Investors Allege Jeffrey Eglow Engaged in Negligent Conduct

Jeffrey Eglow (CRD #: 1299960), a broker registered with Newbridge Securities Corporation, is involved in two pending disputes, according to his BrokerCheck record, accessed on July 31, 2022. Investors may have also worked with him through Newbridge Financial Services Group. If you want to learn more about Jeffrey Eglow’s conduct as a broker, read on.

Alleged Negligence

On June 22, 2022, an investor named Jeffrey Eglow in allegations concerning negligence and negligent supervision, breaches of contract and warranties, and violations of state securities statutes. The client seeks $125,000 in damages in this pending dispute.

In a dispute filed on May 31, 2022, an investor alleged Jeffrey Eglow acted negligently. The client seeks $250,000 in this pending dispute.

FINRA Rule 3110

Negligent supervision violates FINRA Rule 3110, which requires firms to establish supervisory systems to maintain their compliance with securities regulations. This includes appointing supervisors that have adequate training or experience for their role.

What qualifies as broker negligence?

Many broker behaviors may qualify as negligence. Some common forms of negligence include omitting or misrepresenting material facts, making unsuitable investment recommendations, or conducting excessive trading.

Investors who feel their losses are the result of broker negligence may be able to recover their money by pursuing FINRA arbitration.

Settled Dispute

On July 25, 2016, an investor alleged that Jeffrey Eglow over-concentrated his account in unit investment trusts (UITs) and energy securities and held leveraged exchange-traded fund (ETF) positions as long positions, resulting in unrealized losses. The client sought $1,000,000 in damages and received a settlement of $115,000.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to take into account investors’ financial goals when recommending investments. Brokers must examine the information contained in an investor’s profile, such as their tax status, risk tolerance, and overall financial situation.

The need for suitability also applies to investment strategies recommended or executed by brokers. Over-concentration in a particular sector or security is often an unsuitable strategy because of the degree of risk involved.

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

What are unit investment trusts?

A unit investment trust (UIT) allows investors to invest in a portfolio of stocks and bonds that will not be actively managed or changed until the investments reach maturity. While UITs seem simple at first, they still come with potential drawbacks like illiquidity, long maturity dates, and fees.

What are exchange-traded funds?

Exchange-traded funds (ETFs) function similarly to mutual funds, but investors’ returns depend on the performance of the ETF’s underlying stocks, bonds, or other investments. Investors should be aware that, because of the fluctuating value of their shares, an ETF may not yield the returns they expect.

Bankruptcy

Jeffrey Eglow filed for bankruptcy on May 24, 2019.

Background Information

Jeffrey Eglow 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 31 – Futures Managed Funds Examination
• Series 7 – General Securities Representative Examination
• Series 3 – National Commodity Futures Examination

Jeffrey Eglow is a registered broker in Florida, New Jersey, New York, and Tennessee. He is also a registered investment adviser in Florida, Louisiana, and Texas.

He has also worked for the following firms:

• SunTrust Advisory Services (CRD#:283390)
• SunTrust Investment Services (CRD#:17499)
• Wells Fargo Advisors (CRD#:19616)
• Morgan Keegan & Company (CRD#:4161)
• Morgan Stanley Smith Barney (CRD#:149777)
• Morgan Stanley & Company (CRD#:8209)
• FIA Capital Group (CRD#:19074)
• CCC Advisors (CRD#:7379)
• Drexel Burnham Lambert (CRD#:7323)

Kurta Law Can Help

If you worked with Jeffrey Eglow 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.