Our firm is investigating Ameriprise Financial Services broker and investment adviser Charles A. Smith (CRD# 3242263) of Gilbert, Arizona for potential investment-related misconduct.
Financial Advisor’s Career History
Charles Alexander Smith has worked in the securities industry for decades and is currently registered with Ameriprise Financial Services, LLC in Gilbert, Arizona, where he has been registered since October 17, 2014.
Before joining Ameriprise, Smith was registered with LPL Financial LLC in Gilbert, Arizona from 2007 to 2014, and served as an investment adviser representative with Academy Advisors, LLC during that same period. Earlier in his career, he was registered with 1st Global Advisors Inc. and 1st Global Capital Corp. in Mesa, Arizona from 2004 to 2007, and with MONY Securities Corporation from 1999 to 2004 in New York, New York and Mesa, Arizona. He also reported prior registrations with Trusted Advisors and Trusted Securities Advisors Corp. in the early 2000s.
Charles A. Smith Fraud Allegations and Investor Complaints Explained
According to FINRA’s BrokerCheck system, Charles A. Smith has one customer dispute disclosure reported, involving a mutual fund transaction and an alleged promise to reimburse the client for any losses incurred.
Customer Dispute Involving Mutual Fund Loss Reimbursement
The BrokerCheck report shows that on October 3, 2025, a customer submitted a written complaint against Smith while he was registered with Ameriprise Financial Services, LLC. The client alleged that the advisor promised reimbursement for any losses incurred from a May 2022 mutual fund purchase. The product at issue was a mutual fund, and the customer claimed $18,461.65 in damages.
FINRA’s records indicate that the complaint was ultimately withdrawn, with a status date of November 26, 2025. There is no reported settlement amount or indication of any payment to the customer, and the disclosure is categorized as a “Customer Dispute – Withdrawn / Closed – No Action / Denied.”
While the client’s allegations remain unproven and the matter was closed without action, the complaint raises concerns about potential misrepresentations or misleading assurances relating to mutual fund loss reimbursement and how such promises may influence investors’ risk decisions.
Summary of FINRA-Reported Disclosures
Based on the BrokerCheck report for Charles A. Smith:
- Type of disclosure: Customer dispute (written complaint).
- Firm involved: Ameriprise Financial Services, LLC.
- Product at issue: Mutual fund.
- Customer allegation: Advisor allegedly promised reimbursement for any losses from a May 2022 mutual fund purchase.
- Alleged damages: $18,461.65.
- Date complaint received: October 3, 2025.
- Status of complaint: Withdrawn / Closed with no action.
- Status date: November 26, 2025.
- Outcome: No settlement amount or individual contribution reported; no regulatory finding of wrongdoing.
At this time, there are no reported regulatory actions, criminal matters, or other financial disclosures involving Smith beyond this single customer dispute. However, even withdrawn complaints can provide important information regarding sales practices, representations made to clients, and how brokers handle risk disclosures and expectations around investment losses.
In light of the reported customer dispute involving alleged assurances about reimbursement of mutual fund losses, investors who worked with Charles A. Smith at Ameriprise Financial Services in connection with mutual funds or other securities may wish to review their accounts and any oral or written promises they received. To obtain a copy of Charles A. Smith’s FINRA BrokerCheck report, visit this link.
Robert Wayne Pearce Is Committed to Recovering Your Investment Losses
The allegations raised in the customer dispute against Charles A. Smith touch on key FINRA rules designed to protect investors from misleading or overly reassuring sales practices. FINRA Rule 2010 requires brokers and associated persons to observe high standards of commercial honor and just and equitable principles of trade. Promising to reimburse a client for any losses on a mutual fund purchase, if proven, could be viewed as inconsistent with high standards of conduct because it may lead investors to believe that market risk is effectively removed, causing them to take on more risk than they otherwise would. Even though the complaint was withdrawn and no finding has been made, the alleged conduct is the type of behavior that regulators frequently scrutinize under Rule 2010.
In addition, FINRA Rule 2111 (the suitability rule) requires that brokers have a reasonable basis to believe a recommended transaction is suitable for the customer based on the client’s investment profile, including risk tolerance and financial situation. When an advisor allegedly assures a customer that any losses on a mutual fund will be reimbursed, the client may consent to a transaction under a misunderstanding of the true risk involved. If such a promise influenced the customer’s decision to purchase or hold the investment, it can raise questions about whether the recommendation was presented in a fair and balanced way and whether the customer fully understood the downside risk, which is central to a suitability analysis under Rule 2111.
Finally, FINRA Rule 2210 governs communications with the public and prohibits statements that are false, exaggerated, unwarranted, or misleading. A representation that a broker or firm will reimburse “any losses” from a mutual fund purchase, if not supported by a written guarantee or firm policy and not fully accurate, could be considered a misleading communication under Rule 2210. Such a statement can give investors an unrealistic impression of risk protection and potential outcomes, which is why FINRA closely scrutinizes oral and written communications that suggest guarantees or protections that do not actually exist.
For over 45 years, Robert Wayne Pearce has helped investors recover losses caused by broker fraud, negligence, and unsuitable recommendations. His firm, The Law Offices of Robert Wayne Pearce, P.A., represents clients nationwide on a no-recovery, no-fee basis. Call (800) 732-2889 or email pearce@rwpearce.com for a free case review with an experienced securities attorney.