Ameritas Investment Company

Kurta Law is investigating alleged broker misconduct against Ameritas Investment Company brokers.

Ameritas Investment Company (CRD #: 14869) is a brokerage firm with headquarters in Lincoln, Nebraska. It was previously also registered as an investment advisory firm under the name Ameritas Advisory Services, but its registration was terminated on November 16, 2021. Ameritas Advisory Services is now a separate firm.

The firm has also done business under the following names: 

• The Advisors Group (TAG)
• Sower Securities Corp.
• BLN Investment Corp
• Ameritas Investment Corp.

Ameritas Investment Company Investment Products

Ameritas Investment Company offers a limited range of investment offerings. Some Ameritas Investment Company representatives are limited in the type of investments they can offer due to their licensing restrictions and/or their insurance appointments.

Ameritas Investment Company offers the following products, some of which pose substantial risks to investors.

• Mutual funds
• Exchange-Traded Funds (ETFs)
• Stocks
• Bonds
• 529 College Savings Plans
• Variable Insurance Products
• Alternative Investments
• Unit Investment Trusts
• Retirement plans

Brokerage Fees and Commissions

Ameritas Investment Company discloses the following fees in the Customer Relationship Summary (Form CRS).

• Commissions: Service charges associated with buying and selling securities. A portion of these go toward your broker.
• Transaction-based fees: These are per-transaction fees that can vary based on the type of transaction and other factors. This might include markups and markdowns, which are fees that are built into the price of bonds.
• Ticket charges: This is another fee charged for buying, selling, or exchanging a security.
• Additional fees: Customers may also pay custodian fees, account maintenance fees, fees related to mutual funds, and variable products.

Regulatory Actions: Fines and Censures

Ameritas Investment Company has regulatory actions on its record. These are a few of the most recent – for a complete list, visit the firm’s detailed BrokerCheck record.  

Alleged Failure to Reasonably Supervise Brokers

On January 6, 2022, the State of Nevada alleged Ameritas Investment Company failed to reasonably supervise its registered representatives by not discovering undisclosed outside business activities. Nevada fined Ameritas Investment Services $15,000.

 Allegedly Impermissible Outside Securities Transactions

On April 9, 2021, Ameritas Investment Company allegedly failed to disclose two former registered representatives who performed impermissible outside securities transactions in promissory notes. These notes were allegedly later determined to be a Ponzi scheme. South Dakota investors allegedly lost $2.2 million.

South Dakota fined Ameritas Investment Services $20,000.

Alleged Failure to Registered an Employee in Pennsylvania

Pennsylvania imposed a fine of $100,000 following allegations that Ameritas Investment Company failed to register at least one employee as an investment adviser from January 2015 through June 2019.

Conflict of Interest Allegations

On March 25, 2020, Ameritas Investment Company entered into an Acceptance, Waiver, and Consent agreement in which the firm consented to a $10,000 fine. FINRA alleged that the firm had a conflict of interest when it served as both the financial advisor and underwriter for a municipal issuer.

Conflicts of Interest

Ameritas Investment Services discloses the following conflicts of interest in its Customer Relationship Summary.  Brokers may have additional conflicts of interest that they are to disclose at the time of the recommendation.

• Proprietary products: Ameritas Investment Company is the distributor and underwriter for variable insurance products. Brokers may receive compensation when they sell you these types of products, which creates a conflict of interest.
• Third-party payments and Revenue sharing: Certain investments, such as mutual funds, feature payments from third parties. Other products may come with revenue-sharing arrangements for the brokerage firm and the representative.
• Principal trading: Ameritas Investment Company is a securities dealer, municipal securities adviser, and underwriter for municipal securities offerings in Nebraska. Ameritas Investment Company serves as a principal trader by trading these municipal securities from its own accounts. The firm earns more money on fixed-income securities when it acts as a principal (i.e., trading from its own accounts).

Ameritas Investment Company Brokers with Misconduct Allegations

Ameritas Investment Company works with brokers who have allegations of misconduct on their records. Kurta Law is aware of the following brokers with disclosures, but this is not necessarily a complete list. Contact Kurta Law if you have concerns about your broker’s conduct.

• Brandon Bowman allegedly overconcentrated unsuitable investments.
• Gary Barth is the subject of an annuity dispute.
• Patrick Kenney is the subject of a million-dollar, high-risk fixed annuity dispute.
• Thomas Geisler also allegedly recommended high-risk fixed annuities.
• John Eggleton allegedly recommended an unsuitable REIT.
• Jason Ward allegedly recommended unsuitable investments.

Kurta Law Can Help

Get in touch with Kurta Law if you have questions about a potential case: (877) 600-0098 or info@kurtalawfirm.com. Our attorneys offer free case evaluations and do not collect a fee unless we win. Even if you are not sure if you have a case, contact our experts to get expert insight into your potential investment fraud.