Joe Zheng Allegedly Recommended Unsuitable Investments

Joe Zheng (CRD #: 2318835), a broker registered with JK Financial Services, is the subject of an investor dispute. This disclosure appears on his BrokerCheck record, accessed on September 19, 2024. Keep reading if you have questions regarding his alleged conduct. 

Investor Allegations 

On August 5, 2024, an investor alleged that Joe Zheng recommended investments that did not align with her investor profile. The investor is seeking $1,935,000. 

What is an Unsuitable Investment? 

FINRA Rule 2111, a.k.a. The Suitability Rule, requires brokers to tailor their investment recommendations to suit investors’ needs. 

Rule 2111 also requires brokers to consider the following investor characteristics: 

• Age
• Risk tolerance
• Time horizon (i.e., how long the investor plans to hold the investment)
• Investing experience
• Tax status
• Financial goals

Investments that do not fit the criteria established by the investor profile may be unsuitable. Investors who rely on brokers for recommendations may recover their losses by pursuing FINRA arbitration.

Background Information 

Joe Zheng has passed the following exams: 

• Series 63 Uniform Securities Agent State Law Examination 
• Series 99TO Operations Professional Examination
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination
• Series 14 Compliance Officer Examination 
• Series 51 Municipal Fund Securities Principal Examination 
• Series 27 Financial and Operations Principal Examination 
• Series 4 Registered Options Principal Examination 
• Series 24 General Securities Principal Examination 

He is a registered broker in California, Texas, and Washington. 

Joe Zheng has registered with the following firms: 

• JK Financial Services (CRD #: 103728) 
• Midwest Discount Brokers (CRD #: 29931) 
• Daehan Securities (CRD #: 25447) 
• Montano Securities Corporation (CRD #: 7887) 

Kurta Law Can Help 

If you worked with Joe Zheng and you have concerns about your investments, do not hesitate to contact us at 877-600-0098 or email info@kurtalawfirm.com for a free consultation. 

For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that 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. Do not let securities fraud go unchecked. Start your recovery process today.