Haywood Securities

Kurta Law is investigating recommendations by brokers from Haywood Securities (USA) (CRD#: 42072). The brokerage firm is based in Vancouver, British Columbia.

The firm has also operated as Haywood (USA) Securities.

Fees and Conflicts of Interest

In the firm’s Customer Relationship Summary (Form CRS), Haywood Securities (USA) describes how it makes money and the conflicts of interest that it holds in transactions with investors:

• You will pay commissions on your securities transactions. In the case of bonds, your commission will be incorporated into the price of your investment as a markup or markdown.
• Transaction fees incentivize Haywood Securities to encourage you to trade more.
• You will also pay custodian fees, wire transfer fees, and other account-related charges.
• Some investments, like initial public offerings (IPOs), earn Haywood Securities commissions and other fees.
• Haywood Securities (USA) routes orders through its parent company, Haywood Canada. If your broker is also registered with Haywood Canada, they may have clients through that firm that trade against your orders.
• Relatedly, Haywood Canada engages in principal trading, but Haywood Securities (USA) does not. The firm will disclose to you if Haywood Canada trades against your order in a principal capacity.

Broker-Dealer Services

Haywood Securities (USA) offers U.S. and Canadian stocks and bonds, including initial public offerings (IPOs). Some investment vehicles offered by the firm, like exchange-traded funds (ETFs), may feature too much risk for some retail investors.

Regulatory Actions

Investors should review Haywood Securities (USA)’s history of regulatory actions, disclosed on its detailed BrokerCheck page.

Alleged Regulation Best Interest Violations

On November 13, 2023, Haywood Securities (USA) consented to the entry of findings that it allegedly failed to conduct reasonable due diligence before recommending 134 sales of 53 private placements between 2014 and 2023, totaling nearly $11 million.

A Letter of Acceptance, Waiver & Consent (AWC) also alleged the following:

• Failure to establish and maintain a system of supervision reasonably designed to achieve compliance with Regulation Best Interest and FINRA rules
• Failure to filed offering documents related to 236 Canadian private placement offerings

The firm consented to a censure, $175,000 fine, and to undertake a remediation of the supervisory issues alleged in the AWC. You can read the full AWC here.

How Can Investors Recover Lost Funds from a Brokerage Firm?

If you have concerns about your broker’s conduct, you may be able to recover your losses through FINRA arbitration. Brokerage firms often require investors to pursue FINRA arbitration to resolve their disputes. A securities attorney can help you secure a fair settlement.

Kurta Law Can Help

Investors who lost money working with a Haywood Securities broker or advisor should reach out to an investment fraud lawyer for help. Our attorneys offer free case evaluations and do not charge a fee unless we win your case. Call (877) 600-0098 or email info@kurtalawfirm.com.