The Financial Industry Regulatory Authority Inc. has censured RBC Capital Markets, fined it $550,000 and ordered restitution of $456,155 plus interest over actions involving high-yield bonds.
Finra said that from July 2013 through June 2016, RBC failed to identify for review more than 100 customer accounts with conservative profiles for potentially unsuitable concentrations of high-yield bonds. in a number of those accounts, Finra said, the holdings in high-yield bonds were more than six times the thresholds set by the firm.
RBC failed to do the reviews, Finra said, because of firm policies and procedures that did not sufficiently address suitability factors representatives should consider before recommending high-yield bonds. Also, Finra said the firm’s automated system to alert reps about possible overconcentration didn’t function as intended.
A new proposal could end the ban on promoting client reviews in states like California and Connecticut, giving state-registered advisors a level playing field with their SEC-registered peers.
Some in the industry say that more UBS financial advisors this year will be heading for the exits.
The Wall Street giant has blasted data middlemen as digital freeloaders, but tech firms and consumer advocates are pushing back.
Research reveals a 4% year-on-year increase in expenses that one in five Americans, including one-quarter of Gen Xers, say they have not planned for.
Raymond James also lured another ex-Edward Jones advisor in South Carolina, while LPL welcomed a mother-and-son team from Edward Jones and Thrivent.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
