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Andrew Day Involved in Investor Dispute Alleging an Unsuitable REIT Recommendation

Andrew Day (CRD #: 2486571), a broker registered with Kovack Securities, is facing an investor dispute, according to his BrokerCheck record, accessed on February 3, 2022. He is also an investment advisor registered with Kovack Advisors.

According to the allegations filed on October 11, 2021, Andrew Day recommended an unsuitable REIT. According to the investor, he was dissatisfied with the REIT purchase, which was made approximately seven years prior to filing the dispute. The case is pending.

This is not Andrew Day’s first investor dispute alleging unsuitable REIT recommendations:

  1. On September 19, 2017, Andrew Day allegedly recommended an unsuitable Hospitality Investors Trust REIT leaving his client unsatisfied. The investor sought $300,000 in damages; however, the firm denied the dispute.
  2. On November 16, 2014, Andrew Day was named in an investor dispute after allegedly recommending and investing a portion of his customer’s assets in American Realty Capital Global Trust (ARC Global REIT). According to the investor, Andrew Day’s recommendation was risky and generally unsuitable based on his financial situation and investment objectives. The case was settled for $50,000.

What are REITS?

A real estate investment trust (REIT) is an entity that holds a portfolio of income-producing real estate properties. A REIT could contain anything from office buildings and other commercial units to apartment buildings or healthcare facilities. By putting their money into a REIT, investors can own a share of those properties. REITs can be unsuitable due to their illiquid nature. Many REITs expect investors to keep their money in the investments for an extended period. REITs may also be unsuitable based on their underlying real estate investments.

If you lost money in unsuitable REITs, you might have a viable claim against your broker or broker-dealer, and you should not hesitate to contact the securities attorneys of Kurta Law. 

Unsuitable Investment Recommendations Violate FINRA Rule 2111

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. An investor’s profile includes information about their risk tolerance, financial goals, and age. Investors who rely on their brokers for recommendations may be able to recover their losses through FINRA arbitration.

Settled Dispute

On August 17, 2017, Andrew Day was involved in an investor dispute alleging unsuitable investment recommendations, fraud, and breach of fiduciary duty. The case settled for $80,000.

Background Information

Andrew Day has passed the following exams:

  • Series 65 – Uniform Investment Adviser Law Examination
  • Series 63 – Uniform Securities Agent State Law Examination
  • SIE – Securities Industry Essentials Examination
  • Series 7 – General Securities Representative Examination

Andrew Day is a registered broker in 15 states. He is also a registered investment advisor in California. 

Andrew Day has also worked with TKG Financial (CRD#:133104) and Citigroup Global Markets  (CRD#:7059). 

Kurta Law Can Help

If you have worked with Andrew Day and have concerns about your investments, don’t hesitate to contact us today at 877-600-0098 or 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 and 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.