Cheri Knight Subject of a $500,000 Investor Dispute

Cheri Knight (CRD #: 1854248), a broker registered with The Strategic Financial Alliance, is the subject of an investor dispute. This is according to her BrokerCheck record, accessed on April 16, 2024. Investors may also have engaged her services through Knight Asset Management. 

Investor Allegations

On December 12, 2023, an investor alleged that Cheri Knight recommended investments that were not in her best interest. They further alleged that she did not make them aware of investment risks, features, and costs associated with the investments. The investor is seeking $500,000. 

There is a similar dispute dated December 28, 2020. An investor alleged that Cheri Knight recommended unsuitable investments that were contrary to the client’s needs and objectives resulting in limited access to investments due to illiquidity. The investor sought $5,000,000 and the dispute settled for $165,000. 

What is Regulation Best Interest? 

Regulation Best Interest expands on the requirements of FINRA Rule 2111, which defines suitable investment recommendations. In addition to limiting their recommendations to investments that suit their investors’ needs, brokerage firms must also uphold a Duty of Care, the Conflict of Interest Obligation, and the Disclosure Obligation. These obligations and duties require brokerage firms to disclose conflicts of interest. Firms must also research the market for investments that could offer similar benefits at a lower cost prior to making a recommendation. 

Misrepresentation 

FINRA Rule 2020 forbids the use of deceptive, manipulative, and otherwise fraudulent methods to influence the purchase and sale of securities. The misrepresentation or omission of material facts violates this rule.

Background Information 

Cheri Knight 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

She is a registered broker in 21 states and is a registered investment adviser in California and Texas. 

During her 25 years of experience, she has registered with three firms: 

• The Strategic Financial Alliance (CRD #: 126514) 
• IFG Advisory Services (CRD #: 105316) 
• IFG Network Securities (CRD #: 19948) 

Kurta Law Can Help 

If you have worked with Cheri Knight and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or email 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.