Colton Jacob Suspended by FINRA Twice in 2024

Colton Jacob (CRD #: 6602283), a broker formerly registered with Steward Partners Investment Solutions, has been suspended by FINRA, according to his BrokerCheck record, accessed on November 7, 2024. Read on to learn more about his alleged conduct as a broker.

Suspension by FINRA

On October 21, 2024, Colton Jacob consented to the entry of findings that he allegedly participated in an undisclosed outside business activity from February to December 2022.

A Letter of Acceptance, Waiver & Consent (AWC), alleged that Colton Jacob assisted two related companies in fundraising and strategic planning. He allegedly also communicated with or met multiple individuals, including a customer of Steward Partners Investments Services, to provide information about these companies.

Colton Jacob allegedly communicated using an email address provided by the founder of these companies, which included an email signature identifying him as an executive affiliated with one of these companies.

The AWC further alleged that, in expectation of receiving compensation, Colton Jacob discussed an equity stake in one of these companies. He allegedly did not inform either of his registered firms, Raymond James Financial Services or Steward Partners Investments Services, about these activities and did not receive prior approval for this outside business activity.

The AWC concluded that this alleged misconduct constituted violations of FINRA Rules 3270 and 2010.

FINRA Rule 3270

FINRA Rule 3270 requires brokers to inform their firm and receive approval for any business activities they engage in beyond their firm.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

Sanctions

Colton Jacob consented to the following sanctions:

• 45-calendar-day suspension from associating with FINRA members
• $5,000 fine

His suspension began on October 21, 2024, and will end on December 4, 2024.

You can read the full AWC here.

Other business activities

Colton Jacob’s detailed BrokerCheck report lists the following outside business activities:

• Registered investment adviser (RIA) with Steward Partners Global Advisory and Steward Partners Investment Advisory.
• Passive investor in Steward Partners Holdings.
• Owner and RIA with Praetorian Private Wealth.
• RIA for Praetorian Wealth Management at Steward Partners, a partnership between the two firms.
• Broker for Raymond James Financial Services.
• Primary beneficiary and manager of brokerage accounts for a client.

Previous FINRA Suspension

On September 30, 2024, Colton Jacob received a letter from FINRA alleging that he failed to comply with an arbitration award/settlement agreement or to adequately respond to a request for information regarding his compliance.

These allegations were made in regard to an arbitration filed on February 14, 2023, which made allegations of breach of contract and unjust enrichment. An arbitration agreement required Colton Jacob to pay $56,719.31 in damages plus interest and $48,362 in attorneys’ fees. You can read the arbitration award here.

Colton Jacob was suspended by FINRA, and his suspension will continue until the required payment is made or discharged.

Article VI, Section 3 of FINRA By-Laws

Article VI, Section 3 of FINRA By-Laws allows FINRA to suspend or cancel the membership of any member who fails to comply with arbitration awards or settlement agreements.

FINRA Rule 9554

FINRA Rule 9554 penalizes brokers who fail to comply with arbitration awards or settlements by suspending or canceling their registration. Brokers have 21 days to request a hearing before their suspension or cancellation becomes final.

Termination from Steward Partners Investment Solutions

On December 28, 2022, Colton Jacob was fired from Steward Partners Investment Solutions after the firm allegedly determined that he violated firm policies concerning outside business activities.

Background Information

Colton Jacob 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 previously worked for the following firms:

• Steward Partners Investment Solutions (CRD#:1254)
• Raymond James Financial Services (CRD#:6694)
• Wells Fargo Clearing Services (CRD#:19616)
• AXA Advisors (CRD#:6627)

Kurta Law Can Help

If you worked with Colton Jacob and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want 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.