Our firm is investigating Cambridge Investment Research, Inc. broker and Cooper McManus investment advisor representative Matthew Joseph Black (CRD# 6963588) of Overland Park, Kansas for potential investment-related misconduct involving allegedly unsuitable recommendations in Schwab Intelligent Portfolios managed-wrap accounts.
Financial Advisor’s Career History
Matthew Joseph Black is currently registered as a General Securities Representative with Cambridge Investment Research, Inc. (CRD# 39543) and as an investment adviser representative with Cooper McManus (CRD# 111458). He is associated with branch offices in Overland Park, Kansas (7304 W. 130th Street, Suite 350) and Irvine, California (9870 Research Drive).
According to his FINRA BrokerCheck report, Black has passed the Securities Industry Essentials (SIE) exam, the Series 7 General Securities Representative exam, and the Series 63 and 65 state law examinations, and he has reported the Certified Financial Planner (CFP) professional designation.
Black’s registration and employment history in the securities industry includes:
- Cambridge Investment Research, Inc. – General Securities Representative (Fairfield, IA / Overland Park, KS), registered since May 1, 2024.
- Cooper McManus – Investment adviser representative (Irvine, CA / Overland Park, KS), registered since May 1, 2024.
- Arbor Point Advisors (CRD# 165127) – Investment adviser representative in Overland Park, Kansas (February 2024 – May 2024).
- Securities America, Inc. (CRD# 10205) – Registered representative in Overland Park, Kansas (February 2024 – May 2024).
- AE Wealth Management, LLC (CRD# 282580) – Investment adviser representative in Topeka/Overland Park, Kansas (September 2022 – February 2024).
- Charles Schwab & Co., Inc. (CRD# 5393) – Investment adviser representative and registered representative in Leawood, Kansas (May 2019 – July 2022 for advisory; October 2018 – July 2022 for brokerage).
His broader employment history also reflects roles at Miller Retirement Group as a wealth advisor, State Street Corporation as a client service operations specialist, and earlier non-investment employment while he was a student at Saint Louis University.
Matthew Joseph Black Fraud Allegations and Investor Complaints Explained
FINRA BrokerCheck for Matthew Joseph Black discloses one settled customer dispute arising from his prior employment at Charles Schwab & Co., Inc. in connection with Schwab Intelligent Portfolios, an automated managed-wrap account program.
Customer Allegations Involving Schwab Intelligent Portfolios
According to the disclosure, clients alleged that Black recommended investing in Schwab Intelligent Portfolios in or around November 2021 and that this recommendation was unsuitable for their needs and risk tolerance. The customers further alleged that when they requested termination of the service and liquidation of the accounts in June 2022, the termination and liquidation did not occur in a timely manner, allegedly causing additional damages.
The dispute was brought as a FINRA arbitration (Docket/Case No. 22-02913) and involved Schwab’s managed-wrap accounts product. The customers claimed estimated damages of $57,096.92, described as an estimate based on the firm’s “best efforts” and good-faith determination.
Outcome of the FINRA Customer Dispute
The complaint was received on January 11, 2023, and was not merely an oral complaint; it was a written customer dispute and part of a formal arbitration proceeding. On August 22, 2023, the matter was reported as settled for $2,500.00, with no monetary contribution reported from Black personally (the individual contribution amount is listed as $0.00).
While the settlement amount is significantly less than the claimed $57,096.92 in alleged damages, the existence of a settled customer complaint still raises important suitability and account-handling issues that many investors may find relevant when evaluating a broker or financial advisor. Investors should understand that settled complaints may be resolved for business reasons and do not necessarily involve an admission of wrongdoing, but they nonetheless indicate that serious allegations were made and that customers sought recovery through the FINRA arbitration process.
Summary of Reported Disclosure
For context, the key disclosure on Black’s record can be summarized as follows:
- Type of Event: Customer dispute – FINRA arbitration.
- Status: Final – settled.
- Employing Firm at Time of Events: Charles Schwab & Co., Inc. (CRD# 5393).
- Product/Service Involved: Schwab Intelligent Portfolios (managed wrap accounts).
- Allegations:
- Unsuitable recommendation to invest in Schwab Intelligent Portfolios around November 2021.
- Failure to timely terminate the service and liquidate the accounts after a customer request in June 2022, allegedly causing further damages.
- Alleged Damages: $57,096.92 (estimated).
- Filing Date of Arbitration: December 20, 2022 (FINRA Docket/Case No. 22-02913).
- Complaint Received Date: January 11, 2023.
- Resolution: Settled on August 22, 2023, for $2,500.00.
- Individual Contribution by Black: $0.00 reported.
This type of complaint typically implicates FINRA’s core suitability and conduct rules, especially where customers claim that a recommended strategy did not match their risk tolerance or that their instructions to liquidate or terminate a strategy were not carried out promptly.
To obtain a copy of Matthew Joseph Black’s FINRA BrokerCheck report, visit this link.
Robert Wayne Pearce Is Committed to Recovering Your Investment Losses
FINRA Rule 2111, the Suitability Rule, requires that a broker or associated person have a reasonable basis to believe that any recommended transaction or investment strategy involving a security or securities is suitable for the customer based on that customer’s investment profile—including age, financial situation and needs, investment objectives, risk tolerance, time horizon, tax status, and liquidity needs. In the matter involving Matthew Joseph Black, the customers alleged that the recommendation to place their assets into Schwab Intelligent Portfolios in or around November 2021 was unsuitable, suggesting that the strategy may not have been aligned with their risk tolerance, goals, or need for flexibility. When a managed-wrap program exposes clients to volatility, allocation risks, or fee structures that do not fit their profile, a recommendation to use that program can be scrutinized under FINRA Rule 2111 as a potential breach of the broker’s duty to match products and strategies to the client’s actual circumstances.
FINRA Rule 2010 requires brokers to “observe high standards of commercial honor and just and equitable principles of trade” in all aspects of their business. Even when a specific product might be arguably suitable, delays in executing a customer’s instructions—such as allegedly failing to timely terminate a managed program or liquidate accounts after a June 2022 request—may still raise Rule 2010 concerns. When clients claim that their instructions to exit a strategy were not carried out promptly and that they suffered additional losses as a result, arbitrators will often examine whether the broker and firm acted with the level of diligence, promptness, and fairness demanded by Rule 2010. In this context, any failure to process a termination or liquidation request in a timely manner can be viewed as inconsistent with high standards of commercial honor and just and equitable principles of trade, even if the initial recommendation is debated. For a more detailed discussion of this broad ethics standard, see FINRA Rule 2010.
FINRA Rule 2210 governs communications with the public and requires that all such communications be fair and balanced and provide a sound basis for evaluating the facts regarding any product or service, while prohibiting false, exaggerated, unwarranted, or misleading statements or the omission of material information. In cases like the customer dispute involving Schwab Intelligent Portfolios, arbitrators may consider whether the marketing, explanations, or account communications surrounding the automated investing service accurately described the risk levels, allocation methodology, fees, and limitations on timing of transactions. If customers were not fully informed about how the program would operate—especially how quickly liquidation or termination requests would be implemented—or if the risks of remaining invested during periods of volatility were downplayed, those communications could be challenged under Rule 2210. Even where there is no formal advertising violation alleged, the overall clarity and balance of the advisor’s communications about the managed-wrap service are often a key factor in determining whether investors were given a fair opportunity to evaluate the strategy.
The Law Offices of Robert Wayne Pearce, P.A. is a nationally recognized securities law firm representing investors in FINRA arbitration and securities fraud cases on a contingency fee basis. Robert Wayne Pearce, the founding attorney, has more than 45 years of experience recovering millions for victims of broker misconduct and investment fraud. He previously defended major brokerage firms and now uses that insight to protect investors nationwide. To discuss your case directly with Mr. Pearce, call (800) 732-2889 or email pearce@rwpearce.com for a free consultation.