Investor Alleges Kevin Kopp Purchased Unsuitable Mutual Fund

Kevin Kopp (CRD #: 870605), a broker registered with Morgan Stanley, was the subject of a recent dispute, according to his BrokerCheck record, accessed on December 6, 2022. If you want to know more about his alleged conduct as a broker, read on.

Investor Dispute

On September 26, 2022, an investor alleged that Kevin Kopp purchased an unsuitable mutual fund for the client in 2022. This dispute was denied by the firm.

Investors should be aware, however, that firms don’t need to permit an external review before denying a dispute. 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

Kevin Kopp has passed the following exams:

• Series 65 – Uniform Investment Adviser Law Examination
• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination

Kevin Kopp is a registered broker in 25 states and a registered investment adviser in Colorado and Texas.

He previously worked for Citigroup Global Markets (CRD#:7059).

Kurta Law Can Help

If you worked with Kevin Kopp 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.