system.
According to FINRA, Clearview (now known as BB&T Securities), failed to properly aggregate positions of over 1,000 accounts that were acting in concert under the coms review periods. In addition, FINRA found that the firm failed to “establish and maintain a supervisory system that was reasonably designed to achieve compliance with the applicable securities laws and regulations, and FINRA Rules, concerning the reporting of options positions to the LOPR.” Consequently, Clearview, n/k/a BB&T, was censured and fined $1,000,000.
In every broker/investor relationship, the broker has a duty to assess what the investors’ goals are as well as their risk tolerance. This assessment is based on a number of key factors, including the investors’ stated objectives, risk tolerance, financial condition and tax status. Options can be extremely risky and it’s the broker’s responsibility to only pursue and recommend investments that are suitable for each investor based on these factors.
Have you suffered losses while investing in options? Did your Clearview Correspondent Services (or BB&T Securities) broker recommend an investment that was not in line with your investment goals? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Attorney Pearce is currently representing numerous clients with claims against stockbrokers for misrepresentations and/or unsuitable recommendations for their investors.
For dedicated representation by a law firm with over 40 years of experience in all kinds of securities, commodities and investment disputes, contact us by telephone at 561-338-0037 or toll free at 800-732-2889, via e-mail or visit our website at www.secatty.com We may also be able to arrange a meeting with you at offices located in Boca Raton, Fort Lauderdale, Miami and West Palm Beach, Florida and elsewhere.