Garett I Engel (CRD #7708570) Has a Customer Dispute Disclosure on FINRA BrokerCheck

Garett I Engel (CRD #7708570) is a broker with a customer dispute on FINRA BrokerCheck. We reviewed his BrokerCheck report on January 28, 2026. It reflects one customer dispute. If you invested with Garett Engel and have concerns, keep reading.

BrokerCheck link: BrokerCheck

BrokerCheck report: BrokerCheck Report (PDF)

Investor Disputes / Customer Complaints

Garett Engel’s FINRA BrokerCheck Report reflects one customer dispute disclosure. A summary of the dispute is below:

On November 5, 2025, a customer alleged Garett Engel violated Reg BI and misrepresented a covered call options strategy. The customer said the strategy caused significant losses from May 2025 to July 2025. Garett Engel’s FINRA BrokerCheck report lists the product type as Other. It describes the product as an Employee/Employer Stock Option Plan. The report lists alleged damages as $0 and notes the amount was unspecified. The matter is pending in FINRA arbitration (Case 25-02435).

Rule Summary #1: FINRA Rule 2360 (Options)

FINRA Rule 2360 sets standards for options accounts and options transactions. It addresses approval, disclosures, and supervision for options activity.

Rule Summary #2: FINRA Rule 2111 (Suitability)

FINRA Rule 2111 requires a reasonable basis for each recommendation and a customer-specific suitability analysis. Options strategies can add risk. Disputes often focus on whether the strategy fit the investor’s goals and risk tolerance.

Why This Matters to Investors (Regulation Best Interest)

Regulation Best Interest (Reg BI) is a U.S. securities regulation. It strengthens the standard of conduct that broker-dealers owe to retail investors. It applies when they recommend securities transactions or investment strategies. The U.S. Securities and Exchange Commission adopted Reg BI. It became effective on June 30, 2020. Reg BI aims to protect investors while preserving access to brokerage products and services.

Reg BI requires broker-dealers and financial advisors to act in a retail customer’s best interest at the time of a recommendation. They must not place their own financial or other interests ahead of the customer’s. This standard is higher than the older “suitability” rule. Suitability meant a recommendation only had to be appropriate. It did not have to be the best option or free of conflicts.

Reg BI has four key obligations:

1. Disclosure Obligation – Broker-dealers must disclose material facts about the relationship and the recommendation. This includes fees, the scope of services, and conflicts of interest.
2. Care Obligation – Broker-dealers must use reasonable diligence, care, and skill. They must consider costs, risks, and alternatives when making a recommendation.
3. Conflict of Interest Obligation – Firms must identify conflicts of interest. They must disclose them and mitigate or eliminate them. This includes conflicts that create incentives to favor one product over another.
4. Compliance Obligation – Firms must maintain policies and procedures. Those policies should be designed to ensure compliance with Reg BI as a whole.

Reg BI applies to each recommendation. It is not a continuous duty like the fiduciary standard for registered investment advisers. Even so, it narrows the gap. It puts more focus on costs, conflicts, and investor-focused decision-making.

Overall, Regulation Best Interest promotes transparency. It also aims to improve the quality of investment recommendations. It is designed to reinforce trust between retail investors and broker-dealers in the U.S. securities markets.

Background Information (from BrokerCheck)

Based on His FINRA BrokerCheck report, Garett Engel:

Is currently employed by and registered with Morgan Stanley.

Has passed the Securities Industry Essentials (SIE) exam. He has also passed the Series 7TO and Series 66 exams.

Has no prior securities firm registrations listed on BrokerCheck.

Kurta Law Can Help

If you have worked with Garett Engel, you may have questions. Kurta Law may be able to help if you have concerns about his activity. A securities attorney can help you assess potential causes of action. To discuss your options, contact Kurta Law at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

Helpful resources: Securities Attorney | Securities Fraud Lawyers

For nearly 20 years, Kurta Law has advocated for investors and helped recover losses caused by broker misconduct. We focus on securities arbitration cases and represent investors nationwide.