John Dougherty Allegedly Recommended Unsuitable Investment Strategy

John Dougherty (CRD #: 3018615), a broker registered with LPL Financial, allegedly recommended an unsuitable investment strategy, according to his BrokerCheck record, accessed on March 23, 2023. Keep reading to learn more about his alleged conduct as a broker.

Investor Dispute

On January 19, 2023, an investor alleged that John Dougherty recommended an unsuitable wealth management strategy that did not fit his risk tolerance and investment objectives and resulted in losses. He allegedly recommended this strategy between April 2013 and October 2021. This dispute is currently pending.

FINRA Rule 2111

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

This also applies to investment strategies. Overconcentration is an example of an investment strategy that is frequently unsuitable due to the degree of risk involved.

Investors who rely on brokers for recommendations may be able to recover their losses by seeking out FINRA arbitration.

Background Information

John Dougherty 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 31 – Futures Managed Funds Examination
• Series 7 – General Securities Representative Examination

John Dougherty is a registered broker in 11 states and a registered investment adviser in Pennsylvania.

He has also worked for the following firms:

• Wells Fargo Clearing Services (CRD#:19616)
• Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691)
• New England Securities (CRD#:615)
• LPL Financial (CRD#:6413)
• Wachovia Securities (CRD#:19616)
• Morgan Stanley DW (CRD#:7556)

Kurta Law Can Help

If you worked with John Dougherty 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.