Eric Tom Allegedly Mismanaged Investor’s Annuities

Eric Tom (CRD #: 1890823), a broker registered with MML Investors Services, allegedly mismanaged a client’s annuity contracts, according to his BrokerCheck record, accessed on January 24, 2023. Investors should know that this broker has 12 investor disputes on his record. 

Pending Disputes

On November 28, 2022, an investor filed a dispute alleging that Eric Tom mismanaged the client’s Jackson National individual deferred variable and fixed annuities, purchased in 2006. The client alleges that this mismanagement resulted in the loss of his retirement savings. He further alleges that Eric Tom made misrepresentations and breached his contract. This dispute is pending.

A dispute filed on November 9, 2020, alleges that Eric Tom sold investments in 2015 that did not suit the client’s financial objectives, resulting in losses. The client seeks $100,000 in this pending dispute.

FINRA Rule 2020

FINRA Rule 2020 bans the use of manipulative, deceptive, or otherwise fraudulent methods to influence investors’ decisions. The misrepresentation or omission of material facts violates this rule.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to recommend securities that sufficiently suit an investor’s financial goals. Brokers must examine the information in the investor’s profile, such as their tax status, age, and overall financial situation.

Investors who rely on brokers for investment recommendations can potentially recover their losses through FINRA arbitration.

FINRA Rule 2010

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

Settled and Denied Disputes

On June 1, 2017, an investor alleged that Eric Tom failed to clearly explain the deferred sales charges associated with a variable annuity sold to the client in November 2016. A similar dispute, filed on April 19, 2016, alleged that Eric Tom misrepresented a variable annuity sold to the investor in July 2015. Both disputes were denied by the firm.

However, investors should be aware that firms can deny disputes without an external review. Investors can still pursue FINRA arbitration after a denial and may be able to recover their losses.

On August 19, 2015, an investor alleged that Eric Tom misrepresented the features of a variable life insurance policy the client purchased in March 2002. This dispute was settled for $135,951.44.

Background Information

Eric Tom has passed the following exams:

• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination
• Series 6 – Investment Company Products/Variable Contracts Representative Examination

Eric Tom is a registered broker in 19 states and a registered investment adviser in New York.

He has also worked for MSI Financial Services (CRD#:14251) and Metropolitan Life Insurance Company (CRD#:4095).

Kurta Law Can Help

If you worked with Eric Tom 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.