Edward Fernandez Allegedly Overconcentrated Investor’s Account

Edward Fernandez (CRD #: 2956661), a broker registered with Capulent, allegedly made unsuitable investment recommendations, according to his BrokerCheck record, accessed on September 20, 2025. If you have questions about his alleged conduct as a broker, keep reading.

Investor Dispute

On June 2, 2025, an investor alleged that Edward Fernandez recommended unsuitable investments, overconcentrated their account in illiquid investments, failed to conduct adequate due diligence, and misrepresented or failed to disclose material information.

The client seeks $161,250 in damages in this pending dispute.

FINRA Rule 2111

FINRA Rule 2111 requires that brokers tailor their investment recommendations to an investor’s profile, which describes characteristics, such as their age, investing experience, tax status, and financial goals.

These requirements apply to the overall investment strategy as well as the investments themselves. A lack of diversification is often an unsuitable strategy because it exposes the investor to an excessive degree of risk.

Investors who rely on brokers for recommendations may be able to recover their losses through FINRA arbitration.

Regulation Best Interest

Regulation Best Interest (Reg-BI) is an SEC regulation that requires brokerage firms to put their clients’ best interests first. For example, firms must conduct reasonable due diligence when researching investments to ensure their recommendations are suitable for the investor.

FINRA Rule 2020

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

Background Information

Edward Fernandez has passed the following exams:

• General Securities Principal Examination – Series 24
• Securities Industry Essentials Examination – SIE
• General Securities Representative Examination – Series 7
• Investment Company Products/Variable Contracts Representative Examination – Series 6
• National Commodity Futures Examination – Series 3
• Uniform Securities Agent State Law Examination – Series 63

Edward Fernandez is a registered broker in 46 states and the District of Columbia.

He has also worked for the following firms:

• Boustead Securities (CRD#:141391)
• Brokerbank Securities (CRD#:130116)
• Stephen A. Kohn & Associates (CRD#:41067)
• Pacific Cornerstone Capital (CRD#:40397)
• H&R Block Financial Advisors (CRD#:5979)

Kurta Law Can Help

If you worked with Edward Fernandez 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.