Aaron Davis is the Subject of a $4.7 Million Investor Dispute

Aaron Davis (CRD #: 4746025), a broker registered with Edward Jones, is the subject of an investor dispute. This is according to his BrokerCheck record, accessed on February 13, 2024. Investors who have concerns regarding his alleged conduct should keep reading. 

Allegations of Misrepresentation and Unsuitable Recommendations 

On October 11, 2023, an investor alleged that Aaron Davis failed to disclose a conflict of interest. The investor further alleged that Edward Jones failed to supervise him. 

The client alleged that Aaron Davis misrepresented the effect a sale of RVP stock would have on the share price and that his representation that RVP would be worth $30 per share was unreasonable. The investor also alleged that Aaron Davis failed to properly diversify his portfolio and recommended unsuitable investments. 

The investor is seeking $4.7 million. 

Failure to Supervise 3110

FINRA Rule 3110 requires that firms establish systems of supervision to maintain their compliance with securities regulations. Their systems of supervision should be able to catch unsuitable recommendations. 

Failure to Diversify 

FINRA Rule 2111 requires brokers to evaluate whether an investment fits their investor’s risk tolerance. A lack of diversification may increase the portfolio’s exposure to risk because it overconcentrates an investor’s portfolio in the same stock or sector. 

FINRA Rule 2020 – Misrepresentation

FINRA Rule 2020 prohibits the misrepresentation of investments and omission of material facts. Material facts include information about an investment’s potential returns, as well as charges, expenses, and fees. Brokers must always disclose the risks associated with illiquid investments, such as early withdrawal fees. 

Background Information 

Aaron Davis has passed the following exams:

• Series 66 Uniform Combined State Law Examination 
• Series 63 Uniform Securities Agent State Law Examination 
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination 

He is a registered broker in 24 states and is a registered investment adviser in Texas. 

Kurta Law Can Help 

If you have worked with Aaron Davis and you have concerns about your investments, do not hesitate to contact us at 877-600-0098 or info@kurtalawfirm.com for a free consultation. 

For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.