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Jason Vanclef, Author of The Wealth Code, Subject of FINRA Investigation

Jul 30, 2021 AWC

Jason Vanclef (CRD #: 5096529), a broker registered with American Trust Investment Services, is the subject of a FINRA investigation, according to his BrokerCheck record, accessed on July 27, 2021. Vanclef also offers services through Vanclef Financial Group.

On June 3, 2021, FINRA made a preliminary determination to recommend that disciplinary action be brought against Jason Vanclef. The investigation alleges Vanclef violated FINRA rules when he participated in undisclosed securities transactions. FINRA further alleges that Vanclef made false written statements to a firm.

Jason Vanclef and The Wealth Code

This is not the only regulatory action on Vanclef’s record. On February 9, 2016, FINRA alleged Jason Vanclef’s self-published book, The Wealth Code: How the Rich Stay Rich in Good Times and Bad, contained false, exaggerated, unwarranted, or misleading statements, including improper projections of investment performance.

FINRA alleges Vanclef used The Wealth Code to promote high-risk investments in non-traded Direct Participation Programs (DPPs) and non-traded Real Estate Investment Trusts. According to the Order, approximately 95% of Vanclef’s revenue came from the sale of non-traded DPPs and non-traded REITs.

The Wealth Code allegedly claimed investors could expect investment returns as high as 8% to 12%. He allegedly did not mention that these types of securities also come with the risk of losing the entire investment. Although Vanclef distributed the book to his customers, he allegedly never had a registered principal at his firm approve it as sales literature.

FINRA imposed a sanction of $10,000 and a 10-day suspension.

You can read a copy of the Order here.

Settled Investor Disputes

Jason Vanclef has other settled investor disputes on his record regarding high-risk real estate investments called tenants-in-common investments (TICs).

On March 11, 2014, an investor alleged that Jason Vanclef engaged in negligence through the recommendation of a Cabot East Town Mall TIC. The investor sought $959,366; the dispute settled for $75,000.

On October 25, 2013, investors alleged that Vanclef recommended a TIC investment and energy-related investments that did not perform as projected. They further alleged negligent supervision. The investors sought $2,500,000; the dispute settled for $237,500.

Three other investor disputes alleged that Jason Vanclef recommended unsuitable investments. These collectively settled for $214,590.

Jason Vanclef Background Information

Vanclef has passed the following exams:

  • Series 66 Uniform Combined State Law Examination
  • Securities Industry Essentials Examination
  • Series 7 General Securities Representative Examination
  • Series 24 General Securities Principal Examination

He is a registered broker in 13 states and is a registered investment adviser in California.

Jason Vanclef has worked with the following firms:

  • American Trust Investment Services (CRD #: 3001)
  • Delta Investment Management (CRD #: 149596)
  • Westpark Capital (CRD #: 39914)
  • Crescent Securities Group (CRD #: 114993)
  • Niagara International Capital Limited (CRD #: 135327)
  • VFG Securities (CRD #: 15121)
  • VFG Advisors (CRD #: 150370)
  • Madison Avenue Securities (CRD #: 23224)
  • Madison Avenue Securities (CRD #: 137461)
  • SPC (CRD #: 110692)
  • Sigma Financial Corporation (CRD #: 14303)

Kurta Law Can Help

If you worked with Jason Vanclef and you have concerns about your investments, contact Kurta Law today. Call 212-658-1502 or email jkurta@kurtalawfirm.com.