James Fay Allegedly Gave Unsuitable Investment Recommendation

James Fay (CRD #: 2083701), a broker registered with Cambridge Investment Research, is involved in a pending dispute, according to his BrokerCheck record, accessed on August 19, 2022. Investors may have also worked with him through Cambridge Investment Research Advisors. Read on to learn more about his conduct as a broker.

Investor Dispute

In a dispute filed on May 13, 2022, an investor alleged that James Fay recommended an unsuitable investment in order to generate high commissions and fees. The client also alleged that they were not able to generate reasonable returns on their portfolio due to James Fay overconcentrating their account(s) in this investment. This dispute is currently pending.

FINRA Rule 2111

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. An investor’s profile describes certain characteristics, including their age, risk tolerance, and financial goals.

Brokers must use the information in an investor’s profile when recommending individual trades and overall investment strategies. An investment strategy like overconcentration in a particular stock or sector can be unsuitable for an investor due to the high level of risk involved—and therefore, the high chance of losing money.

Investors who believe they have lost money due to unsuitable investment recommendations may be able to recoup their losses through FINRA arbitration.

Background Information

James Fay has passed the following exams:

• Series 66 – Uniform Combined State Law Examination
• 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

James Fay is a registered broker in 25 states and a registered investment adviser in Pennsylvania and Texas.

He has also worked for the following firms:

• First Montauk Securities (CRD#:13755)
• Capital Analysts (CRD#:5478)
• Hackett Associates (CRD#:2106)
• Chubb Securities Corporation (CRD#:3870)

Kurta Law Can Help

If you worked with James Fay 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.