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Investor Alleges Hugo Marrero Recommended Unsuitable Investments

Dec 9, 2022 Unsuitable Investments

Hugo Marrero (CRD #: 1859120), a broker registered with Concourse Financial Group Securities, was recently involved in a dispute, according to his BrokerCheck record, accessed on November 30, 2022. Investors may also have engaged his services through Marrero Wealth. If you have questions about his conduct as a broker, read on.

Investor Dispute

On September 28, 2022, an investor alleged that Hugo Marrero gave unsuitable investment recommendations for her son’s trust account on September 2, 2022. This dispute was denied by the firm.

Investors should know, however, that firms can deny disputes without an outside review. Investors can still seek out FINRA arbitration after a denial and may be able to recover their losses.

FINRA Rule 2111

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. Brokers must take into account an investor’s tax status, age, risk tolerance, and other information described in their profile.

  • Investments can be unsuitable because they are high-risk and more likely to cause losses for the client.
  • Investments may also be unsuitable because they are illiquid. Certain securities are meant to be held for an extended time and can penalize investors with high fees if they try to cash out too soon.
  • Trading activity can be quantitatively unsuitable, which means that the broker executed an excessive number of trades.
  • Overall investment strategies can also be unsuitable—overconcentration in a singular stock or sector is a common example.

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

Background Information

Hugo Marrero has passed the following exams:

  • Series 63 – Uniform Securities Agent State Law Examination
  • Series 65 – Uniform Investment Adviser Law Examination
  • SIE – Securities Industry Essentials Examination
  • Series 7 – General Securities Representative Examination
  • Series 22 – Direct Participation Programs Representative Examination
  • Series 6 – Investment Company Products/Variable Contracts Representative Examination

Hugo Marrero is a registered broker in eight states and a registered investment adviser in Louisiana.

He has also worked for the following firms:

  • Morgan Stanley (CRD#:149777)
  • Investment Advisors (CRD#:15708)
  • ProEquities (CRD#:15708)
  • Allmerica Investments (CRD#:3960)
  • EQ Financial Consultants (CRD#:6627)
  • The Equitable Life Assurance Society of the United States (CRD#:4039)
  • GNA Securities (CRD#:10465)
  • NYLIFE Securities (CRD#:5167)

Kurta Law Can Help

If you worked with Hugo Marrero and you have concerns about your investments, please contact us today at 877-600-0098 or 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.