Andrew Lilly Allegedly Recommended an Unsuitable REIT

Andrew Lilly (CRD #: 5497625), a broker registered with Raymond James Financial Services, is the subject of an investor dispute. This dispute appears on his BrokerCheck record, accessed on March 22, 2024. Keep reading if you have questions regarding his conduct. 

Investor Allegations 

On December 19, 2023, investors alleged that Andrew Lilly made an unsuitable recommendation to purchase and hold a REIT. The investor further alleged that Andrew Lilly failed to disclose that the investment paid high commissions and was illiquid. The investor is seeking $75,000. 

Unsuitable Illiquid Investments

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. Investor profiles have information on the investor’s age, risk tolerance, tax status, investing experience, and financial goals. Brokers must also consider the investment time horizon and the investor’s liquidity needs – illiquid investments often do not suit a client’s best interests. Investments that do not take these factors into account may be unsuitable. 

Investors who rely on brokers for recommendations may be able to recover losses from unsuitable investment recommendations by pursuing FINRA arbitration.

What Are REITs?

Real estate investment trusts (REITs) allow investors to pool their funds together in a portfolio of real estate and earn returns without managing the properties themselves. However, the lack of liquidity associated with REITs may make them unsuitable for some investors.

Background Information 

Andrew Lilly has passed the following exams:

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

He is a registered broker in 15 states and is a registered broker in Virginia. 

During his twelve years of experience, Andrew Lilly has registered with the following firms: 

• Raymond James Financial Services (CRD #: 6694) 
• Cetera Investment Advisers (CRD #: 105644) 
• Cetera Investment Services (CRD #: 15340) 
• UVest Financial Services Group (CRD #: 13787) 

Kurta Law Can Help 

If you have worked with Andrew Lilly and 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.