Finra panel awards adviser $1.2 million from defunct broker-dealer

The award values Capital Guardian at $6.4 million

Dec 10, 2018 @ 1:52 pm

By Jeff Benjamin

A Finra arbitration panel has ruled in favor of adviser Brian Taylor Kirkpatrick in a share-ownership dispute with his former employer Capital Guardian, a now defunct broker-dealer.

According to the dispute resolution from the Financial Industry Regulatory Authority Inc., Mr. Kirkpatrick has been awarded $1.2 million for his 15% ownership stake in Capital Guardian, a Miami-based firm.

The ownership stake was worth approximately $960,000, but the award included a $255,000 compounded interest penalty.

The award valued Capital Guardian at approximately $6.4 million when Mr. Kirkpatrick left the firm and sought to sell his shares in late 2017.

Capital Guardian's broker-dealer was shut down and the assets were sold to Kovack Securities Inc. in September 2017.


What do you think?

View comments

Recommended for you

Featured video


Why millennial demand for ESG is falling on deaf ears

Editorial director Fred Gabriel and senior columnist Jeff Benjamin say there's a disconnect between the big appetite for environmental, social and governance funds in 401(k) plans and their offering.

Latest news & opinion

ESG options scarce in 401(k) plans

There's growing interest among plan participants, but reluctance to add funds that take into account environmental, social and governance factors persists.

Ameriprise getting ready to launch its bank

Firm's advisers will soon have access to lending products such as mortgages.

Envestnet acquires MoneyGuide for $500 million

Deal will allow Envestnet to deepen integrations between MoneyGuide and its other wealth management solutions.

Genworth move could signal big shift in distribution of long-term-care insurance

Insurers may turn to direct-to-consumer sales only, bypassing brokers and insurance agents.

Morgan Stanley threatens to pull out of Nevada over state's fiduciary rule

Wirehouse says it would not be able to work there under state's current proposal.


Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting It'll help us continue to serve you.

Yes, show me how to whitelist

Ad blocker detected. Please whitelist us or give premium a try.


Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print