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Douglas Buczak Involved in Pending Unsuitability Dispute

Apr 29, 2022 Unsuitable Investments

Douglas Buczak (CRD #: 1334415), a broker formerly registered with Raymond James Financial Services, is the subject of a pending unsuitability dispute, according to his BrokerCheck record, accessed on April 12, 2022. 

According to the allegations filed on January 31, 2022, Douglas Buczak recommended significant concentrations in high-commission and risky non-conventional investments which resulted in losses. The investor is seeking $500,000; the dispute is pending. 

FINRA Rule 2111

FINRA Rule 2111 requires financial advisors to have a "reasonable basis" to believe that a recommended transaction or investment strategy is suitable for their client. Investments may be unsuitable because they do not align with the investor's financial goals, investing experience, age, or risk tolerance.

  • Investments can be unsuitable because they are high risk and likely to lose money.
  • Securities may also be unsuitable because they are illiquid, meaning that they are meant to be held for an extended period of time and may be costly to cash out.
  • Securities must also be quantitatively suitable, meaning that brokers executed an excessive number of trades.
  • These requirements apply to the overall investment strategy as well as the investments themselves.

A violation of FINRA Rule 2111 is also a violation of FINRA Rule 2010, which requires member firms and their associated persons to "observe high standards of commercial honor and just and equitable principles of trade."

Background Information

Douglas Buczak 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
  • Series 24 - General Securities Principal Examination

Besides Raymond James Financial Services, Douglas Buczak has also worked with the following firms:

  • Cambridge Investment Research (CRD#:39543)
  • Mutual Service Corporation (CRD#:4806)
  • Lowry Financial Services Corporation (CRD#:7291)

Kurta Law Can Help

If you suffered losses after working with Douglas Buczak, don't hesitate to contact us today 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 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.

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