Dawn Nelson Allegedly Made Unsuitable Recommendation

Dawn Nelson (CRD #: 6363820), a broker registered with Edward Jones, allegedly failed to consider her client’s best interests, according to her BrokerCheck record, accessed on July 31, 2022. Read on if you have questions about Dawn Nelson’s conduct as a broker.

Investor Dispute

On May 31, 2022, an investor alleged that Dawn Nelson recommended she transfer her funds to her Edward Jones account, liquidate certain Ameritrade assets, and purchase new assets in the account.

The investor alleges that this recommendation was not in her best interests, that Dawn Nelson failed to inform her of the potential tax implications of transferring funds to her account with Edward Jones, and that Dawn Nelson and the firm failed to follow her instructions regarding the minimization of tax implications.

The client seeks $52,000 in this pending dispute.

FINRA Rule 2111 and Regulation Best Interest

FINRA Rule 2111 requires brokers to evaluate whether an investment fits their investor’s financial goals. Brokers must consult an investor’s profile, which contains information such as their tax status, age, and risk tolerance when making recommendations.

Brokers must also ensure that their recommendations of investment strategies are suitable for their investor’s goals.

FINRA Rule 2010

Failure to follow a client’s instructions violates FINRA Rule 2010, which requires members to uphold high standards of commercial honor.

Background Information

Dawn Nelson has passed the following exams:

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

Dawn Nelson is a registered broker in 14 states and a registered investment adviser in Kentucky.

She has also worked for the following firms:

• Avantax Advisory Services (CRD #: 104556) 
• Avantax Investment Services (CRD#:13686)
• Wesbanco Securities (CRD#:43276)
• LPL Financial (CRD#:6413)

Kurta Law Can Help

If you worked with Dawn Nelson 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 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.